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"Dell" to double investiments in new manufacturing plant

Written by: Staff

Chennai, Sep 14 (UNI) Computer Hardware major ''Dell', will double its investments in the next five years in its new manufacturing plant at Sriperumbudur SEZ and would initially manufacture desktops to cater to the Indian domestic market to increase computer penetration.

Addressing a press conference here after signing a MoU with the Tamil Nadu goverment for setting up the facility, which would become functional by June three next year, the company's South Asia Vice President Paul Henri Ferrand and Vice-President Global Facilities, Kip Thompson, said Dell would double its investment from the present 30 million US dollars in the next five years and might scale it up further in future.

To a question, they said the capital investment might be relatively small but the investment in terms of technology and people was more. Besides, the investment from ancillary units to be set up at the Component Park in SEZ to supply components to Dell would be seven times more than the investments made by Dell.

Mr Thompson said the facility would manufacture about 300,000 to 400,000 units in the first year. ''It will grow exponentially''.

The new facility would initially focus on production of desktops, which make up about 70 per cent of Dell's current business and would cater purely to the Indian domestic market, to improve computer penetration which was less than two per cent in the country.

''Our main aim to penetrate the Indian market and become the number One in the country,'' Mr Ferrand said.

After catering to the needs of the large companies in the first five years Dell would target the Government, Educational and Small and Medium business enterprises where the demand was more.

''We will be rolling out a whole range of products not seen before in India with different set of features and at different price tags,'' Mr Ferrand said and ruled out manufacturing sub-100 dollar range computers.


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