World software giant Microsoft Corp. set up a new technology center in Hefei of east China's Anhui Province on Thursday, to further consolidate its China operations.

The new institution, Hefei Microsoft Technology Center, was jointly built by Hefei municipal government, Microsoft (China) Company Limited and the Anhui USTC (University of Science and Technology of China) iFlyTec Company Limited.

It will serve as a platform for market-oriented technological exchanges, training and consultation, and develop customized software products and solutions based on Microsoft and partner technologies, said Microsoft Corporate Vice President Timothy Chen.

"We choose Hefei not only for its rich intellectual resources, but also for the local government's unique strategies and insights in developing information technology," said Chen, also CEO of Microsoft Greater China Region, at the center's opening ceremony.

Under a memorandum of understanding signed with National Development and Reform Commission in 2002, Microsoft will invest at least 1 billion yuan (US$120 million) to develop China's software products and services and facilitate their entry into the world's IT market.

After setting foot in China in 1992, Microsoft has expanded business across the country, hiring more than 900 Chinese. It has also strengthened cooperation with Chinese universities, research institutes and software enterprises.

(Xinhua News Agency August 26, 2005)