The Redmond-based firm plans to expand its operations in China

Sep 18, 2012 11:44 GMT  ·  By

China continues to offer plenty of business opportunities to global corporations such as Microsoft, so the company is very keen to expand its operations in the country.

Microsoft announced last week that another 1,000 workers would be added to its Chinese workforce in order to continue its development in the mobile sector and thus challenge both Apple and Google. The new employees will join the company in the next fiscal year, while expenditure in the research department is expected to grow by 15 percent.

Craig Mundie, the company's chief research and strategy officer, told Xinhua news agency that Microsoft has already started the construction or new research facilities in Beijing and Shanghai, as part of its plans to expand in the region.

“Microsoft has always seen unique opportunity in China and the Chinese market. Today, China represents the leading market for PCs, mobile devices, and Internet users,” Mundie was quoted as saying. “As the country (China) continues to strengthen its position as a global innovation leader, we believe the future will happen here,” he said.

Microsoft's CEO for China, Ralph Haupter, said in an interview last week that products such as Office 365, Windows Azure and Windows Server 2012 are playing key roles for the overall growth in China, but only if investments in the country continue at the current pace. Microsoft spends about $500 million per year for research and development, but the budget is expected to be increased by up to 15 percent.

“We're committed to continue our partnership with China as we look towards the future, which promises a new era of computing and new opportunities to create continued positive growth and change,” Mundie explained, adding that the fast growth of the technology sector in China has helped the company ever since its first office opened in the country in 1992.