SHANGHAI: The world's No 1 PC maker Dell Inc yesterday said it will expand a design centre in Shanghai as part of its drive to better tap into the local market and fight off competition.

Company Chairman Michael Dell said the US firm will increase the number of staff in the centre by 70 per cent, adding 200 people by the end of this year.

The design centre in Shanghai was set up in July 2002, focusing on developing desktop PCs and software.

Despite its global glory, Dell is the No 4 PC maker in China, according to US research house Gartner.

Another US research firm ranked Dell as the No 3 PC maker in China, following local vendors Lenovo Group Ltd and Founder Technology Ltd.

Dell has been working hard to grab market share from local rivals; last year China become the third largest market for the firm.

According to Dell's latest annual report, China led strong growth in the Asia-Pacific region in the fiscal year that ended on February 3.

In 2005 Dell's PC shipments in China increased by 39 per cent to hit 1.5 million units, according to Ye Lei, an analyst with Gartner.

Dell's market share in China in 2005 increased by 0.6 per cent to 7.8 per cent, while its major competitor Lenovo still led the market with a 33.3 per cent market share.

Source: China Daily