Intel is now targeting SMB sector in India

By siliconindia staff writer   |   Tuesday, 12 August 2003, 19:30 IST
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Chip giant Intel sector is eyeing the Indian small and medium business (SMB) segment, encouraged by its 26 per cent year-on-year growth and personal computer (PC) spending at $2.5 billion last year.

HYDERABAD: “As SMBs are characterised by low technology penetration, which is as low as 50 per cent, and low density of PC usage, Intel will aim at convincing the players the benefits of technology adoption,” Prakash Bagri, business marketing manager at Intel Technology India Pvt Ltd told a leading newspaper in India. By outlining technology adoption benefits like improving the bottomline through managing time and money as well as reducing operating costs, Intel hopes to make advances in PC penetration in SMBs, he said. Intel visualised the strategy, as greater sales of PCs that use Intel’s Pentium 4 mean larger revenues for the company, said Bagri. Accordingly, Intel would first identify the right vertical in terms of size and opportunities, line up solutions for that segment and then create a road map to reach out to that section through mass-marketing events, face-to-face programmes and seminars. Intel’s ‘Broad Segmentation Approach’ will initially leverage individual production applications like messaging and inventory management tools, then office collaboration applications like basic ERP and broadband tools and finally extended office applications like supply chain management. Intel, which has set up a task force to what it calls evangelising technology adoption in SMBs as it is not pushing sales of a particular player but of the whole industry, will primarily target the manufacturing and retail verticals. More than 50 per cent of the SMB segment will be covered through these verticals, said Bagri. The company is also driving PC usage among professionals like doctors, chemists and lawyers again through mass-marketing events in various cities. The Hyderabad meet attracted around 250 chemists, said Bagri.