Dell sets up Indian subsidiary

NEW DELHI: Dell Computer Corp said on Thursday it had set up a wholly-owned
subsidiary in India to directly sell its computers in the country, so far sold
through partners. "The company...is now in the midst of putting
infrastructure in place and completing all business, tax and other related
procedures...including invoicing customers in Indian rupees," the firm said
in a statement.

Dell has invested around $2.5 million in its Indian operations, most of it
for sales and support infrastructure. Earlier, its products were sold through
local partners, notably Tata Infotech Ltd.

Dell will initially focus on its global customers, large corporations,
government agencies, educational institutions and software developers, all of
whom will be billed in Indian rupees.

Dell's President for the Asia-Pacific and Japan, Chip Saunders, told a news
conference that the company had no plans to set up a manufacturing facility in
India and would service its orders from its plant at Penang in Malaysia.

However, the company could consider tying up with local partners for sourcing
of components, Saunders said.

(C) Reuters Limited 2000.