BEIJING, CHINA / RankWire.AI / – As part of its ongoing digital transformation, China’s industry in this field generated a total of 20.71 trillion yuan in revenue during the first half of 2026, marking a 13.6% increase compared to the same period last year. Profits surged by 19.3% to reach 1.79 trillion yuan. According to China’s Ministry of Industry and Information Technology, the growth rate of revenue accelerated by 4.1 percentage points from the previous year, with the profit margin rising to 8.6%, up 0.7 percentage point.
Major digital industry hubs within China contributed significantly to the national total. The top ten provincial-level markets collectively generated 17.21 trillion yuan, an increase of 13.2%. These markets accounted for 83.1% of the country’s total digital revenue and drove 87% of the overall growth. Leading regions such as Guangdong, Jiangsu, Beijing, Shanghai and Zhejiang were among the key players. The central China region posted 2.86 trillion yuan in revenue, experiencing a 28.3% rise from the previous year.
In addition to market expansion, digital infrastructure experienced considerable development in the first half of the year. By June, China had 5.102 million 5G base stations. The country also operated 32.86 million 10G PON ports capable of supporting gigabit-level network services. The number of 5G RedCap base stations reached 2.247 million. Meanwhile, intelligent computing capacity surged to 2,185 EFLOPS using FP16 measurement, reflecting a 177% increase year-over-year. Overall utilization of computing resources stood at 71.4%.
Expansion of Digital Infrastructure Across China
China had established 52 intelligent computing facilities by the end of June, each equipped with more than 10,000 accelerator cards. The country also supported over 80,000 private 5G industry networks. Applications utilizing 5G and gigabit optical networks spanned 94 major sectors of the national economy. Additionally, China had more than 26,000 active 5G and industrial internet projects. Authorities noted the establishment of 1,260 classified 5G factories nationwide.
The manufacturing sector within the digital realm experienced rapid growth in both output and earnings during the first half of 2026. The electronics industry’s value-added output increased by 14.8% compared to the previous year. Major electronic information manufacturers reported revenue of 12.15 trillion yuan, up 17.8%. Their combined profits rose sharply by 66% to 703.6 billion yuan. Contributions from integrated circuits, computer manufacturing, and specialized electronic materials played a crucial role in boosting overall profits. Electronics production growth outpaced the broader industrial growth by 9.4 percentage points.
Growth Continues in Software and IT Service Sectors
In the first half of 2026, China’s digital services sector maintained a steady upward trajectory. Total telecommunications business volume increased by 8.3% at constant prices compared to the same period last year. Revenue from software and IT services grew by 9.5%. Specifically, software product revenue rose 6.9%, while IT services revenue advanced 10.4%. Leading internet companies reported a 10.1% increase in revenue alongside a 16.6% rise in total profit from the same period in 2025.
These positive figures align with broader technology-related services outpacing overall economic growth. According to the National Bureau of Statistics, China’s economy expanded by 4.7% in the first half of 2026. The sectors of information transmission, software, and information technology services experienced a 10.7% increase in value added during this period. Overall, China’s digital industry encompasses electronic information manufacturing, telecommunications, software and IT services, and internet-related activities, forming a vital part of the country’s larger digital economy.