Monday, January 30, 2006

Dell Goes to India

PC giant Dell (DELL) announced today that it was adding 5,000 jobs in India over the next two years.

Dell already employs more than 10,000 people in India, so a beefing up of cheap talent like this was expected.

Today's news comes less than a week after we argued that American companies could not survive without penetrating India's cheap talent pool:
"....Satyam Computer (SAY) helps American companies recruit India's engineers at 1/8 the price an engineer here in the US would ask for. Big Blue (IBM), the world's largest computer maker, is expanding rapidly in India as a services player...India's emerging economy presents myriad opportunities for investors...

Nimbler players like IT consulting firms like Satyam and Infosys (INFY) are taking on larger projects and winning more lucrative contracts. We believe that demand for global business solutions out of India will remain robust..."
We'll be keeping a close eye on Dell's competitors over the next few months -- surely expanding in India's on their agenda, too.

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