Software industry on rapid rise in Beijing

Rely on the organization of innovations to promote technical innovations so as to promote the application of innovations. In recent years, the software industry in Beijing has been adhering to the development strategy of joint innovations and a stride in the process of development has been thus realized. In 2007, operating revenues of the software industry in Beijing amounted to RMB125.2 billion yuan with a year-on-year growth margin of 28 percent, making Beijing the only city in which revenues made from software amounted to over RMB100 billion yuan in China.

From RMB78 billion yuan in 2005 to RMB97.2 billion yuan in 2006 and RMB125.2 billion yuan in 2007, the software industry has been developing rapidly. Behind such achievements, the key other than Beijing's regional advantage and the advantage in terms of talents is that two kinds of rules were followed and grasped: "Firstly, market rules shall be followed; that is, it is necessary to rely on the market mechanism and drive the development of the software industry by consummating the industrial chain. Secondly, rules in the industrial development shall be followed; that is, to achieve development by adopting the train of innovative thoughts instead of the road of 'imitation and substitution'." That is an interpretation given by Ma Lin, Director of the Beijing Municipal Science & Technology Commission.

Three years ago, it was still an authentic portraiture of the status quo of the software industry in Beijing that "small enterprises gather together to compete with one another". "Almost all software enterprises started with one or two informatization project (s); almost all industry-oriented software companies had experienced a transition from making a lot of profits to making only tiny profits or just breaking even; and in almost all informatization markets in all industries, there converged competitors." When recalling the then status, Hu Qinghua, Director of Beijing Software Industry Productivity Center, repeated the collocation of "almost all" three times.

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