New Delhi: Computing hardware manufacturing firm Mega Networks (Magnet) is on track to enter the Rs 1,000 crore club in terms of revenue in the next two years, founder and CEO Amrish Pipada said.
During a conversation with Pipada, Pipada discussed in detail the company's expansion plans, its strategy to capitalize on India's growing AI server market and the role of the Production Linked Incentive (PLI) scheme in its growth.
The CEO expressed confidence in the company's capabilities and said that the domestic company is set to achieve 30-40 percent revenue growth in FY 2025.
Magnet reported revenue of Rs 300 crore in FY24.
“We are on track to join the Rs 1,000 crore club within the next two years based on growing demands and our growth strategy.This includes accelerating its core business by focusing on delivering high-quality products and services, investing in marketing and operational efficiency, and expanding into high-potential emerging technologies such as semiconductor manufacturing, immersion cooling technology and AI servers. ,” Pipada said.
Last year, Mega Networks delivered between 5,000 to 6,000 servers, he said, adding that the company aims to increase its server deliveries to 8,000 servers in the current financial year.
"As part of its expansion plans, Mega Networks is investing approximately Rs 100 crore in a new state-of-the-art factory in Mumbai, which will have an initial capacity to produce 1,500 servers per month," he said.
The new plant, which will further expand production capabilities, is expected to begin operations by the end of the year, he said.Pipada said Magnet's key customers range from leading banks and insurance companies to major media houses, healthcare providers and government bodies.
"Some of our private customers include Reliance and Tata. Major government customers include VSSC, DRDO and ISRO," he said.
Magnet exports to 56 countries including the US, UAE and Europe.
As demand for AI servers continues to grow and the Indian data center market grows rapidly, Pipada said the company is "strategically positioned to capitalize on these opportunities".“We are launching new AI servers designed for businesses and institutions in the era of AI-powered technologies. Our servers feature powerful processors, high-speed memory, advanced cooling, and scalable storage from Nvidia, Intel, and AMD "They are optimized for AI workloads, deep learning and data analytics, enabling organizations to accelerate innovation and decision making," he said.
The founder further said that the PLI scheme of the government has proved beneficial for the growth of the firm.
He said, “With the support of the PLI scheme, we have been able to scale up our manufacturing capabilities, enhance global competitiveness and achieve substantial growth in exports, potentially by more than 6-10 per cent.,
He said that with government support and initiatives like India AI Mission and Make in India, the future looks quite promising.
During a conversation with Pipada, Pipada discussed in detail the company's expansion plans, its strategy to capitalize on India's growing AI server market and the role of the Production Linked Incentive (PLI) scheme in its growth.
The CEO expressed confidence in the company's capabilities and said that the domestic company is set to achieve 30-40 percent revenue growth in FY 2025.
Magnet reported revenue of Rs 300 crore in FY24.
“We are on track to join the Rs 1,000 crore club within the next two years based on growing demands and our growth strategy.This includes accelerating its core business by focusing on delivering high-quality products and services, investing in marketing and operational efficiency, and expanding into high-potential emerging technologies such as semiconductor manufacturing, immersion cooling technology and AI servers. ,” Pipada said.
Last year, Mega Networks delivered between 5,000 to 6,000 servers, he said, adding that the company aims to increase its server deliveries to 8,000 servers in the current financial year.
"As part of its expansion plans, Mega Networks is investing approximately Rs 100 crore in a new state-of-the-art factory in Mumbai, which will have an initial capacity to produce 1,500 servers per month," he said.
The new plant, which will further expand production capabilities, is expected to begin operations by the end of the year, he said.Pipada said Magnet's key customers range from leading banks and insurance companies to major media houses, healthcare providers and government bodies.
"Some of our private customers include Reliance and Tata. Major government customers include VSSC, DRDO and ISRO," he said.
Magnet exports to 56 countries including the US, UAE and Europe.
As demand for AI servers continues to grow and the Indian data center market grows rapidly, Pipada said the company is "strategically positioned to capitalize on these opportunities".“We are launching new AI servers designed for businesses and institutions in the era of AI-powered technologies. Our servers feature powerful processors, high-speed memory, advanced cooling, and scalable storage from Nvidia, Intel, and AMD "They are optimized for AI workloads, deep learning and data analytics, enabling organizations to accelerate innovation and decision making," he said.
The founder further said that the PLI scheme of the government has proved beneficial for the growth of the firm.
He said, “With the support of the PLI scheme, we have been able to scale up our manufacturing capabilities, enhance global competitiveness and achieve substantial growth in exports, potentially by more than 6-10 per cent.,
He said that with government support and initiatives like India AI Mission and Make in India, the future looks quite promising.
