What just happened? The US government may impose more technical restrictions on China, but it appears that the growing tensions between countries are not affecting the expansion plans of US companies. Microsoft is one of those, having just confirmed that it will add 1,000 more workers to its China operations and upgrade its campuses over the next few years.
Microsoft employs more than 9,000 full-time people in China, about 80% of whom are R&D and engineering technicians. The company announced that its recruitment drive will bring that number to more than 10,000 over the next year.
Microsoft’s plans extend beyond adding more employees in China. The Windows manufacturer, which has offices in 13 Chinese cities, will modernize its campuses in Beijing, Shanghai and Suzhou over the next three to five years.
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The announcement came on the 30th anniversary of Microsoft’s entry into the Chinese market. “We will continue to enhance our confidence and determination to develop in the Chinese market and expand investment in human resources, campus, education and local ecosystem to create new opportunities in China, backed by the accelerated development of China’s digital economy,” he said. Chairman and CEO of Microsoft Great China, Hu Yang,
This news comes at a time when relations between the United States and China are at their worst. Earlier this month, US officials Nvidia and AMD Help To stop selling high-performance AI-focused GPUs to China and Russia without a license. There is also the United States export ban And sanctions on a number of Chinese companies, such as Huawei, who witnessed its work in the field of smartphones suffer tremendously Since losing access to American-made technologies. It was China acoustic opponent From chip law, too. then there Taiwan.
The announcement is good news for the Chinese economy, which, like the United States, is going through a downturn due to global uncertainty. The country has also been dealing with increased regulatory scrutiny. This situation has led to layoffs at tech giants such as Tencent, Alibaba and Xiaomi, mirroring those US companies that have also cut staff numbers this year.
Expansion plans are a reaffirmation that US companies do not lose faith in China and reduce investment in the country. Like Microsoft, Tesla continues its expansion into the Asian country via the Shanghai Gigafactory (above), already the largest electric vehicle manufacturing facility in the world.