Mumbai
January 29th, 2008
US-based networking company Leviton Network Solutions, which concentrates on
integrated, full system solutions for fiber and copper network infrastructure,
has found a good way to enter the Indian market without making a heavy
investment for setting up a widespread infrastructure. It has tied-up with Digi-Link,
the brand that D-Link India created three years ago for marketing its passive
range of products in the structured cabling market. And it need not even
establish a local presence or have its representatives create and nurture a
channel for its products in India.
The structured cabling market is estimated to be around $104.6 million and
has grown around 40 percent in 2007 over 2006. UTP cables dominate the market in
India. The 10G Ethernet over UTP is expected to be the next significant
advancement in the country, as well as the increasing importance of copper as a
result of Power over Ethernet (PoE) and UTP supporting 10G, according to market
reports.
Talking about the D-Link partnership Frank Kim, VP, Engineering Network
Solutions, Leviton said, "We have very unique range of products and have
solid manufacturing skills. Leviton is the only industry leader that can provide
complete copper and fiber system solutions from the backbone to the workstation
in data centers for service provider, and commercial applications. D-Link's
regional expertise will help us to expand in the Indian market."
Leviton, which was founded in 1906 and is a privately held company, has only
recently started looking beyond the Americas towards the international markets.
Currently, India is amongst the top 5 geographies in its global radar and is
also the second most important country in the APac region.
Though the company was keen to enter the Indian market, it was not willing to
invest heavily in setting up its own infrastructure. Right now it is comfortable
with D-Link taking its products to this market, which it hopes will get is brand
recall without the deployment of huge budgets.
D- Link India also stands to win from this partnership, because it is the
third largest structured cabling company in the country after Tyco and Systimax
according to a BSRIA report. Most of its deployments are Cat 5 and Cat 6E. It
needed to have 10 G solutions to become a comprehensive structure cabling
vendor, which it now has thanks to the Leviton tie-up.
D-link India Chairman KR Naik shared, "We always wanted to offer a
complete range of solutions to our customers. This tie-up will help our channel
partners as they can now offer a complete range of solutions to their
clients."
Interestingly, there is no time frame for this 'mutually benefiting'
agreement. So at a future date, if Leviton decides that the Indian market
warrants its direct entry, then it can bypass D-Link and establish itself here.
Talking about this agreement William Slater, Business Development Manager,
OEM, Leviton said, "We will carry on the business with D-Link till its
mutually profitable for both of us and D-Link. Though in terms of 10G we know we
are rushing in the Indian market, but it's always good to be in the market right
from the beginning. as 10G is doing good business in other parts of the world we
would like to introduce it in India also."
Also, D-Link will provide the Leviton structured cabling solutions in all
those countries outside India where it has its base. Meanwhile, Leviton will
provide marketing material and training to D-Link which it can then pass on to
its channel.
Jangoo Dalal, CEO and Managing Director, D-Link India Ltd said, "We have
seen 40 percent growth in our structured cabling business in the last calendar
year and with this tie-up we are expecting our business to grow more. With this
tie-up our partners can now invest more time and more money on our solutions as
they will be able to give a complete set of solutions. "