Hitachi Data Systems plans wholly-owned unit in India

By SiliconIndia   |   Tuesday, 20 July 2004, 07:00 Hrs
Printer Print Email Email
NEW DELHI: IT firm Hitachi Data Systems will set up a wholly-owned subsidiary in India, following a Government approval.

HDS, which had been functioning through a branch office in India since 2000, would be 100 per cent owned by Hitachi Data Systems of Singapore, sources said.

HDS will set up the subsidiary with 100 per cent foreign equity participation which amounts to Rs 5 lakh.

With its branch operations in India, Hitachi Data Systems has reported revenues of $20 million during the last three years.

Last year, India contributed 25 per cent of Asia (South) revenues. Encouraged by its performance, HDS decided to set up a 100 per cent subsidiary in India.

The approval to set up the Indian arm, however, will be subject to mandatory guidelines of market watchdog Securities and Exchange Board of India (SEBI) and Reserve Bank of India.

With the approval, the company plans to develop India as a hub for Asia (South) region to bring its new service initiative "Global Solutions and Services" (GSS), according to company sources.

GSS is a new business stream for Hitachi wherein it will offer services in the field of business continuity, storage consolidation, data recovery, performance testing and risk analysis.

HDS expects GSS to contribute 30 per cent of its revenues while 20 per cent will come from SME segment.

Apart from GSS, the company has identified Network Attached Storage, Modular Storage and Storage Software as drivers of growth.

The company also plans to increase the share of revenues from Modular Storage to 50 per cent of the total India revenues by the end of 2006.



SPOTLIGHT
Ola raises Rs 400 cr for electric
Leading ride-hailing cab aggregator Ola on Friday said it raised Rs 400 crore from its early in..
SpiceJet plans aggressive
Budget passenger carrier SpiceJet plans to aggressively expand its international networks to fl..
GST rate cut to spur Bengaluru
The realty market in India's tech hub is set to grow as lower Goods and Services Tax (GST) rate..
Fossil Group sells smartwatch
Global watch and accessories maker Fossil Group has announced to sell its smartphone technolog..