SMEs can now own branded PCs

Small firms spend 55 per cent of their IT budgets on hardware: Study.

Assembled personal computers (PCs) are not the only low-cost options for small and medium enterprises (SMEs). SMEs can now own branded computers at reasonable cost. With PC prices taking the southward path, SMEs can now own a desktop at a price lower than Rs 16,000 or a laptop below Rs 25,000.

SMEs (enterprises with number of employees between 1-999) in India were poised to invest about $4 billion in computer hardware in 2007, according to Access Markets International (AMI) Partners, Inc.

Kapil Dev Singh, country manager, IDC India, said: "The IT Market in 2006 was worth Rs 61,761 crore, of which the SME spend constituted 38.5 per cent of the overall IT spend amounting to Rs 23,776 crore. Of this total figure, SMEs spent almost 50-55 per cent on hardware."

He added: "PCs topped the list followed by servers and networking products."

Indian manufacturers take the lead in this space, with Mumbai-based Zenith Computers recently launching its low-cost range of laptops. The new range with a starting price of Rs 24,990 comprises three models, Zenith Director, Zenith Admiral and Zenith Presidio.

The range, which is aimed at the mobile workforce and the entrepreneurs and executives of emerging small and medium enterprises, offers its consumers Intel Pentium Dual Core processor with Microsoft Vista starter edition along with on-site warranty at a price which the company claims is 20 per cent lower than the industry average.

HCL Infosystems, is another provider of low-cost PC options. Its laptops are available at a price point of Rs 23,990 scaling up to Rs 45,000 while Busy Bee range of desktops are available within a range of Rs 16,000 and Rs 40,000.

However, Indian manufacturers are not the only players keen on tapping this market, global PC manufacturer. Dell recently launched its Vostro brand of notebook and desktop systems designed for the SME space.

Vostro notebooks start at Rs 29,900 "" the Vostro 1000, 1400, 1500 and the new 1200 model. Dell also has three Vostro desktops starting at Rs 21,900 "" Vostro 200 mini-tower, Vostro 400 mini tower and Vostro 200 Slim Tower.

Lenovo, another big PC manufacturer which acquired IBM's PC business over a year ago, is aggressively positioning its ThinkPad brand of notebook products for the small and medium enterprises (SME) customers in India. The company also launched its Lenovo 3000 products, starting at Rs 35,000 targeted at individual customers and lower-end SMEs.

Global giant Hewlett-Packard (HP) also has its low cost range "" HP 520 vista model ranging between Rs 39,990 and Rs 42,990. HP 6720s vista model ranges between Rs 52,990 to Rs 57,990. HP's lower range HP Compaq Presario desktops are available at a starting price of Rs 16,990, while its laptop range starts from Rs 24,990.