Silicon chip designer Wolfson Microelectronics, whose clients include Microsoft and Apple, plans to set up base in India in order to take advantage of the lower costs.
The Edinburgh-based company is awaiting approval from India to open an office in Bangalore.
An industry source said many of the 350 million pound group's major clients, including Sony and Hewlett-Packard, are increasing their research and development presence on the subcontinent in order to take advantage of lower costs.
Wolfson designed the chips used in Apple's video iPod and Microsoft's Xbox360.
"Wolfson need to be close to the design and development activity so there is a real need for them to have people on the ground there," the source said.
In November three multinationals, including Microsoft, revealed plans to invest 3.3 billion pounds in India. Microsoft's chairman Bill Gates said during his December visit to India that his company will hire more people in India than any other country over the next three to four years.
Microsoft plans to recruit 3000 people over the period, taking its headcount in India to 7000.