Microsoft, Chinese IT Provider Open Beijing Outsourcing Center

The announcement Wednesday follows by a few weeks an announcement by Microsoft and India's Tata Consultancy Services that they would establish an outsourcing operation, also in Beijing.

Langchao, which noted it is China's largest supplier of IT and applications services, said the new ODC is looked at by Microsoft as a major part of its strategic commitment to China.

"The establishment of the ODC is a significant milestone and strengthens the partnership between Langchao and Microsoft," said the Chinese firm's Eric Lee, in a statement. He is Langchao's executive in charge of all international and outsourcing business.

Microsoft and Langchao established their strategic partnership in November, agreeing to cooperate in the development of .Net platforms, application software, ERP solutions, and OEM development for servers.

Langchao, which observed that it has operations in the U.S., said it has three development centers in China in addition to the Beijing operation.