MICROSOFT Corp announced yesterday that Tim Chen has resigned as head of Microsoft China.

The United States-based software giant has begun a global search for Chen's successor.

Chen, who joined Microsoft in 2003, has been appointed as China's chief executive of the National Basketball Association and the appointment will be effective from October 15, according to a statement from the NBA.

Zhang Yaqin, Microsoft's corporate vice president and chairman of its China Research & Development Group, will become the acting CEO of Microsoft China, according to the company.

"Chen contributed a lot to the company, especially on the cooperation of government and industry partners," said Yu Yang, the president of Analysys International, a Beijing-based IT consulting firm.

During the past five years, Microsoft China's revenue has grown more rapidly than any other market in the world. The company has more than doubled its employee base to a total of more than 3,200.

In the period between 2006 and 2011, Microsoft plans to invest US$100 million in Chinese software companies, to provide US$100 million in software development and services projects, and to provide 80,000 people with IT skills training.

Chen's major achievement was to push the authorized Windows adoption among branded personal computers in China, which has brought Microsoft millions of dollars.

In 2006, China's top PC makers, including Lenovo, bought more than US$700 million worth of Windows operating systems as the country tried to make good on its commitment to stamp out pirated software.

It is a big success of "government PR" for Chen, industry insiders said.

Zhang, who will oversee an organization of 1,500 employees, leads China's R&D group, the company's fastest-growing R&D center outside of the US.

The NBA hopes Chen's long-term China executive experience will help it expand business in the country where the game's popularity among fans was boosted by the success of Yao Ming.

Before joining Microsoft, Chen was Motorola China's head from 2001 to 2003. He holds a Master of Business Administration degree from the University of Chicago and master's degrees in computer science and mathematics.