The industrial and information technology sector in China has recently reported encouraging forecasts for 2024, indicating a robust growth trajectory in information technology services and related industriesInformation technology service revenues are projected to see an impressive growth of 11% year-on-year, while revenues from cloud computing and big data services are anticipated to rise by 9.9%. These statistics underscore the transformative potential of digital technologies, alongside continuous advancements in digital infrastructure and data resources, which are increasingly seen as the backbone of modern production capabilities and economic development.

The rapid expansion of the digital economy cannot be overstatedIn the first eleven months of 2024, the digital industry in China reported a staggering revenue of 31.7 trillion yuan, marking a 5.4% increase compared to the previous yearFurthermore, total profits for the digital sector rose to 2.4 trillion yuan, representing a year-on-year growth of 4%. This growth is not merely statistical; it signifies the deepening integration of digital and traditional industries, where digital technologies serve as critical enablers of productivity and innovation.

According to Tao Qing, the Director of the Operation Monitoring Coordination Bureau of the Ministry of Industry and Information Technology (MIIT), the digital industry acts as an essential support for the synergy between the real economy and the digital economyIn a bid to further this integration, MIIT is accelerating the development of various digital industry clusters focused on new generations of information and communication technologies, software and information services, new displays, and the Internet of Things (IoT). To date, 13 national-level manufacturing innovation centers have been established, illustrating a concerted effort to boost corporate innovation capabilities.

The rapid advancements in the digital economy can be attributed to various factors, particularly breakthroughs in next-generation information technologies, including artificial intelligence, big data, and cloud computing

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Additionally, the deployment of 5G networks and the establishment of data centers have made significant contributions to industry growthNew operational models are emerging within industries through the implementation of smart factories and intelligent workshops, leading to considerable investments from enterprises and heightened demand from consumers.

China's network infrastructure capabilities have seen notable enhancements as wellAs of now, the country boasts 4.25 million 5G base stations, with gigabit users exceeding 200 millionMoreover, the mobile internet of things is transitioning from merely 'connecting devices' to creating 'intelligent connections,' engaging over 2.6 billion terminal usersThe total number of standard racks in data centers has surged beyond 8.8 million, showcasing a robust increase of 16.5% from the end of 2023.

China's technological prowess has also significantly escalatedThe share of global essential patents for 5G technology has risen to 42%, demonstrating China's firm hold in telecommunicationsFurthermore, advancements in fixed networks, such as advancements in hollow-core fiber optics and high-speed photonic devices, have made considerable headway, with the first 400G optical backbone network commencing commercial operationsIn satellite communications, commercial services enabling direct connections between mobile phones and satellites are rapidly being rolled out.

Looking ahead, Tao Qing emphasizes the urgency of drafting policies that promote high-quality development within the digital industryThis includes enhancing policy support and resource allocation, bolstering the monitoring of digital industry operations, and ensuring coherence between industrial and financial policiesCollectively, these efforts aim to create a digital industry cluster with international competitiveness, positioning the digital economy as a powerful locomotive for growth.

The convergence of the digital economy with traditional industries continues to deepen, with an increasingly noticeable impact across various sectors

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Su Jingqin, Director of the Platform Governance Research Institute at Dalian University of Technology, highlights that this integration is becoming broader and deeper, transitioning from isolated upgrades within specific sectors to comprehensive, cross-sectoral development.

Widespread adoption of 5G technology, gigabit optical networks, and innovative computing applications have been implemented at scale in industries like manufacturing, healthcare, and energyNotably, the number of exemplary use cases in industrial applications has reached 138,000, while the healthcare sector boasts approximately 37,000 successful implementationsWith over 4,000 5G-enabled factories across the country, the uptake of digital research and design tools among key industrial enterprises has reached an impressive 84.1%, with the average time to develop demonstration factories being cut down by nearly 30%.

The digital economy is reshaping the nature of labor and productivity by fostering the development and application of new production toolsAs analyzed by Hu Yanli, a principal engineer at the Policy and Economic Research Institute of the China Academy of Information and Communications Technology, digitization broadens the scope of labor objectivity and enhances efficiency, infusing fresh momentum into the development of new productive forces.

A visit to the Benxi Tool Co., Ltd. showcases the significance of this digital evolution in manufacturingWithin the company's factory floor, automated guided vehicles and unmanned forklifts flawlessly transport goods while high-definition cameras monitor product qualityThis innovative environment is part of the "5G + Smart Factory" initiative, jointly developed with Liaoning Mobile and ZTE CommunicationsChen Yang, the Minister of Information at Benxi Tool, emphasizes the significance of quality inspection in the manufacturing process, noting that the integration of 5G technology with machine vision has drastically improved defect detection rates to 98%, enhancing overall productivity by 50% and reducing idle time in warehouses by 50% while shortening delivery periods by 20%.

In the realm of digital consumption, tremendous growth is evident as the digital economy permeates daily life

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