Technology May 13

Zhejiang’s digital economy grows

Electronic information manufacturing and software in home of Alibaba lead way in China’s Silicon Valley 

by Nadeem Xu
Zhejiang’s digital economy grows
Alibaba Group headquarters in Hangzhou Zhejiang. Photo: Wikimedia

(ATF) The provincial home of e-commerce giant Alibaba has seen the value of its digital business soar.

Added value of core industries in the digital economy in easter Zhejiang Province exceeded 622.89 billion yuan ($87.9bn) last year, up 14.5% year-on-year.

The industries include electronic information manufacturing and software. Software industries revenue in the province reached 610.2bn yuan, up 17.6%, according to a report released by the Zhejiang provincial government.

With the digitalisation of agriculture, manufacturing and other industries, the digital economy has become an important engine of the province's development, according to the report.

Zhejiang contains China’s equivalent of Silicon Valley, with tech giants including Alibaba located in its capital city Hangzhou. 

The document also pointed out the number of Internet users in the province exceeded 47.29 million in 2019, with the Internet penetration rate reaching 80.9%.

China has been targeting development of e-commerce and its digital economy as it seeks to rebuild and reshape the economy amid the coronavirus fallout.

Income from information technology services grew rapidly in the first quarter as millions in Chinese in lockdown sought entertainment online

Movie, music, gaming and other streaming services climbed 16.7%, according to data released by official website of the Ministry of Industry and Information.