Chapter 5: The Information and Communication Technologies: Example of Institute Reform
CHINA’S IT INDUSTRY AND ROLE OF ITS IC INDUSTRY The importance of the IT industry was addressed in the sixteenth National Congress of the Communist Party, stating that the development of the IT industry should take precedence over other industrial sectors and that China should apply information technologies extensively in the economic and social ﬁelds. Following this national ambition the State Council in June 2000 announced a number of policies to encourage the development of the software industry and the integrated circuit industry in China.1 The Deputy Minister of the Ministry of Information Industry (MII) stated at the end of 2002 that ‘if the IT industry in China is to realize its potential and develop by leaps and bounds to make China the world power in this ﬁeld, it is imperative that the bottleneck resulting from restrictions caused by the semiconductor industry and technology be removed’.2 China’s IT industry (electronics information products) continued its rapid ascent in 2003 and registered a manufactured value of RMB1880 billion, which is an increase of 34 per cent over the preceding year. Added value of the industry increased at the same rate and reached RMB400 billion. The value of IT exports totalled US$141 billion, an increase of 53 per cent over the preceding year, considerably higher than China’s overall increase in exports. The IT sector contributed 44 per cent of China’s total exports in 2003. The combined value of the IT industry in the same year reached 4 per cent of GDP, one...
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