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�Problem in India is managing growth� Posted online: Saturday, December 10, 2005 at 0000 hours IST Send Feedback E-mail this story Print this story Banking on the IT, telecom and BPO boom, Cisco�s has grown to become India�s largest player in the networking products and services market. Growing at 47% per annum, Cisco has grown to a Rs 2456 cr company in 2004-05. Today, Cisco has a 85% market share in switches against competitors like Nortel, 3Com and D-Link. In routers, it has a share of 70% against Nortel, Juniper, D-Link and Dax. FE�s Harsimran Singh caught up with Rangnath Salgame, Cisco�s President for India and Saarc to quiz him on the challenges ahead. Exceprts: Ads By Google Bpo Fast Integration for Application Development. Free Ensemble Demo. www.InterSystems.com/Ensemble Cisco Routers New / used / refurbished networking equipment up to 90% off w/ warranty www.networkliquidators.com PIERS Trade Profiles Profiles of US & Foreign Companies Active in US Import-Export Trade. www.piers.com Market share Get the latest News & Resources for Tech Marketing in the Channel www.TheChannelInsider.com What has been Cisco�s major challenge operating in India so far? India is has been a great market for us. The IT, Telecom and BPO sector are booming. So, is the rest of the economy. The challenge for Cisco for operating in India so far has been managing its tremendous growth. We have become the largest player in the network equipment industry in India, similar to our position in the world market. Generally the challenge before companies is to increase toplines or gain market share � but here (in India ) we are gaining both. But isn�t China a more lucrative market for Cisco? Yes, it is. But rather than taking India versus China, our strategy is to take India plus China, as one of the most lucrative market in the world. We have been in China for more than 10 years now. We have established our manufacturing facilities there. In India, we are yet to set up a manufacturing base. How is Cisco�s $1.1 billion investment plan in India progressing? $1 billion is a huge sum. We�ve just announced the investment and there is lots to be done. Which key verticals are most lucrative for Cisco in India? Right now, be it telecom, banking , financial services, insurance, manufacturing, small and medium business or outsourcing (IT and BPO), all verticals are experiencing excellent growth. Is Cisco hampered by the poor physical infrastructure in India? No. The beauty of networking is that it enables you to bypass all the physical infrastrucure problems (like roads) that India is facing. The whole boom in BPO, IT and telecom in India is based on the networking model. How is Cisco faring, vis a vis Avaya, Nortel, Nokia Networks since they established their presence here? The market is witnessing healthy competition. Avaya is our major competitor in IP telephony. But Avaya has older technology in the VoIP communications. Our technology is faster and better than Avaya�s. Customeres today are demanding end to end intelligent networks. We have a portfolio of products from VPN s to routers and switches. Cisco is the largest provider of switches in the world. We have developed our point plans and also approaching niche markets with intelligent information networking. How is Cisco�s e-governance initiatives progressing? We have significant amount of business coming in from the government vertical. We are talking to both central and state governments for e-governance and citizen service initiatives. But the more important thing is to make those citizen services reach to the masses.


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