Xi'an, the capital of northwest China's Shaanxi province has seen an increase in software production with foreign counterparts overseas. Official statistics show that the annual income of software enterprises in Xi'an surpassed 2 billion yuan with 2 million U.S. dollars in exports last year, doubling 1998's figures.

Xi'an occupies a dominant position in developing software compared with other Chinese cities. The city has 500 software and network companies and computer research institutes with 30,000 software developers. Computer departments and 40 local universities and colleges provide 6,000 graduates each year. The city has built a high-level software park at the Xi'an New and High-tech Demonstration Zone. Over forty consultancy companies have set up business in the park. Xi'an will join hands with Germany, the United States and France to train software professionals and export five million U.S. dollar-worth of software in 2000.