Speaking to reporters in Bangalore, Dell Chairman Michael Dell said his company plans to triple its workforce in India over the next three years. “India produces over 200,000 engineers and we see that as an asset for our hardware and software activities.”
Dell is the world’s largest PC maker and currently employs about 10,000 staff in India, mostly taking advantage of lower labor costs and it outsources business processes (such as customer service) to low-wage English-speaking workers. However, like other U.S. companies outsourcing jobs to India, Dell is increasingly eyeing India as a growing market for laptop and desktop systems, as well as consumer electronics. India is Asia’s third largest economy, trailing only China and Japan. Some market research estimates the computer market in India may grow by more than 20 percent a year through 2010.
Dell did not announce plans to begin manufacturing PCs in India, but the company has said they are in discussions with Indian states regarding a suitable site. In late 2005, SemIndia announced plans to create a semiconductor fabrication plant in Hyperabad, using technology from AMD.