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|November 5, 1998||
Tata Elxsi to set up two SDCsIn line with its decision to focus on software exports, Tata Elxsi (India) Limited is setting up dedicated software development centres for two companies.
Both the SDCs are expected to come up in Bangalore by yearend, S Devarajan, CEO and executive director, Tata Elxsi, has been quoted as saying.
"The software development business would be key to the company's growth in the next few years that are crucial to us as it is a consolidation phase,'' he said.
Software exports, that is a relatively small activity in value terms for the company that focussed on the hardware sector, would, in the next couple of years, account for about 50 per cent of the company's turnover.
Tata Elxsi, which caters mainly to the Japanese, US and
European markets, is increasing its presence in the US. The company, with an office in San Jose, plans to open two more offices shortly.
"The design and development business is looking good. Hence, we decided to increase our presence in the US to cash in on the opportunities in the design and development business,'' Devarajan said.
To ensure that its CAD/CAM business does not suffer owing to the recession in the automobile industry, the company has started catering to other sectors, including pharma/drug research and consumer durables. "There are a lot of domestic companies involved in drug design and research and we have the right solutions for them. Our solution helps pharma/drug research companies in hastening the development cycle and time to market,'' he said.
The company's system integration business division recently bagged some large orders from the Delhi Transport Corporation (a Rs 10 million deal) and another from the ordnance factory.
Besides, the company has orders from the film, video and broadcasting sectors. The order from Sahara TV is worth Rs 35 million and the one from United Studios, Bombay, Rs 20 million.
Tata Elxsi is the number one workstation reseller in revenue terms. "Last year, the company sold almost 70 per cent more systems by volume than we did in the previous year,'' Devarajan said.
- Compiled from the Indian media
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