Huawei has continued its assault on the local telecoms market, setting up shop in Adelaide.
The move comes after the company announced it would work with Vodafone to upgrade the mobile network across South Australia, and is set to result in 50 new jobs.
South Australian premier, Mike Rann, said the move was a positive one for the state.
"This is great news for South Australia's growing communications technology industries," Rann said in a statement. "As a state, we have been committed to strengthening our links with China, and today's announcement by Huawei further builds on those ties."
The move will include the creation of a new office to support the Vodafone rollout, and was announced during Rann's recent visit to the company's Shanghai research and development centre.
Vodafone's state manager for South Australia, Steven Hobson, said its project with Huawei was crucial to the company's future in the region, with a Huawei office playing a crucial role in upcoming trials on the National Broadband Network (NBN).
"We already employ around 50 people at our Adelaide office and Huawei's new office will form an important strategic headquarters for our network upgrade throughout South Australia, which is now underway," Hobson said.
As well as working on the Vodafone contract, Huawei will also work on installing equipment in 100 new local sites in a bid to improve local coverage and increase its network capacity.
The move comes as Huawei last month announced it would establish a local board of directors in a bid to secure more Australian contracts.
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