As per a senior govt. official, the information industry in China is booming and it is expected that the sector will maintain this healthy growth in coming years as well.
Deputy Chief of the Ministry of Information Industry (MII) has forecasted in news published in Chinadaily that by 2010 the generation of value added Information and Communications Technology (ICT) sector may hit US$ 333 Billion. This sector will by then, account for 10% of China's Gross Domestic Product (GDP).
Industry experts expect an increased level of output from ICT investments, as they are related to overall increase of GDP. The ICT industry has received noteworthy investment and support from several other govt. units of China.
As per Business World, the govt. of China exempts ICT industry from all tariffs to sponsor ICT trade. The Govt of China has established more than 50 high-tech free trade regions. The ACFTA (ASEAN-China Free Trade Area) is likely to be ready by 2010 and is expected to provide free surge of information & technology amidst the member nations. This will be in accordance to the e-ASEAN (Association of South East Asian Nations) agreement.
"The information industry has become the pillar of China's national economy," said Lou in news published in Chinadaily. He further added that a sustained boom in coming years could lay the foundation stone for the country to be recognized as an ICT powerhouse.
Growing urbanization and rising income is raising demand in the ICT sector, as China switches over to an all-digital era and technology renovation epoch to hold the 2008 Beijing Olympics.
As per the industry experts, there are two key aspects that would shape the ICT sector in China. First is the govt.'s involvement in the country's economy and the other is technological innovation level in China.
An analyst of RNCOS said: "In order to become global leader in ICT, China should continue its development programs in modernizing its R&D and learning institutions that nurture & reward advanced excellence & global collaboration. With an ideal combination of govt. policies, transparent supremacy for policy execution, maintained elevated R&D and education, and management quality, China is ready to become an international ICT powerhouse in the next ten years.”
Related Market Research Reports:
China Telecom Analysis (2008-2012)
Global IT Security Market Forecast to 2012
Indian Telecom Analysis (2008-2012)
