Flextronics acquires Deccanet

K.C. Krishnadas
(12/15/2004 9:51 AM EST)

  BANGALORE, India — Flextronics International Inc. has acquired Deccanet Designs Ltd., a telecommunications supplier based here providing software and hardware design services. The sale price was not disclosed.

The deal is the fourth this year by Singapore-based Flextronics to bolster its research and development presence here. Earlier acquisitions were Hughes Software Systems Ltd., Future Software Ltd. and Emuzed Inc.

"The addition of Deccanet will strengthen our original device manufacturer and design services offerings in the area of carrier-class communication products and services," said Ash Bharadwaj, president, Flextronics Design and ODM Services.

Deccanet's early investors include Intel Capital. With about 300 employees, it counts among its customers Motorola, Intel, Huawei and Broadcom. Revenues in 2003 totaled just under $9 million.

The acquisition also gives Flextronics, which has a manufacturing facility here, a much larger presence in terms of employment. About 4,000 staffers are employed by the Indian companies acquired by Flextronics. It is believed that Hughes Software, Future Software and Deccanet Designs will be merged while Emuzed, an intellectual property services provider for multimedia, will remain a separate division.