Dax scouting for funds to expand biz

Networking brand Dax is on the path to reinvent itself. The company, which
was maintaining a low profile for the last couple of years, is now ready to
take-off, said K Surendar, Country Manager, Dax Networks. Dax Networks is
looking for strategic investors to build its business and take it to the next
level. When DQC contacted Surendar, he said, “The news is true. But, I don't
know the details of it, since the top management is involved.”

Surendar also said Dax Networks is on its way to become one of the leading
enterprise solution providers. “Though we did not make much noise in the
market in the last two years, we were silently working on building our brand.
Dax worked on three basic principles of credibility, references and network of
system integrators, which has started paying dividends now. Today, Dax is
winning orders from customers competing against Cisco and Nortel, among others,”
he claimed.

Dax has been registering a consistent growth of around 15 percent, though the
networking industry was growing at an average 26 percent. “We are poised to
achieve Rs 100 crore this year, and to break this threshold mark, Dax will scale
new heights in the market in the coming years,” remarked Surendar. The company
is projecting a 50 percent growth next fiscal.

Dax Networks has an interesting history of getting into business as a
value-added reseller (during Apcom days) and growing into a brand with
networking opportunities. In 1999, Dax created sensation in the market with its
modem and other entry-level networking products, before quickly moving into
mid-range products between 2000-03. Later, the company tried to position itself
as an enterprise solution provider focusing on routers, managed switches and
other transmission products.

“On the products side, routers, switches and cabling will constitute up to
50 percent of the total networking business. Dax will focus more on wireless and
voice solutions,” added Surendar.

The company is also increasing its channel presence with the appointment of
more ADSPs (authorized Dax solution providers) across the country, by doubling
it to 200.

S Gopikrishna