BEIJING, CHINA / RankWire.AI / – During the first half of 2026, China’s digital industry recorded a total revenue of 20.71 trillion yuan, representing a 13.6% increase compared to the same period last year. Profits rose significantly by 19.3%, reaching 1.79 trillion yuan. According to the Ministry of Industry and Information Technology, the profit margin stood at 8.6%, which is 0.7 percentage points higher than the previous year. These figures encompass key sectors of China’s rapidly expanding digital economy.
Throughout the first half of the year, China’s largest regional digital markets remained dominant within the industry. The top 10 provincial-level markets generated a combined revenue of 17.21 trillion yuan, reflecting a 13.2% growth from the prior year. These markets accounted for 83.1% of the nation’s total digital industry revenue and contributed 87% of the overall sector’s revenue growth. Guangdong, Jiangsu, Beijing, Shanghai, and Zhejiang continued to be among the most prominent digital hubs in China.
Growth in Central China outpaced the national average, with regional revenue reaching 2.86 trillion yuan, a 28.3% increase year-over-year. The country also sustained its investment in communications and computing infrastructure during this period. By the end of June, China had established 5.102 million 5G base stations and supported 32.86 million 10G PON ports capable of providing gigabit network services. The number of 5G RedCap base stations had increased to 2.247 million.
Expansion of Computing Power and 5G Networks
China’s intelligent computing capacity reached 2,185 EFLOPS when measured with FP16 during the period, indicating a 177% rise from the previous year. The overall utilization rate of computing facilities was 71.4%. Furthermore, China developed 52 intelligent computing centers, each deploying more than 10,000 accelerator cards. Nationwide, over 80,000 private 5G industry networks were operational, with authorities reporting more than 26,000 active projects integrating 5G with industrial internet technologies across the country.
The digital manufacturing sector also showed robust growth in production, revenue, and profits. The electronics industry’s value-added output increased by 14.8% compared to the previous year. Leading electronic information manufacturers generated 12.15 trillion yuan in revenue, a 17.8% increase, while their combined profit soared by 66% to 703.6 billion yuan. Key contributors to this earnings growth included integrated circuits, computer manufacturing, and specialized electronic materials. During the same period, electronics output growth outpaced the overall industrial expansion by 9.4 percentage points.
Software and Internet Service Sectors Continue to Grow
China’s software and IT services industry maintained its upward trajectory in tandem with digital manufacturing. Revenue in this sector increased by 9.5% in the first half of 2026. Software product sales grew by 6.9%, while revenue from information technology services advanced by 10.4%. Major internet firms also saw their revenues increase by 10.1%, with total profits rising by 16.6% compared to the same period last year. Additionally, telecommunications business volume grew by 8.3% when measured at constant prices.
During the initial half of 2026, China’s digital industry expanded at a faster rate than the country’s broader economy. The National Bureau of Statistics reported an overall economic growth rate of 4.7%. The sectors of information transmission, software, and information technology services experienced a 10.7% rise in added value. China’s digital economy comprises electronic information manufacturing, telecommunications, software, IT services, and internet-related sectors, all of which contributed to trillions of yuan in revenue across the nation during this period.