Microsoft (MSFT) China will set up a SQL Server R&D Center in China with Prakash Sundaresan as director of the Center.

SQL Server China R&D Center is the first research institution that Microsoft has ever set up in China for a specific product line. After its establishment, it will be engaged in developing core technology and products for the global market by taking advantage of the local human resource, and paying attention to the demand of China and East Asia as well as promoting the construction and development of IT ecosystem along with its partners.

The foundation of this Center is not only another important step that Microsoft China has taken in building China as one of its global core research, innovation and development bases, but also an extension of investment to China following Bill Gates' recent visit to the country.

Zhang Yaqin, chairman of Microsoft China Research and Development Group, said that the foundation of SQL Server China R&D Center shows Microsoft's determination in speeding up its research and development business in China.

At present, Microsoft China Research and Development Group has begun to set up new R&D centers in Beijing and Shanghai. It plans to recruit more staff for its R&D teams in Beijing and Shanghai and increase the total developer number to over 100 in two to three years.

As an enterprise level data management solution, SQL Server is the main income source for Microsoft's server product line. The sales of SQL Server have increased 15% annually in recent two years and it has also grown quickly in the China market.