Beijing,China

China is starting a long-delayed introduction of third-generation mobile phone service, setting off a politically charged scramble by foreign and Chinese equipment makers for up to $41 billion in orders.

Chinese sales could be crucial for suppliers such as Motorola Inc., Alcatel-Lucent SA and Nokia-Siemens Networks as global demand slumps. State media say the largest Chinese carrier, China Mobile, expects to sign up 100 million 3G subscribers -- more than most nations' entire mobile markets -- in the next three years.

The Chinese government is stirring trade tensions with Washington with a plan to require foreign computer security technology to be submitted for government approval, in a move that might require suppliers to disclose business secrets.

Most people in the U.S. and elsewhere in the West think of China and India largely as sources for inexpensive products and services. Few know that China, India, and other developing countries are taking center stage in the global war for innovation and talent.

Microsoft Corp. expects its Beijing research center to start producing breakthroughs that could lead to global products in health care and other areas, the software giant's chief research officer said Wednesday as the center marked its 10th anniversary.

Microsoft is part of a wave of companies that are expanding research and development in China to serve its fast-growing market and take advantage of a huge Chinese talent pool of scientists and engineers.

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