Dell Continues India Growth (DELL, IBM, INFY, SAY)

Includes: DELL, IBM, INFY, SAY
by: Daniel Andres Jacome

PC giant Dell (NASDAQ:DELL) announced yesterday that it was adding 5,000 jobs in India over the next two years. Dell already employs more than 10,000 people in India, so a beefing up of cheap talent like this was expected.

Yesterday's news comes less than a week after we argued that American companies could not survive without penetrating India's cheap talent pool:

Satyam Computer (SAY) helps American companies recruit India's engineers at 1/8 the price an engineer here in the US would ask for. Big Blue (NYSE:IBM), the world's largest computer maker, is expanding rapidly in India as a services player...India's emerging economy presents myriad opportunities for investors...

Nimbler players like IT consulting firms like Satyam and Infosys (NASDAQ:INFY) are taking on larger projects and winning more lucrative contracts. We believe that demand for global business solutions out of India will remain robust...

We'll be keeping a close eye on Dell's competitors over the next few months -- surely expanding in India is on their agenda, too.