Sun Microsystems bets big on cities like Tirupur

Sun Microsystems bets big on small cities

Computer maker Sun Microsystems expects its growth in India to be driven by smaller cities and towns, reflecting the increasing adoption of IT in the country's industrial clusters such as Tirupur and Ludhiana.
Mr Rajesh Rege, directorsales , Sun Microsystems India , told reporters in Chennai on Tuesday that the company expected to grow at about 40% in the country, at double the market growth rate of 18-20 %. "Much of this growth will come from tier-II and tier-III cities," he said.
He said the growth in industrial clusters in India has been significant over the last few years, and has added small and medium businesses here to the global supply chain. This would kick up a demand for a range of IT products, he said.

Mr Baba Sam, marketing director, Sun, said the total market for IT products from the smaller cities and towns (markets other than traditional markets such as Delhi, Mumbai, Bangalore, Chennai , Hyderabad and Pune) was $2.27 billion. Of this, addressable market for Sun was about $227 million.

To address this demand the company would expand its operations in tier-2 and tier 3 cities, Mr Rege said. "We have identified 18 Tier III cities that we intend to enter with the help of our partner network by the end of our current fiscal. Some of the cities where we have already begun operations include Coimbatore, Trichy, Vishakapatnam, Thiruvananthapuram , Dehradun, Guwahati, Goa, Indore, Bhopal, Ranchi, Jammu and Nagpur," he said.
He was in Chennai to expand Sun's sales operations in the city. "Chennai today is attracting a lot of investments especially from IT and ITeS companies. Chennai fits in well with our overall strategy thanks to the IT industry base coupled with the traditional base of manufacturing and a large concentration of auto and ancillary companies," he said.

Sun says out of the expected 40% growth in India, most will come from tier-II and tier-III cities Total market for IT products from the smaller cities and towns was $2.27 billion Of this, the addressable market for the company is about $227 million Sun has identified 18 tier-III cities that it hopes to enter soon

Source: Times News Network

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