As per the plan, Magic India, which is an independent software vendor (ISV) partner for IBM, plans to leverage on the latter's technology and develop products on its platforms. The company is expecting a 20 per cent rise in business from products built on IBM platforms, this year.

According to Magic India product manager, Parkash Balwani, the company will launch its e-commerce product, `e-merchant' in India in the coming months. The business-to-business interface will integrate all enterprise systems to enable transactions on the Net.

The company had posted a turnover of around Rs 4.5 crore last year while it is seeking to clock a turnover of Rs 10 crore by March 2000. The business volume isexpected to grow by 50 per cent. "The new product, EnterpriseWise will be another major revenue earner," Balwani said.

As per the agreement with IBM, the company will develop products on AS/400 and DB2. It has already developed a product called Magic 400. IBM has allowed the company to use its facilities to beta test its new solutions and initiated joint marketing and promotional activities. "The products are aimed at the government and manufacturing sector. IBM will provide technological support and it's a 50:50 partnership," Balwani said.

Another project is to Web-enable all its product modules like HR, payroll and personal administration. Training of staff will also be undertaken through the Net. Small Business Suite (SBS), another product, has been developed on all major platforms including Lotus Domino.

Magic India recently took over the complete functional control of Magic Software of Nigeria and appointed an Indian director as its chief executive.The company is doing major projects in Nigeria,according Balwani, including those of petrochemicals giant Chevron, which is worth $50,000.

The $50-million Magic Software of Israel is a Nasdaq-listed entity. The company went through a major financial crisis during the last couple of years owing to large-scale decline in sales. "We made the mistake of focussing too much on tools rather than developing solutions and products," Balwani said.