SCIO briefing on 2019 China Cybersecurity Week

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China News Service:

My question is about Tianjin. In recent years, a lot of well-known cybersecurity enterprises, such as 360 Security Technology Inc. and Qi An Xin Group, have all chosen Tianjin as home for their headquarters. What advantages does the city have in promoting the development of cybersecurity industries? Why did those companies choose Tianjin? Thank you. 

Chen Zhemin:

Having attracted so many cybersecurity enterprises, Tianjin, in my opinion, must have its own specialties. In other words, the city must possess some exceptional advantages. I think the unique and superior features that Tianjin possesses can be summarized in "one precondition and three environments". "One precondition" refers to the fact that the Tianjin Municipal Committee of the CPC and its government have placed high priority on the development of cybersecurity and informatization. They have done this by resolutely implementing the important thought of Xi Jinping, General Secretary of the CPC Central Committee, to build China's strength in cyberspace, and embracing the notion that "without cyber security, there is no national security; without informatization, there is no modernization." For example, Tianjin has focused on development planning, infrastructure construction and the three-tier (cities, districts and towns) working system. In addition, a big data center has been established and a regulation which aims to promote the application and development of big data has also been passed. The Situation Awareness System has also been used to drive the development of cybersecurity and informatization. Over the past few years, Tianjin has made remarkable achievements and breakthroughs in the development of cybersecurity and informatization, which is the precondition that has attracted those famous cybersecurity companies.

Regarding the three "environments," the first is the industrial environment. There has been a complete industrial chain of cyber-informatization in Tianjin, laying a solid foundation for the development of the cybersecurity industry. I would like to share some statistics with you briefly. In 2018, the revenue of the information technology services industry featuring cybersecurity, big data, the internet and other emerging science and technological fields reached 123.9 billion yuan in Tianjin, making an increase of 29% year on year. The big data industry surpassed 35 billion yuan. The sales of imported goods in cross-border e-commerce were nearly 3 billion yuan, an increase of 155.1% year-on-year. The development of the cybersecurity industry, represented by Phytium Technology Co. Ltd. Tianjin KYLIN Information Technology Co. Ltd. and 360 Security Technology Inc., has become the leader in the national cybersecurity market. The big data and cloud computing industry, represented by Tianhe series supercomputer, Sugon, Tencent and Gbase, has been booming. The application software industry, represented by Keyvia Electic, Cashway Technology Co. Ltd. and Tellyes Scientific, has seen steady growth. Many good companies, such as Perfect World Co. Ltd. Ledo Interactive, Future TV Co. Ltd. and Sohu TV, have gathered in Tianjin, contributing to the steady progress of the digital content industry. The sharing economy based on the internet has seen rapid development, with Caocao Zhuanche and 58 Tongcheng as two major representatives in this field. The e-commerce services industry represented by Vipshop Holdings Ltd, and Meituan is becoming more mature. The internet economy in Tianjin has formed a new landscape featuring industrial clusters, regional connectivity and distinctive characteristics.  

Second, the environment for innovation. A good environment for innovation is a driver of sustainable development for enterprises. Tianjin is home to many well-known universities, including Nankai University and Tianjin University. Three universities including Nankai University set up a cybersecurity discipline. The Tianjin University of Technology led the establishment of a network of cybersecurity and big data disciplines. In general, the city's construction of cybersecurity disciplines is first-class in the country. Tianjin is home to 61 National Enterprise Technology Centers and 609 city-level enterprise technology centers. The comprehensive science and technology innovation index of Tianjin reached 80.75%, ranking third in the country. Its science and technology innovation environment index surpassed 90% for the first time, ranking first in the country. A group of world class tech innovations were created in Tianjin. For example, the Exascale Tianhe-3 supercomputer prototype has been unveiled in Tianjin and will be put into operation next year. This will be the world's largest supercomputer. The production of the 12-inch semiconductor and monocrystalline silicon has broken the international monopoly. And the homegrown high-end chip filled in the blanks. Tianjin is now ramping up efforts to promote research and development of blockchain, big data and a new generation of AI technologies, aiming at building itself into the major source of original innovation in the country. Tianjin is also preparing to build the national innovation base for the cybersecurity industry. It has already built an industrial chain that covers CPU, operation system, database and server. Finally, a PK independent innovation ecosystem has been established.

Third, the business environment. You may notice that, in September 2016, Tianjin mulled over policies focusing on industries and entrepreneurs, aiming to build a business environment with global influence and competitiveness. The city came up with eight opinions, focusing on the protection of the property rights of entrepreneurs. The opinions were widely welcomed by entrepreneurs. Tianjin also published 19 items of policy on promoting the private sector. According to the document, all the administrative fees collected by local government who is authorized to set up standards will be exempted, all the government funds for which local government has the right to set up standards will be exempted, and all the government funds shared by the central and local governments will be exempted. On Sep. 1, the "Regulations on Optimizing the Business Environment in Tianjin" will be released and put into action. The city is creating an efficient, convenient and transparent business environment.

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