Enlarging and Strengthening China's Software Industry - Interpretation of the State Council Standing Conference Encouraging Six Measures for the Development of the Software Industry Xinhuanet Beijing January 14th, (Reporter Liu Chin) The State Council Executive Meeting on the 12th identified six measures to encourage the development of the software industry and the integrated circuit industry . According to experts from the Ministry of Industry and Information Technology, under the current background of global software and integrated circuit technologies and industrial innovations, the introduction of these measures will help solve the problems of China's software and integrated circuit industries with small scale, weak core technologies, and incomplete industrial chains. The development bottleneck encourages the software industry to become bigger and stronger, which in turn will promote the deep integration of domestic industrialization informationization and promote the development of national economy and social information.
The six measures introduced this time include strengthening investment and financing support; increasing support for research and development; implementing tax incentives; strengthening personnel training and introduction; strictly implementing software and integrated circuit intellectual property protection systems, and cracking down on various types of infringing acts according to law; Strengthen market guidance and standardize market order.
This is not the first time the country has introduced policies to support the development of the software industry. As early as 2000, China introduced a number of policies to encourage the development of software and integrated circuit industries. It can be said that this document has created a good policy environment. Ten years of practice has shown that "a number of policies" have been effective in promoting the development of China's software and integrated circuit industries, and the industry has made considerable progress.
Statistics from the Ministry of Industry and Information Technology show that China’s software industry revenue increased from 59.3 billion yuan in 2000 to 997.0 billion yuan in 2009, with an average annual growth rate of 36.8%. Software exports jumped from 400 million U.S. dollars in 2000 to 18.5 billion U.S. dollars in 2009, with an average annual growth rate of 53%. The proportion of software industry income in the electronic information industry rose from 5.8% in 2000 to the current 18%. In 2010, the sales revenue of China's software industry exceeded 1.3 trillion yuan, an increase of more than 30% from 2009.
At the same time, the scale of China's integrated circuit industry has grown from 18.6 billion yuan in 2000 to 100 billion yuan in 2009. It is expected that sales revenue in 2010 will reach 142.4 billion yuan, a year-on-year increase of 28.4%. The output has increased by more than 10 times, and it is expected that the output will exceed 60 billion in 2010. Exports jumped from 1.69 billion U.S. dollars in 2000 to 23.3 billion U.S. dollars in 2009, an increase of 14 times. The scale of the integrated circuit industry accounts for the proportion of the global integrated circuit industry from less than 1% in 2000 to the current 8.5%.
“Compared with foreign advanced levels, China’s software and integrated circuit industry is still weak, and it needs to maintain the continuity and stability of industrial policies when it becomes bigger and stronger. The six measures and the “several policies†continue in the same vein and are expected to further optimize the industrial development environment. It is also a strategic need for national development," said the expert from the Ministry of Industry and Information Technology.
In recent years, although China's software and integrated circuit industries have developed rapidly, compared with developed countries, they are neither large nor strong, and their sustainable development capabilities are limited.
First, the scale of the industry is small, and large companies are not strong. The share of China's software industry in the global software industry is only 6%. The proportion of the software industry's revenue to the electronic information industry is 18%, which is still relatively low compared with developed countries such as the United States and Japan (over 40%). Although China's integrated circuit industry accounts for 8.5% of the global IC industry, it accounts for less than 2% of China's electronic information industry.
Taking 2009 as an example, the sum of the output value of the top 100 companies in China's software business is not as large as the corresponding business income of an IBM company. The total sales revenue of more than 500 integrated circuit design companies in China is only one-half that of Qualcomm.
In addition, the core technology is subject to people is also a major challenge for the development of China's software and integrated circuit industry.
At present, China's operating systems, databases and other basic software rely on imports. The accumulation of integrated circuit core technologies is small, and the products are mainly based on medium- and low-end products. The market share of domestic products is only about 20%. High-end core chips used in key machines and key information systems rely on imports. Correspondingly, the trade deficit in integrated circuit products has been expanding year by year, from 8.6 billion U.S. dollars in 2000 to more than 100 billion U.S. dollars in 2010, and it has become China's first bulk import commodity for seven consecutive years.
"Insufficient innovation capacity has brought serious hidden dangers to national information security," said experts from the China Software Industry Association.
The imperfection of the industrial chain is another weakness of China's software and integrated circuit industry. At present, the combination of China's software R&D and industry, applications, and services is not closely linked and the structural contradictions are very prominent. The development of integrated circuit support equipment for integrated circuit equipment, instrumentation and materials industries, and EDA tools has lags behind. The self-sufficiency rate of key equipment, instruments, and materials is less than 10%, and EDA tools for integrated circuit design basically rely on imports.
"It is very difficult for basic software to break through, and the capacity of large-scale information system integration services needs to be improved. It is basically in the middle and lower reaches of the global industrial value chain," said Xu Xiaotian, executive vice president of China Semiconductor Industry Association.
At present, the global software and integrated circuit industry is showing new changes and features such as networking, intelligence, platformization, integration, and service, and the industrial structure has entered a major adjustment period. In order to seize the commanding heights, the developed countries continue to maintain the advantages of international competition, hold the right to speak and control, have introduced new strategies and policies, invested a lot of funds and resources, and focused on supporting the development of the software and integrated circuit industries.
