The software industry in Shanghai, the economic hub of China, developed fast between 2000 and 2005 as income from the sector increased 860 percent during the period, officials said on Tuesday.

The industry garnered an income of 30.3 billion yuan (US$3.79 billion) and employed 120,000 people last year, representing an 860 percent and 500 percent increase respectively since 2000.

It developed even faster this year with a 45.5 billion yuan (US$5.69 billion) income in the first half of the year, according to officials organizing the Shanghai software outsourcing international summit that began on Wednesday.

"Shanghai will focus on training and encourage innovation in the software industry, so as to further boost the development of the industry," said Zhou Bo, director of the Shanghai Foreign Economic and Trade Commission.

Despite rapid development, Shanghai's software industry is still lacking experience, professionals and innovations, said Zhou.

The Shanghai software outsourcing international summit is an annual event that was first launched by the Shanghai Foreign Economic and Trade Commission and the Shanghai Municipal Information Commission in 2003.

(Xinhua News Agency November 9, 2006)