Tata Consultancy Services Ltd, the largest computer service consulting service provider in India, says that its plan to set up a joint venture company with Microsoft (MSFT) in China has been approved by Chinese regulators.

Tata says it will hold the majority stake, Microsoft will hold 10% and three Chinese companies will jointly hold 28% of the new JV.

The joint venture is backed by China's National Development and Reform Commission, and is expected to become profitable within 18 months.