Date:10/08/2004 URL: http://www.thehindubusinessline.com/2004/08/10/stories/2004081002020700.htm

Back Amada moves software unit to Chennai, Shanghai

Our Bureau

Mr Toshio Takagi, Director, Amada Co Ltd, and Mr Periasamy Thanapandi, also of Amada, at a press conference in Chennai on Monday. - - Bijoy Ghosh

Chennai , Aug. 9

AMADA Co Ltd, one of Japan's largest sheet metal machine manufacturers, has shifted its software development to Chennai and Shanghai from its headquarters in Kanagawa, near Tokyo.

Last year, the company closed down its software division, Amtech, in Japan, due to high software development cost and transferred about 100 professionals to sales and services, Mr Toshio Takagi, Director, Amada, told reporters here today.

The company's 100 per cent subsidiary in Chennai, Amada Soft India, currently employs about 60 professionals, and the Shanghai centre about 100, he said.

According to Mr Takagi, the US-based Metalsoft Inc does new product development for Amada. However, the software, which is used as a tool to operate Amada's machines, is outsourced from Chennai for CAD (computer-aided design), and from Shanghai for CAM (computer-aided manufacturing), he said.

Mr Periasamy Thanapandi, of Amada Co, said that Amada Soft was started with six employees in 1996, and reported a turnover of Rs 4.43 crore last year. The revenue is likely to be about Rs 7 crore by the end of year, he said.

Mr Takagi said the company expected to double revenue to $20 million (about Rs 90 crore) during the current year on increased selling of Amada's products, which include machines for cutting and bending and robotics.

Globally, Amada's revenue was $2 billion.