Modular to tread services path

PUNE: Modular Infotech Pvt. Ltd., the Indian language software solutions company, has decided to enter the fast growing services sector this year.

According to the company's Director RR Joshi, the decision to diversify into the more lucrative service sector has been propelled by the need to create an additional revenue stream especially since the company has been hit hard by piracy.

The company's flagship product Shree-Lipi - an Indian language script processor and collection of fonts with utilities has been facing tremendous revenue pressure due to rampant piracy of the product.

While more than 250 cases of pirated Shree-Lipi use are pending against various DTP operators and agencies across India, the company has also initiated a conversion program to tackle this problem.

Giving details of the diversification plan, Joshi said that the company would begin by getting into data conversion business of old legacy books into e-books. "Presently, we have a team of 25 people working on 25 projects. Should this work, we shall expand operations," he said, adding that the company ultimately aims to hire 500 people in the long term.

The company, which reported revenues of Rs 4 crore last year, expects services to contribute around 20 percent of its revenues this year. However, Modular is yet to work out plans to fund its expansion. "It would be too early to talk about this," was all that Joshi said.

Modular has worked in all Indian language scripts and has largest library of typefaces. The company recently signed a deal with HCL Infosystems (HCLI) for 25,000 licenses of its multi-lingual suite Ankur. HCLI plans to bundle the product with its PCs.