“The supporting capabilities of the software and integrated circuit industries for the development of the national economy and society are very important. The practice of ten years of development of the software and integrated circuit industries in China proves that for a latecomer country, it is necessary to make a difference in the new round of competition. To ensure national information security, the government’s policy support is indispensable. We must vigorously promote the deep integration of the two industries and nurture and develop strategic emerging industries. We also urgently need to further support the development of the software and integrated circuit industries,†said an expert from the Ministry of Industry and Information Technology.
The six measures introduced this time include strengthening investment and financing support; increasing support for research and development; implementing tax incentives; strengthening personnel training and introduction; strictly implementing software and integrated circuit intellectual property protection systems, and cracking down on various types of infringing acts according to law; Strengthen market guidance and standardize market order.
This is not the first time the country has introduced policies to support the development of the software industry. As early as 2000, China introduced a number of policies to encourage the development of software and integrated circuit industries. It can be said that this document has created a good policy environment. Ten years of practice has shown that "a number of policies" have been effective in promoting the development of China's software and integrated circuit industries, and the industry has made considerable progress.
Statistics from the Ministry of Industry and Information Technology show that China’s software industry revenue increased from 59.3 billion yuan in 2000 to 997.0 billion yuan in 2009, with an average annual growth rate of 36.8%. Software exports jumped from 400 million U.S. dollars in 2000 to 18.5 billion U.S. dollars in 2009, with an average annual growth rate of 53%. The proportion of software industry income in the electronic information industry rose from 5.8% in 2000 to the current 18%. In 2010, the sales revenue of China's software industry exceeded 1.3 trillion yuan, an increase of more than 30% from 2009.
At the same time, the scale of China's integrated circuit industry has grown from 18.6 billion yuan in 2000 to 100 billion yuan in 2009. It is expected that sales revenue in 2010 will reach 142.4 billion yuan, a year-on-year increase of 28.4%. The output has increased by more than 10 times, and it is expected that the output will exceed 60 billion in 2010. Exports jumped from 1.69 billion U.S. dollars in 2000 to 23.3 billion U.S. dollars in 2009, an increase of 14 times. The scale of the integrated circuit industry accounts for the proportion of the global integrated circuit industry from less than 1% in 2000 to the current 8.5%.
“Compared with foreign advanced levels, China’s software and integrated circuit industry is still weak, and it needs to maintain the continuity and stability of industrial policies when it becomes bigger and stronger. The six measures and the “several policies†continue in the same vein and are expected to further optimize the industrial development environment. It is also a strategic need for national development," said the expert from the Ministry of Industry and Information Technology.
In recent years, although China's software and integrated circuit industries have developed rapidly, compared with developed countries, they are neither large nor strong, and their sustainable development capabilities are limited.
First, the scale of the industry is small, and large companies are not strong. The share of China's software industry in the global software industry is only 6%. The proportion of the software industry's revenue to the electronic information industry is 18%, which is still relatively low compared with developed countries such as the United States and Japan (over 40%). Although China's integrated circuit industry accounts for 8.5% of the global IC industry, it accounts for less than 2% of China's electronic information industry.
Taking 2009 as an example, the sum of the output value of the top 100 companies in China's software business is not as large as the corresponding business income of an IBM company. The total sales revenue of more than 500 integrated circuit design companies in China is only one-half that of Qualcomm.
In addition, the core technology is subject to people is also a major challenge for the development of China's software and integrated circuit industry.
At present, China's operating systems, databases and other basic software rely on imports. The accumulation of integrated circuit core technologies is small, and the products are mainly based on medium- and low-end products. The market share of domestic products is only about 20%. High-end core chips used in key machines and key information systems rely on imports. Correspondingly, the trade deficit in integrated circuit products has been expanding year by year, from 8.6 billion U.S. dollars in 2000 to more than 100 billion U.S. dollars in 2010, and it has become China's first bulk import commodity for seven consecutive years.
"Insufficient innovation capacity has brought serious hidden dangers to national information security," said experts from the China Software Industry Association.
The imperfection of the industrial chain is another weakness of China's software and integrated circuit industry. At present, the combination of China's software R&D and industry, applications, and services is not closely linked and the structural contradictions are very prominent. The development of integrated circuit support equipment for integrated circuit equipment, instrumentation and materials industries, and EDA tools has lags behind. The self-sufficiency rate of key equipment, instruments, and materials is less than 10%, and EDA tools for integrated circuit design basically rely on imports.
"It is very difficult for basic software to break through, and the capacity of large-scale information system integration services needs to be improved. It is basically in the middle and lower reaches of the global industrial value chain," said Xu Xiaotian, executive vice president of China Semiconductor Industry Association.
At present, the global software and integrated circuit industry is showing new changes and features such as networking, intelligence, platformization, integration, and service, and the industrial structure has entered a major adjustment period. In order to seize the commanding heights, the developed countries continue to maintain the advantages of international competition, hold the right to speak and control, have introduced new strategies and policies, invested a lot of funds and resources, and focused on supporting the development of the software and integrated circuit industries.
“The supporting capabilities of the software and integrated circuit industries for the development of the national economy and society are very important. The practice of ten years of development of the software and integrated circuit industries in China proves that for a latecomer country, it is necessary to make a difference in the new round of competition. To ensure national information security, the government’s policy support is indispensable. We must vigorously promote the deep integration of the two industries and nurture and develop strategic emerging industries. We also urgently need to further support the development of the software and integrated circuit industries,†said an expert from the Ministry of Industry and Information Technology.