By R. Jai Krishna
NEW DELHI--Cisco Systems Inc. said Thursday it plans to invest
about $60 million in India, as the world's biggest networking
company seeks to deepen its presence in Asia's third largest
economy.
"We're optimistic about India," John Chambers, Cisco's outgoing
chief executive, said at a news briefing in New Delhi.
Mr. Chambers is in India to introduce Chuck Robbins, who will
succeed Mr. Chambers as chief executive from the end of July.
The company is also "committed to manufacturing" in India, Mr.
Chambers said.
The announcement comes after Prime Minister Narendra Modi last
year launched his "Make in India" campaign to convince global firms
to set up manufacturing facilities in the country to spur economic
growth.
Cisco's annual revenue stands at $1.1 billion, while it spends
about $1.7 billion on research and development as well as people,
Mr. Robbins said.
For Cisco, India is a crucial market.
Mr. Modi is betting on technology to change the way government
and governance works. The government is expected to spend more than
1.13 trillion rupees ($17.68 billion) on "Digital India," a pet
project of Mr. Modi aimed at increasing usage of technology.
This, along with the government's plans to create 100 smart
cities, could see technology spending surge more than $1 trillion
in the Asia's third-largest economy, analysts say.
The U.S.-based company has already tied up with Rajasthan's
local government to convert Jaipur into a smart city. Jaipur, also
known as the pink city, attracts about 40 million tourists every
year.
Write to R. Jai Krishna at Krishna.Jai@wsj.com
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