The State Council issued the 14th five year plan for digital economy, and the digitization process was accelerated again. On the evening of January 12, the State Council issued the “14th five year plan” for the development of digital economy, which affirmed the fruitful achievements of the development of digital economy during the 13th Five Year Plan period, and defined the objectives, path, direction and system construction of the development of digital economy during the 14th Five Year Plan period. The development of China’s digital economy is expected to further accelerate.
Focus on the plan and establish the long-term goal of digital economy. Looking back on the achievements of digital economy during the 13th Five Year Plan period, the added value of core industries of digital economy has reached 7.8% of GDP. Looking forward to the “14th five year plan”, the plan defines several key indicators by 2025: the proportion of core industries in digital economy will increase to 10%; The scale of software and information technology industry reached 14 trillion, with CAGR of 11.4%; The penetration rate of industrial Internet platform has reached 45%, which is currently 14.7%; The number of real name users of online government services has reached 800 million, double that of 20 years.
The top-level planning is clear and the system is built around “data elements”. The core of digital economy is data, which can be seen from the plan. It defines data as production factors, and constructs a perfect market system around data factors, including data factor supply, market-oriented circulation, development and utilization, governance and supervision, and security.
Identify seven key industries and accelerate the digital transformation. The plan clearly mentions that the digital transformation of seven key industries has been comprehensively deepened. Seven key industries include agriculture and water conservancy, industry and manufacturing, industrial Internet, e-commerce, smart logistics, finance and energy. The plan puts forward clear directions and requirements for subdivided fields on the details of digital transformation of seven industries, and the process of industry digitization is expected to accelerate again.
The “digitization” of government affairs and urban and rural areas is clearly mentioned, and the transformation of space and mode can be expected. In the plan, the goal of improving public services is to explicitly mention “Internet plus government affairs”, smart city and digitalization of urban and rural areas. Public services involve all aspects of people’s life, and the digitization of all links ushers in broad opportunities. Take the field of government affairs as an example, take “one network to run” as the starting point, realize the standardization and standardization of various government services, and the construction of relevant IT systems is expected to usher in the double benefits of demand and business model; Drawing on the development of smart cities for many years, the digital construction of urban and rural areas in China is still in the initial stage of sinking, and the changes of market space and mode are worth looking forward to.
Investment suggestion: “digitization” has become the “consensus” of China’s development in the next stage. This plan has made important guidance for China’s digital development, and domestic software manufacturers are expected to become the “pioneer” of Digital China. In the field of enterprise digitization, the first Yonyou Network Technology Co.Ltd(600588) with the attributes of localization, cloud transformation and industrial Internet; In the field of government digitization, it is the first government SaaS leading new point software with high growth and low value. It is recommended to pay attention to Fujian Boss Software Corp(300525) ; In the field of digital new infrastructure, it is recommended to pay attention to Hangzhou Hikvision Digital Technology Co.Ltd(002415) , Zhejiang Dahua Technology Co.Ltd(002236) , Taiji Computer Corporation Limited(002368) , etc.
Risk warning: Government IT budget expenditure is less than expected; Basic software and hardware are facing overseas supply pressure; The development process of new technologies is not as expected.
