US-based Hewlett Packard Enterprise has signed an initial pact with VVDN Technologies under which they plan to produce high-end servers worth USD 1 billion in the next 4-5 years, union minister Ashwini Vaishnaw said on Tuesday.

The memorandum of understanding (MoU) was signed within 10 days of the India-US joint statement on co-production and development of technologies.

"It is a pleasure to share that HP Enterprise has agreed to produce high-end servers in India under the IT Hardware PLI scheme which was recently approved by our Prime Minister.

"Under the scheme, they have signed the first MoU with VVDN Technologies. They will have production worth USD 1 billion in the next 4-5 years," the union minister for IT and Telecom told PTI.

He said that the production is expected to start from November this year.

Except for the headline, this story has not been edited by The Telegraph Online staff and has been published from a syndicated feed.