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The network-equipment giant will reportedly hire more engineers in India than in the United States during the next three years.
Stephen Taub, CFO.com | US
October 21, 2005
Cisco Systems Inc. is aggressively ramping up its efforts on the subcontinent.
The San Jose–based maker of computer-networking equipment will make a $1.1 billion direct investment in its subsidiary Cisco Systems India during the next three years, said company officials, who noted the growing importance of that market in the global economy.
While on a trip to India, CEO and president John Chambers told reporters that the parent company plans to triple the staff count at the New Delhi–based subsidiary, which now employs more than 1,400 people, by outsourcing research-and-development work to Indian engineers and through other new hires. Indeed, Cisco will hire more engineers in India than in the United States during the next three years, said Chambers, according to the Associated Press.
Chambers announced that $750 million of the $1.1 billion investment will be earmarked for R&D activities, including training, development, and staffing. He reportedly added that Cisco would invest $50 million to set up a second R&D center in Bangalore.
Cisco Systems generated $22 billion in revenue in 2004. Net income for the year was $4.4 billion.