What do you expect from India for Dell?
For the past 10 years or so, I have been visiting India twice a year. For the first time in a long time, it’s great to see alignment of government policies and investment in infrastructure. It is coupled with a strong GDP.
What changes have you seen in the past six months?
GST has solidified, policy and work around digital payment are underway to encourage people to use banking and digital payment structures. Demonetisation has helped drive digital payments initiative.
How would these policies impact Dell business in India?
To support all these initiatives — GST, digitalisation of economy and payment structures — we need technology. We are in the middle of a lot of that.
You are meeting many clients in India. What is the sense you get from them?
There is a sense of optimism. They are bullish but they also recognise it is a competitive environment and feel the need to keep innovating their business models.
What are your key focus areas for India once the integration is complete?
We have a strong presence in India across all our product lines. Our focus is to see how we take the capabilities of Dell Technologies and grow our customer base and revenue. This means expansion of infrastructure system, build, drive and grow our networking business and our storage business.
How is the PC market in India?
We are number one in customer client and desktop space. Only 10% of households in India have PCs. There is a significant opportunity to drive penetration. Most people’s introduction to technology is via smartphones.
They are using smartphones to consume but to create you need a keyboard. The first technology buy is a smartphone but second technology buy will be a PC. The industry has responded with a more focussed effort on form factor –usability and attraction of design.
Is your focus more on commercial side in India?
Globally, we are 70% commercial and 30% consumer. In India, it is a more balanced mix but we are primarily focussed on commercial. But the consumer business is growing rapidly in India. We are focussed on driving consumer brand awareness.
How big is the focus on emerging factors?
It is not as highlighted as it used to be as the past few years have been challenging for some emerging markets like Brazil and Russia. India has been one of the bright spots in emerging economies, particulary now.Emerging economies of South East Asia are great opportunities. It may take time to develop and you have be patient.
Indian IT is struggling with restrictions on H1B visas and foreign exchange fluctuations…
We are seeing significant IT transformation happening in India. There will always be short-term issues and we have to look at the long-term trends. Positives outweigh the negatives.
We are actively working on H1B visa issues but that is not something I am going to be able to control. So we have to work our way around it. We have to make sure we are making the right investments in the long term.