A new research and development center in Shanghai will be Google's third in the country, and should open up in 2007.

Google's co-president in China, Dr. Kai-fu Lee, announced the new Shanghai center in a Xinhuanet report.

More importantly for the company, the potential for online advertising profits in China has increased. By the end of the year, Google should see the number of Chinese sites displaying Google advertising double by year's end.

That's not a very large number currently. Only a dozen sites display Google ads, and Google expects at least 30 sites to be part of its Chinese AdSense network by the time 2007 begins.

Read more about Google's expectations on increasing Adsense revenue from the Chinese market at Webpronews.com.