Microsoft is to collaborate with Taiwan's Chunghwa Telecom (CHT) on software applications and cloud services for end-user devices.
The strategic alliance will give CHT access to Microsoft's technologies to deliver mobile and cloud services for businesses and consumers, according to reports.
The partnership will focus on software-, platform- and infrastructure-as-a-service offerings and will use Windows 7 technology to provide value-added services for PCs, smartphones and TV.
Steve Ballmer, chief executive at Microsoft, said the two companies will work together to deliver a new generation of seamless, connected experiences that bring the power of cloud computing to consumers and to business of all sizes in Taiwan.
"These efforts will include everything from the implementation of an optimised, dynamic datacentre to hosted services for businesses and new cloud-based services for consumers that span PCs, mobile phones and the television," he said.