IBM is planning to nearly triple its investments in India over the next three years to $6 billion, the most striking example of identifying a country as a market in its own right, as well as a talent pool.
Reportedly, IBM's investment in the country over the past three years totals to an existing amount of $2 billion.
According to IBM, the proposed investment will ensure that they make the most of opportunities to grow the market here, as also help them fulfill their vision of becoming a globally integrated company.
Presenting the plan, Samuel Palmisano, chairman and chief executive officer, IBM, said that they are already the largest IT company in India, and that they are so excited by the prospect of India that they are planning on investing another $6 billion in the next three years. This money, Palmisano said, would go towards expanding the work force, creating a large technology center, and enhancing software development and R&D here.
Palmisano said that the investment would be used to build service delivery centers in Bangalore, and to create a telecommunications research and innovation center for clients around-the-world.
IBM, which already has five software development centers in the country, believes that the expansion will help the company not only to cut costs but also to find newer avenues. As part of the plan, IBM intends to increasingly shift high-value services such as supply chain management and financial services to Bangalore, thus benefiting from low cost talent.
In a diametrically-opposite development, Apple Computer has pulled out its software development and support operations in Bangalore, and sacked its staff just two months post commencement of operations.
The company says that they have re-evaluated their plans, and have decided to concentrate on planned support center growth in countries other than India. However, the company maintains that the existing 25-strong sales and marketing team will continue operations here.
Despite the clarifications, it remains largely unclear as to why Apple decided to shut shop just over a month of starting operations, in a city that has of late come into its own as the "Silicon Valley of India".
Meanwhile, the company is giving the sacked employees a severance package comprising two months' salary, and has promised to settle all claims by June 9 this year.
In the mean time, there's a lot of speculation that the decision to turn down its Indian support center might have something to do with the company's recent spate of real estate acquisitions in the US.
Reportedly, IBM's investment in the country over the past three years totals to an existing amount of $2 billion.
According to IBM, the proposed investment will ensure that they make the most of opportunities to grow the market here, as also help them fulfill their vision of becoming a globally integrated company.
Presenting the plan, Samuel Palmisano, chairman and chief executive officer, IBM, said that they are already the largest IT company in India, and that they are so excited by the prospect of India that they are planning on investing another $6 billion in the next three years. This money, Palmisano said, would go towards expanding the work force, creating a large technology center, and enhancing software development and R&D here.
Palmisano said that the investment would be used to build service delivery centers in Bangalore, and to create a telecommunications research and innovation center for clients around-the-world.
IBM, which already has five software development centers in the country, believes that the expansion will help the company not only to cut costs but also to find newer avenues. As part of the plan, IBM intends to increasingly shift high-value services such as supply chain management and financial services to Bangalore, thus benefiting from low cost talent.
In a diametrically-opposite development, Apple Computer has pulled out its software development and support operations in Bangalore, and sacked its staff just two months post commencement of operations.
The company says that they have re-evaluated their plans, and have decided to concentrate on planned support center growth in countries other than India. However, the company maintains that the existing 25-strong sales and marketing team will continue operations here.
Despite the clarifications, it remains largely unclear as to why Apple decided to shut shop just over a month of starting operations, in a city that has of late come into its own as the "Silicon Valley of India".
Meanwhile, the company is giving the sacked employees a severance package comprising two months' salary, and has promised to settle all claims by June 9 this year.
In the mean time, there's a lot of speculation that the decision to turn down its Indian support center might have something to do with the company's recent spate of real estate acquisitions in the US.