BEIJING, CHINA / RankWire.AI / – During the initial six months of 2026, China’s digital sector achieved a revenue of 20.71 trillion yuan, reflecting a 13.6% increase compared to the same period in the previous year. The sector’s total profit reached 1.79 trillion yuan, marking a growth of 19.3%. China’s Ministry of Industry and Information Technology indicated that the sector experienced an acceleration in revenue growth by 4.1 percentage points from the prior year, while profit margins expanded to 8.6%, up by 0.7 percentage points.
The bulk of China’s digital industry income originated from its major provincial centers. The top 10 provincial-level markets collectively generated 17.21 trillion yuan, an increase of 13.2%. These markets accounted for 83.1% of the nation’s total digital industry revenue and contributed 87% of the overall growth in revenue. Among these key markets were Guangdong, Jiangsu, Beijing, Shanghai, and Zhejiang. Meanwhile, Central China saw digital industry revenue reach 2.86 trillion yuan, a rise of 28.3% from the previous year.
Expansion in digital infrastructure also took place over this period. By the end of June, China had established 5.102 million 5G base stations. The country further boasted 32.86 million 10G PON ports capable of delivering gigabit-speed network services. The number of 5G RedCap base stations stood at 2.247 million. Meanwhile, intelligent computing capacity surged to 2,185 EFLOPS (FP16), reflecting a 177% increase compared to the previous year. Overall utilization of computing resources reached 71.4%.
China’s Digital Infrastructure Continues to Grow
China had constructed 52 intelligent computing centers by the end of June, each equipped with over 10,000 accelerator cards. Additionally, more than 80,000 private 5G networks are operational nationwide. Applications utilizing 5G and gigabit optical networks span 94 major sectors of the Chinese economy. The country also reported over 26,000 active 5G and industrial internet projects, with authorities confirming the establishment of 1,260 classified 5G factories across the country.
Digital manufacturing experienced faster growth in production and earnings during the first half of the year. The added value of electronics manufacturing increased by 14.8% year-on-year. Major electronic information firms reported revenues totaling 12.15 trillion yuan, up 17.8%, while their combined profits grew by 66% to 703.6 billion yuan. The sectors of integrated circuits, computer manufacturing, and specialized electronic materials notably drove the profit increases. Electronics output growth outpaced the overall industrial growth rate by 9.4 percentage points.
Software and IT Services Continue to Expand
The digital services segment in China also saw significant growth in the first half of 2026. The total telecommunications business volume increased by 8.3% at constant prices year-on-year. Revenue from software and information technology services rose by 9.5%, with software product sales growing 6.9% and IT service revenue climbing 10.4%. Major internet companies reported a 10.1% rise in revenue and a 16.6% increase in total profit compared to the same period in 2025.
These figures come amid ongoing robust growth in technology-related services that continues to outpace broader economic expansion. According to the National Bureau of Statistics, China’s economy expanded by 4.7% during the first half of 2026. The sectors of information transmission, software, and information technology services experienced a 10.7% growth in added value during this time. China’s digital industry encompasses electronic information manufacturing, telecommunications, software and IT services, and internet-related industries, all forming the backbone of the country’s larger digital economy.