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An offshore delivery office in India to Enable Growth

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Ipeer, a mid-sized hosting company based in Karlstad, Sweden, had a need to grow their delivery capacity. An office in India gave them access to competencies that were difficult to acquire in Sweden.

Ipeer provides hosting services, simply put a way for a company to buy server capacity as a service instead of building such internally. With impressive growth in customer demand and a top-of-the-line data centre co-located with the head office in Sweden, access to qualified personnel was a problem that threatened future growth.

subsidiary complements the company

Ipeer already collaborated with a third party in India, and was aware that the right competencies for hosting operations were abundant in the country. To take the setup one step further and acquire full control, Ipeer chose to:

  • Set up an own legal entity, Ipeer India Pvt. Ltd.
  • Set up an office in Bangalore
  • Recruit a local Managing Director to drive the local operations, including a first assignment to execute a plan to grow the headcount to 16 people within a year

- India has come far when it comes to competence in our field. We’re doing this to complement the operations in Sweden. The Indian company will become an integrated part of the operations driven from Sweden, says Thomas Hedlund, chairman of the Board of Ipeer.

support in the full process

Business Sweden assisted Ipeer in the full process, including forming the legal entity, recruiting a local MD, and handling the bookkeeping and related services in the start-up phase. The subsidiary is today a stable operation that has become a natural part of the company.

- It was very exciting working with Ipeer. They had a clear idea on what they wanted to achieve in India, and our team complemented that with the knowledge of how to make that idea become reality in India, says Gustav Wennerblom, Manager of Business Sweden in Bangalore.

Click here for a link to an article about Ipeer in Dagens Industri, Sweden's largest daily business paper. The article is in Swedish.

Note: In October 2014, Ipeer was acquired by TeliaSonera AB. Ipeer constitutes part of Cygate’s operations  within Telia Sonera’s business-to-business offering, and is a part of Cygate’s business unit for cloud- and hosting services.