Event overview
On May 17, the CPPCC National Committee held a special consultation meeting on “promoting the sustainable and healthy development of digital economy”. Vice Premier Liu of the State Council pointed out that at present, the global economy is showing new characteristics such as intelligence, quantization, cross-border integration, in-depth penetration and exponential speed of change. We should strive to adapt to the all-round changes brought about by the digital economy and improve our comprehensive national strength and international competitiveness.
To promote the sustained and healthy development of digital economy, mining the value of data assets is the key
According to the document issued by the people’s Political Consultative Conference, the largest resource of digital economy is data, and the focus of digital industrialization is data capitalization. At present, data, as the core production factor of digital economy, has received considerable attention in all walks of life, but its asset attribute has not been reflected at present. It is necessary to realize its value reasonably and legally through market transactions. On April 10, 2022, the opinions of the State Council on accelerating the construction of a national unified market proposed to speed up the cultivation of data element market, establish and improve basic systems and standards such as data security and rights protection. At present, China has established more than 30 data trading centers, including Beishu. We believe that the value of data will be further highlighted in the future, and the digital economy will be an important pole of China’s economic development.
Based on data, governments at all levels have accelerated the construction of digitization
Focusing on data value mining, at present, 31 provinces in China have put forward their own routes of digital transformation, such as deepening the “transformation of 10000 enterprises” in Hebei, rebuilding the industrial foundation, and implementing more than 5000 technological transformation projects; Intelligent transformation of Shanxi coal mine and accelerating the construction of 5g smart mine; Anhui will deepen digital empowerment and promote industrial Siasun Robot&Automation Co.Ltd(300024) over 8000 units in 2021. Overall, the 14th five year plan for digital economy puts forward the requirement that the added value of core industries of digital economy should account for 10% of GDP in 2025. According to the target calculation, the scale of industrial digitization is expected to reach 70 trillion during the 14th Five Year Plan period.
Lay a solid foundation for digital industrialization and open space for industrial digitization
Under the digital economy, digital industrialization is the foundation, and industrial digitization brings huge market space. Specifically: 1) power informatization: digitization is the best means to solve the problem of new energy grid connection, peak shaving and valley filling. During the “14th five year plan” period, the investment in intelligent power grid is expected to reach 400 + billion yuan. It is suggested to pay attention to: Longshine Technology Group Co.Ltd(300682) , Ygsoft Inc(002063) , China Southern network technology, Dongfang Electronics Co.Ltd(000682) . 2) Financial it: the upgrading of financial system represented by digital RMB opens up new space for financial it. IDC expects that the scale of Bank Of China Limited(601988) it transformation in 2022 will be about 6.5 billion US dollars. It is suggested to pay attention to: Grg Banking Equipment Co.Ltd(002152) , Yusys Technologies Co.Ltd(300674) , Digital China Information Service Company Ltd(000555) . 3) Smart car: the penetration rate of DMS and ADAS is still low. As the key point of differentiated competition of cars in the future, both of them have a market space of 100 billion. It is suggested to pay attention to: Thunder Software Technology Co.Ltd(300496) , Jingwei Hengrun, Huizhou Desay Sv Automotive Co.Ltd(002920) . 4) Artificial intelligence: AI + scenarios are accelerating in the whole industry. IDC expects the scale of China’s AI market to be about US $11.9 billion in 2024. It is suggested to pay attention to: Iflytek Co.Ltd(002230) , Pci Technology Group Co.Ltd(600728) , Opt Machine Vision Tech Co.Ltd(688686) . 5) Network security: network security is the cornerstone to ensure the development of digital economy. Frost & Sullivan predicts that China’s network security market will be about 70.4 billion yuan in 2022. Suggested attention: Qi An Xin Technology Group Inc(688561) .
Risk tips
1) the implementation of the policy is less than expected; 2) The breakthrough of information technology is less than expected; 3) The supply chain fluctuates greatly, which affects the development of science and technology enterprises.
