IT Investment in China: Symantec and Oracle Updates

Posted on March 14, 2008
Filed Under China Business, China Distribution, China Internet |

John Thompson, chairman of the board of directors and chief executive officer of the U.S.-based Symantec Corporation, has announced the establishment of Symantec China R&D Center Chengdu and the establishment of Symantec China Safety Response Center.

Located on the extension line south of downtown Chengdu, Symantec China R&D Center Chengdu occupies more than 40,000 square meters and consists of four buildings. The center is expected to have over 1000 employees by 2009, most of whom will be employed from the local market.

As the largest investment project of a transnational software company in Chengdu, Symantec China R&D Center Chengdu involves up to US$50 million in total investment. Thompson expects it to be the largest R&D center for Symantec in the global market. He says that by establishing Symantec China Safety Response Center in Chengdu, it is helpful for them to advance their user services, which is a major difference between the company’s R&D center in Beijing which mainly focuses on safety storage.

And:

Oracle China has held a grand foundation-laying ceremony for its new office building in Beijing which is expected to be a core office for employees of the company’s many different business departments and home to both the company’s R&D Center and the company’s Partner Solution Center.

…Oracle’s investment in the new office building will help the company push forward its strategy of localization, partnership and long-term commitment in China. At present, more than 7000 companies of key industries in China are using Oracle’s application software and services.

Oracle has 13 branches and 16 offices in China. It has also set up three R&D centers in the country, which are respectively located in Shenzhen, Beijing and Shenzhen, and two partner solution centers that are located in Shenzhen and Beijing, respectively.

Although both these projects have been in the pipeline for quite a while, the timing is fortuitous. With the US heading for a recession and most of the rest of the world holding its collective breath over the fallout, China’s IT market is one of the few opportunities left for sales growth. Having resources on the ground, in country, is the only way to take advantage of it.