Vitesse opens design center in Hyd

HYDERABAD: California-based Vitesse Semiconductor Corporation, provider of integrated circuits (ICs), has announced the setting up of its Indian Development Center (IDC) in Hyderabad. The company also informed that it would have 25 employees in the design center.

Vitesse has signed a deal with Adaptec (India), a provider of integrated circuits, in this regard. The facility is in a way a takeover of the Adaptec (India) Hyderabad design team.

Vitesse Corp. VP and CFO Yatin D Mody said, “As per the deal the whole of Adaptec's Hyderabad design team is now part of Vitesse. The rest of the team consisting of software developers will remain as Adaptec (India) employees, but will have to move to the Bangalore center.”

About investment plans Mody said, “We are not hiring people as of now, but we are going to incur expenses in the form of salaries to employees, for maintenance of infrastructure, and the rent for the facility. But globally we have earmarked investment for R&D amounting to $25.5 million in the second quarter of 2005.”

Vitesse designs, develops and markets a diverse portfolio of high-performance, cost competitive semiconductor solutions for communications and storage networks worldwide. Citing data replication, increased Internet usage and online content as the major growth drivers, Mody said, “The addressable market (including market for storage, Ethernet, and communications sector) would be around $930 million in 2005. Going further, it is slated to touch $ 1.85 billion.”

Vitesse intends to exit the second quarter of the calendar year 2005 by closing revenues of $ 47.2 million to that of $ 44.5 million in the last quarter of 2005.