Microsoft plans to add 1,000 staff to its workforce in China over the next year, a move aimed bolstering its foothold in a key market with serious growth potential, Reuters reports.

Ralph Haupter, CEO for the software giant’s Greater China division, told reporters in Beijing that the new employees will work in research and development, sales, marketing and services.

Microsoft shells out $500 million a year on R&D in China and plans to increase that by 15 percent in the next year, Ya-Qin Zhang, chairman of the company’s Asia Pacific R&D group, told Reuters.

Microsoft employs 4,500 workers in China, where software piracy and regulation have been stumbling blocks. The company is making inroads by reaching large swaths of Chinese customers like local governments and public institutions, Haupter said.

With the new hires, Microsoft’s China workforce will be almost as big as its staff in India, where it employs 5,800 people.

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  • guest

    MS has been overinvesting in China for more than a decade with very little to show for it. Now they want to add another 1,000 headcount? Unless they’re planning on moving further into hardware+software solutions like Surface, which is unlikely, that’s a bit of a head scratcher. Unless this is just replacing more expensive north american headcount with cheaper Chinese ones.

    • SumGuy

      If you do the math currently the average salary per person is 500,000,000/4500=86,206 a year. You have to take account other cost and most of the budget is going to few hundred people. Where the math gets interesting is. 15% of 500 million is 7.5 million divide that by 1000 more workers and you get 7,500 a person.

      No wonder why America is running out of jobs. Technology jobs paying less than fast food or construction jobs here. The problem is every thing is much more expensive here, we can’t work that cheap. So the problem will always be there. Every company is doing it.

  • Michael Hazell

    Why don’t they build more locations in the US and hire more of THEIR OWN COUNTRYMEN! We don’t need to be investing in China, a place that has taken most of US jobs.

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