BANGALORE, India Graphics chip company Nvidia Corp. has announced it would set up a design center here as the company continues its Asia-Pacific expansion.
Nvidia Corp. (Santa Clara, Calif.) is bullish on India, saying it would invest up to 25 percent of its $500 million annual research and development budget in India.
"India is an exciting market and well-positioned for phenomenal growth," said Jen Hsun-Huang, president and chief executive of Nvidia Corp., in a statement. "We know from experience that India is home to some of the world's brightest engineers, as many of our top employees today are originally from there. India is strategic to Nvidia and we are delighted to become a member of the Bangalore community," he said.
Almost every processor company, from Intel Corp. to startups such as SiNett Corp., have design and development centers in India, with most of them located in Bangalore.
"We have no problem in putting in $100 million into India each year," said Hsun-Huang.
The Bangalore center will initially employ 23, but plans to scale up to a hundred by the year's end, with hiring limited only by availability of talent. The center will work across all the company's business lines, with the initial focus on establishing ASIC design, processor design and architectural design skills.
Nvidia is seeking to do more R&D in Bangalore and will look at ways to work with Indian firms such as Wipro Technologies, Infosys, Sasken Communication and Sify, Hsun-Huang said.
In the case of Sify, Nvidia is looking at popularizing its technologies through Sify's internet cafes in a move to open the market for graphics processors in the country. Sify, a part of the Satyam Group, has the widest India presence in Internet cafes.
The pattern Nvidia adopts is similar to trends in South Korea and more recently China, where broadband penetration drove the market for high-performance graphics processors.
Hsun-Huang said the Indian market for graphics processors is tiny now, but expects it to explode in coming years. Currently, India accounts for just a week's supply of Nvidia's annual shipments, Hsun-Huang said.