Delta Electronics India recently announced a strategic partnership with Savex Technologies, one of India’s largest ICT distributors. The collaboration is expected to significantly broaden Delta’s market reach, particularly across data centers, SMBs, and government projects, while also targeting underserved markets in tier 3 and tier 4 cities. In an exclusive conversation, Rajesh Kaushal, ICT Business Group Head, India & SAARC, Delta Electronics India, discusses the importance of this partnership, the challenges and opportunities in these markets, and Delta’s strategy to enhance its presence in India.
What were the key reasons behind Delta Electronics choosing Savex Technologies as a strategic partner? How do you see this collaboration enhancing Delta’s presence in various sectors?
This is a crucial partnership for Delta as Savex has a strong distribution network across India. Savex has proven expertise in distribution arrangements, representing major multinational companies across sectors such as ICT, electronics, and security solutions. They have a solid financial track record and an experienced team, making them the ideal partner for us. This collaboration will allow Delta to expand our reach deeper into various markets, spanning across different applications and geographies.
As Delta focuses on expanding into tier 3 and tier 4 cities, what challenges do you anticipate in reaching these underserved markets, and how does your partnership with Savex help overcome them?
The biggest challenge in these markets is achieving reach, as they are thinly spread, especially for our data center solutions. Reaching SMBs in these areas is not easy. By partnering with a distributor like Savex, who can complement our current reach, we can strengthen our network and tap into these small and medium-sized enterprises more effectively.
Our distribution strategy includes various types of partners—enterprise business partners, high-power partners, authorized business partners, and system integrators. Savex will help us reach all these layers across tier 2 and tier 3 cities. Their support will extend our presence to system integrators and other key partners in these regions.
How do you envision this partnership evolving in the next 3 to 5 years, particularly in penetrating these underserved markets?
We see this partnership as a key go-to-market strategy, especially in underserved markets where SMBs are spread across different industries. With Savex’s capabilities and experience, we expect to make significant inroads into government applications, IT verticals, infrastructure projects, and manufacturing. Over the next 3 to 5 years, we aim to grow alongside Savex by leveraging their network to reach these markets. With this partnership, we aim to serve an additional 200 to 300 partners across the country. This will enhance our existing reach and allow us to tap into new opportunities in underserved markets.
What specific Delta Electronics solutions will Savex Technologies be promoting in these regions? Will it focus solely on data center and power management solutions, or is a broader portfolio in consideration?
Initially, the focus will be on our data center solutions, which offer a wide range of products. However, once we establish a strong presence in this segment, we plan to introduce other Delta business groups, such as industrial automation, EV charging solutions, renewable power solutions, and display solutions. So, this partnership will eventually cover a broader portfolio.
How do you view the market divide between tier 1 and tier 2 cities and underserved markets like tier 3 and tier 4? What are the key challenges?
The digital divide between these markets is gradually narrowing, thanks to advancements like affordable telecom services and increasing smartphone penetration. However, there are still challenges in technology adoption, especially in tier 3 and tier 4 markets. We believe that as technology becomes more accessible, this divide will diminish. That’s why we’re focusing on reaching these markets with the help of our distribution partners.
How will this partnership help address India’s growing demand for advanced technology and energy-efficient solutions?
Energy efficiency is at the core of Delta’s business. This partnership with Savex will allow us to promote our energy-efficient power management solutions, especially in the data center and power backup segments. Our solutions not only help consumers but also contribute to national efforts in conserving energy and reducing wastage.
What are the key technology trends Delta is focusing on, and are there any upcoming solutions for the Indian market?
We’re focusing on artificial intelligence and machine learning as key technology drivers. With AI-driven data centers becoming more prevalent, Delta is offering high-efficiency power and cooling solutions for these applications. These technologies are critical for supporting high-power density electronics in AI-driven environments.
