US tech giant Hewlett Packard Enterprise (HPE) has partnered with Indian manufacturer VVDN Technologies to begin production of some of its high-volume servers in India.
Partnership details
As part of the partnership, HPE plans to manufacture around $1 billion worth of high-runner servers in India within the first five years of production.
“With a rapidly growing electronic manufacturing ecosystem in India, HPE has partnered with Indian manufacturer VVDN Technologies to manufacture HPE’s products from its plant in Manesar in Haryana,” the company said in a statement.
IT Minister’s statement
Officials of HPE and VVDN Technologies met Union Electronics and IT Minister Ashwini Vaishnaw to share details of the initiative.
“We welcome HPE’s decision to start their manufacturing line in India, as it will enhance domestic production capacities,” said Vaishnaw.
The move comes after Prime Minister Narendra Modi’s recent state visit to the US.
India as a global manufacturing hub
Modi has been pushing to prop India as a global manufacturing hub and has also been looking to enhance the country’s domestic production capacities.
“The recently announced Production Linked Incentive (PLI) Scheme 2.0 aims to make India a global hub for Electronics System Design and Manufacturing (ESDM)”, said Vaishnaw.
“We believe large-scale IT hardware manufacturing will help in broadening and deepening the manufacturing ecosystem,” he added.
India an “important country”
Antonio Neri, president and CEO, HPE said, “India is a strategic market for HPE’s business, talent, innovation – and now, manufacturing.
Customers in India continue to turn to HPE to help them digitally transform, and our 14,000 team members here play a key role in driving our edge-to-cloud strategy.
We are proud to build on our strong presence by establishing a manufacturing operation in this important country”.
Carl Zeiss India
Carl Zeiss India plans to build its largest spectacle lens production facility in Bengaluru, with an investment of over 250 million euros.
Construction will begin next month and is expected to complete by October 2024.
The company aims to achieve sales of Rs 1,800 crore by the end of the current financial year and expects to double sales in less than six years, Miguel Gonzalez Diaz, the managing director said.
Meeting both domestic and global demand
The new facility will enable Zeiss India to produce 260,000 lenses daily, a six-fold increase from its current production capacity.
It will cater to not just the domestic market but also that of overseas.
Around three-fourths of its output is exported to Europe, Asia, the Middle East, and Africa with the rest being used to meet domestic demand.
Job creation
Carl Zeiss currently employs around 1,400 people in India.
It plans to increase its workforce in both production and research and development (R&D) with a focus on hiring software engineers for the latter.
With the planned expansion the workforce is expected to increase to around 2,000.
