A new report points to surging growth in income generated by China’s large-scale internet enterprises in 2018.
The “2018 Internet and Related Services Sector Statistical Data Interpretation” (2018年互联网和相关服务业统计数据解读) released by the Ministry for Industry and Information Technology (MIIT) on 1 February indicates that China’s internet and related services enterprises above designated size saw business revenues of 956.2 billion yuan last year, for growth of 20.3% compared to 2017.
China’s internet enterprises remains highly concentrated in the three regions of Guangdong, Shanghai and Beijing, whose revenues each exceeded 150 billion yuan to collectively account for over 60% of the industry total.
Guangdong province alone accounted for 26.5% of China’s internet enterprise revenues, while Beijing laid claim to a 25.2% share.
Full industry R&D investment was 49 billion yuan in 2018 for a YoY rise of 19%, with major investment in big data, virtual reality and artificial intelligence by internet enterprises.
In 2018 monitored mobile apps on the Chinese market saw a net increase of 420,000 to reach 4.49 million in total, while the real commercial goods online retail sales amount rose by 25.4% to account for an 18.4% share of all social consumer good retail sales.