HP Agrees Deal with VVDN Tech To Manufacture high End Servers By CIOTechOutlook Team

HP Agrees Deal with VVDN Tech To Manufacture high End Servers

CIOTechOutlook Team | Wednesday, 05 July 2023, 02:44 IST

As per Union Minister Ashwini Vaishnaw, US-based Hewlett Packard Enterprise and VVDN Technologies have signed a preliminary agreement under which they intend to create high-end servers worth $1 billion over the following four to five years. Within ten days of the India-US joint statement on co-production and technology development, the memorandum of understanding (MoU) was signed.

“It is a pleasure to share that HP Enterprise has agreed to produce high-end servers in India under the IT Hardware PLI scheme which was recently approved by our prime minister. Under the scheme, they have signed the first MoU with VVDN Technologies. They will have production worth $1 billion in the next 4-5 years," the Union Minister for IT and Telecom.

He stated that the start of manufacturing is anticipated for November of this year.The arrangement was signed as part of the government's production linked incentive (PLI) program, which has a five-year investment of $17,000 crore.Som Satsangi, SVP and managing director of HPE India, and Puneet Agarwal, CEO of VVDN Technologies, met with Vaishnaw and discussed their agreement in depth.

In a second statement, HPE stated that it intended to source high-volume servers from India for the first five years of manufacturing valued roughly $1 billion. India is a crucial market for HPE's business, talent, innovation, and now, manufacturing, according to HPE President and CEO Antonio Neri.

“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,” Neri said.

India is the country where HPE employs the most people outside of the US.