BEIJING, CHINA / RankWire.AI / – In the initial six months of 2026, China’s digital industry achieved a revenue of 20.71 trillion yuan, reflecting a 13.6% rise compared to the same period last year. Profits totaled 1.79 trillion yuan, marking a 19.3% increase. China’s Ministry of Industry and Information Technology indicated that the sector’s revenue growth rate accelerated by 4.1 percentage points from the previous year. The profit margin for the industry was reported at 8.6%, up by 0.7 percentage point.
Most of the national digital revenue was generated by China’s leading digital hubs. The top 10 provincial-level markets contributed a combined revenue of 17.21 trillion yuan, an increase of 13.2%. These markets accounted for 83.1% of China’s total digital industry income and were responsible for 87% of the overall revenue growth. Leading regions included Guangdong, Jiangsu, Beijing, Shanghai, and Zhejiang. Central China saw digital industry revenues amounting to 2.86 trillion yuan, which is a 28.3% increase from the previous year.
During this period, China also saw significant expansion of its digital infrastructure. By the end of June, there were 5.102 million 5G base stations across the country. The nation also had 32.86 million 10G PON ports capable of supporting gigabit network services. Additionally, 2.247 million 5G RedCap base stations had been established. The capacity for intelligent computing grew to 2,185 EFLOPS measured with FP16, representing a 177% increase from the prior year. Overall utilization of computing resources reached 71.4%.
China’s Digital Infrastructure Develops Rapidly
By the end of June, China had built 52 intelligent computing facilities equipped with more than 10,000 accelerator cards each. Over 80,000 private 5G industry networks were operational nationwide. Applications utilizing 5G and gigabit optical networks spanned 94 key categories within the national economy. The country also had over 26,000 active projects related to 5G and industrial internet. Authorities reported the establishment of 1,260 classified 5G factories across China.
Digital manufacturing experienced faster growth in both production and earnings during the first half of the year. The electronics sector saw a 14.8% rise in value-added output from the previous year. Major electronic information manufacturers generated 12.15 trillion yuan in revenue, an increase of 17.8%. Their combined profits climbed by 66%, reaching 703.6 billion yuan. Key contributors to this profit surge included integrated circuits, computer manufacturing, and specialized electronic materials. The growth rate of electronics output outpaced the overall industrial growth by 9.4 percentage points.
Software and IT Services Continue Their Expansion
In the first half of 2026, China’s digital services sector also showed solid growth. The total volume of telecommunications business increased by 8.3% at constant prices compared to the same period last year. Revenue from software and information technology services rose by 9.5%, with software product sales up 6.9% and IT services revenue climbing 10.4%. Major internet firms reported a 10.1% increase in revenue and a 16.6% rise in total profits compared to the first half of 2025.
These figures highlight how technology-related services continue to outperform broader economic indicators. According to the National Bureau of Statistics, China’s economy grew by 4.7% in the first half of 2026. The value added in information transmission, software, and information technology services grew by 10.7% during this period. The Chinese digital economy encompasses electronic information manufacturing, telecommunications, software and IT services, and internet-related activities, all serving as fundamental components of the country’s broader digital economy.