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Offshore Outsourcing World: Chipmakers bet their chips on Bangalore
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Monday April 26, 2004 at 7:15AM - Offshore Outsourcing World Staff

Chipmakers bet their chips on Bangalore

More and more high-tech firms are putting their chips on Bangalore, especially makers of microprocessors or those tiny pieces that run every PC in the world today.

US chipmaker AMD recently announced it will invest at least 5 million dollars in setting up a design facility in Bangalore that will employ Indian engineers.

AMD cited outstanding engineering talent and lower operating cost as reasons for selecting Bangalore.

These are the very same reasons cited by chipmakers Intel and Texas Instruments which also set up design centers in Bangalore just a few years ago.

Indian engineers will have a hand in designing AMD's next-generation of more powerful chips, which will open a lot of doors to engineering talents in the East.

But the underlying benefit in high-tech firms outsourcing to the other side of the world is that it helps usher in technology to THAT side of the world.

AMD said it will also make use of its facility in Bangalore to help develop chips especially designed for emerging markets like India and other countries in Southeast Asia.

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