Xavient launches Indian operations

NEW DELHI: USA based Xavient Technologies, an IT solutions provider has

started its operations in India. The company will focus on the mission critical

IT needs of hi-tech manufacturers, especially the electronics and semiconductor

industry.

The company is focussing on Manufacturing Enterprise Integration, Enterprise

Application Integration, Manufacturing Execution Systems and Supply Chain

Automation. Currently, the company has four US based clients which include Asat,

Read-Rite, Celetron and Flexitronics. It has recently bagged an order worth $3.4

million from Read-Rite Corporation, suppliers of magnetic recording heads for

hard disk drive market.

Rajeev Tandon, chairman, Xavient Technologies said, "India is just the

right market for a player like us, for obvious reasons like high quality

resources, strong process orientation, a favorable IT environment and a

significant cost advantage."

Currently the total IT services market is $420 billion, of which 10 per cent

comes from the manufacturing sector. Salman Mohammed, country manager, Xavient

Technologies, said, "The manufacturing sector presents a potential of $70

billion IT service market by 2005. Xavient is now targeting high-tech

manufacturers and after developing a good client base we will expand to the

manufacturing sector as a whole."

The company will operate through its Delhi based Offshore Development Center

(ODC), which is a wholly owned subsidiary. There are 35 professionals working in

this ODC and the company is expected to have 150 professionals in the next one

year.

Xavient Technologies raised $10 million early this year from IT investors to

accelerate its growth. A part of this amount would be used for global expansion,

research and development and in building brand equity. The company has invested

half a million dollar in Delhi and the rest in recruiting professionals and

setting up of infrastructure. The company will invest $10 million over the next

three years in India. It has generated revenue of $2.2 million this calendar

year and is expecting to make $10 million by December 2002.