TAIPEI -- Microsoft and H-P will establish a joint technology center in Taiwan, focused on investing in advanced software, hardware and improving technical support to its Taiwan partners. About 80% of the world's PCs are built in Taiwan.

The new center -- Microsoft's 16th worldwide -- is expected to generate a small amount of revenues -- the firms estimated about $83 million in five years. That's a drop in the bucket relative to the companies' annual sales, however.

Taiwan is home to most of the world's top makers of PC hardware, including Quanta Computer, Foxconn, Acer and Compal Electronics.

In a press statement, Global Microsoft Technology Center director John Knutsen said, "Microsoft and H-P solution centers will help advance the technology of our Taiwanese business partners and corporate clients."

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