Meganet set to log Rs 1,000 cr revenue in next two years, says CEO Pipada
“Some of our private clients include Reliance and Tata. Major government clients include VSSC, DRDO, and ISRO,” he said. (Photo: X@ANI)
Computing hardware manufacturing firm Mega Networks (Meganet) is en route to entering the Rs 1,000 crore club in terms of revenue in the next two years, founder and CEO Amrish Pipada said.
During an interaction with PTI, Pipada extensively discussed the firm’s expansion plans, its strategy to encash India’s burgeoning AI server market, and the role of the Production Linked Incentive (PLI) scheme in its growth.
The CEO exuded confidence in the company’s capabilities and said the homegrown firm is set to achieve a 30-40 per cent revenue growth in FY25.
Meganet recorded a revenue of Rs 300 crore in FY24.
“We are on track to join the Rs 1,000 crore club within the next two years on the back of evolving demands and our growth strategy. This involves accelerating our 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 semiconductors fabrication, immersion cooling technology, and AI servers,” Pipada said.
Last year, Mega Networks delivered between 5,000 and 6,000 servers, he said, adding that the company targets to ramp up its server delivery to 8,000 servers in the current fiscal.
“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 of producing 1,500 servers per month,” he added.
He said the new plant, which will further enhance the production capabilities, is expected to begin operations by the end of the year.
Pipada informed that Meganet’s key clients range from leading banks and insurance companies to prominent media houses, healthcare providers, and government bodies.
“Some of our private clients include Reliance and Tata. Major government clients include VSSC, DRDO, and ISRO,” he said.
Meganet exports to 56 countries, including the US, UAE, and Europe.
As the demand for AI servers surges and the Indian data centre market expands rapidly, Pipada said the company is “strategically positioned to capitalise on these opportunities”.
“We are launching new AI servers designed for businesses and institutions in the era of AI-driven technologies. Our servers feature powerful processors from Nvidia, Intel, and AMD, high-speed memory, advanced cooling, and scalable storage. They are optimised for AI workloads, deep learning, and data analytics, enabling organisations to accelerate innovation and decision-making,” he said.
The founder further said the government’s PLI scheme has proven beneficial for the firm’s growth.
“With the PLI scheme’s support, we have been able to elevate our manufacturing capabilities, enhance global competitiveness, and achieve substantial growth in exports, potentially increasing more than 6-10 per cent,” he said.
With government support and initiatives like the India AI mission and Make in India, the future looks exceedingly promising, he added.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
First Published: Jun 02 2024 | 4:29 PM IST