In a significant development for India’s manufacturing sector, Hewlett Packard Enterprise (HPE) has revealed its plans to commence the production of high-volume servers in the country. The announcement was made by Som Satsangi, Senior Vice President and Managing Director of HPE India, during a meeting with Ashwini Vaishnaw, the Honorable Minister for Railways, Communications, Electronics and Information Technology of the Government of India. Puneet Agarwal, CEO of VVDN Technologies, also participated in the meeting to discuss the details of this initiative.
Under this new “Make in India” plan, HPE intends to manufacture approximately $1 billion worth of high-volume servers within the first five years of production. Recognizing India’s rapidly growing electronic manufacturing ecosystem, HPE has partnered with VVDN Technologies, an Indian manufacturer, to produce its products at VVDN’s plant located in Manesar, Haryana. This strategic move is expected to cater to the rising demand from customers in India while simultaneously enhancing and diversifying HPE’s global supply chain.
Expressing his appreciation for HPE’s decision, Ashwini Vaishnaw, the Honorable Minister for Railways, Communications, Electronics and Information Technology, stated, “We welcome HPE’s decision to start their manufacturing line in India, as it will enhance domestic production capacities. The recently announced Production Linked Incentive (PLI) Scheme 2.0 aims to make India a global hub for Electronics System Design and Manufacturing (ESDM). We believe large-scale IT hardware manufacturing will help in broadening and deepening the manufacturing ecosystem.”
Antonio Neri, President and CEO of HPE, emphasized the company’s commitment to the Indian government’s “Make in India” initiative, asserting, “Today’s announcement marks a significant milestone for HPE and reiterates our commitment to the Government of India’s ‘Make in India’ initiative for a self-reliant India. India is a strategic market for HPE’s business, talent, innovation – and now, manufacturing. Customers in India continue to turn to HPE to help them digitally transform, and our 14,000 team members here play a key role in driving our edge-to-cloud strategy. We are proud to build on our strong presence by establishing a manufacturing operation in this important country.”
India is home to HPE’s largest workforce outside the United States, with its largest campus located in Mahadevapura, Bengaluru. This campus serves as a hub for HPE’s global product development resources, accommodating over 4,000 distinguished scientists, engineers, and research teams. Som Satsangi, SVP and Managing Director of HPE India, affirmed the company’s long-term commitment to India, saying, “The decision to start manufacturing in India underscores HPE’s long-term commitment to India. India is expected to grow into a $1 trillion digital economy, and we believe that ‘Make in India’ will help accelerate this vision. With local manufacturing, HPE will be able to better serve the needs of our customers across industries and segments, from startups to SMBs to enterprise to government.”
HPE has been a trusted partner to India in its digital transformation journey and has collaborated with various central and state government departments, offering expertise and solutions for population-scale initiatives. In 2019, HPE announced a $500 million investment over five years to expand its operations and team member base in India. Since then, the company has generated 2,000 net new jobs in India and established multiple new campuses and offices across the country. Moreover, with over 300 HPE e-health centers spread across 22 states, serving more than six million Indian citizens, and the recent deployment of cloud-enabled telemedicine automated teller machines for pilgrims visiting four holy shrines in India, HPE continues to contribute positively to society.
HPE’s decision to manufacture high-volume servers in India not only reflects its confidence in the country’s manufacturing capabilities but also showcases its dedication to supporting India’s vision of self-reliance in the digital realm. This move is expected to stimulate the growth of the Indian manufacturing ecosystem while enabling HPE to meet the evolving needs of its customers in the country and globally.
