It's been a little over two years since China's President Xi Jinping articulated his thoughts on cyberspace at a symposium on April 19, 2016. President Xi, in addition to his other roles, is also head of the Central Cyberspace Affairs Commission.

In the two years since Xi's 2016 pronouncements, China has continued to make significant progress in creating a digital infrastructure that already is becoming a major force for transforming a successful and increasingly prosperous China in the Information Age.  Through significant advances and citizen participation in both e-commerce and e-government, "Digital China" has gone from success to success as information communication technology has impacted almost all aspects of Chinese society. 

Security

Just as previous models of commerce in earlier centuries depended on developing a system of safe and reliable transportation networks, the security of modern telecommunications continues to be a major issue in countries around the world. For example, several governments, including the U.S., are presently investigating evidence of the use of the internet by foreign powers to spread fake news, sew chaos and interfere with elections. Countries also face growing concerns about fraud, cyber-crime, pornography, sex trafficking and other evils. 

China has realized that the great promise of a Digital Silk Road won't come to fruition unless cyberspaces and technologies are secure and trustworthy. Major public infrastructure and government departments in most countries report regular and frequent cyber-attacks from external sources. Responding to the need for and importance of cyber security, China passed new legislation and took administrative measures that strengthened internet security. China's cyber security law was passed in 2016 and took effect in June 2017. The new law safeguards China's cyberspace sovereignty, national security and public interest, as well as the rights and interests of citizens, legal persons and other organizations. 

President Xi has emphasized that the Internet must be regulated in such a way that it is a positive force in society. Fraud, pornography, corruption, cybercrime and other harmful influences need to be minimized. When one sees that in the West a significant proportion of internet traffic content consists of pornography, spam, invasion of privacy and other harmful influences, there is cause for greater regulation.  

Technology has run far ahead of the government's power to control its harmful effects. Internationally, President Xi has said that cyberspace governance under the framework of the United Nations should be developed. On a national level, the Chinese government has worked at developing a cyber governance model with Chinese characteristics – one that involves partnering with industry to develop e-commerce and e-government models. 

Infrastructure and integration for the Digital Economy

Another major reason that China has been so successful in its economic development has been its commitment to infrastructure. The Chinese government has taken significant steps and made major contributions to building the cyber infrastructure that will make it possible for China's digital economy to reach its full potential. Today China has over 700 million internet users, millions of websites and the world's biggest 4G Network.  

China has also committed to taking major steps to integrate multiple technologies, including big data, artificial intelligence, robotics, internet, cloud computing, e-payment, green technology, the sharing economy and the Internet-of-Things, and commercialization of space. Indeed, China has become one of the best places in the world to develop and trial different business models such as the sharing economy. Chinese consumers have also been fairly quick adopters of new technology. 

China's infrastructure also includes other law and administrative reform as well: enforceability of online contracts, protection of intellectual property, strengthening of competition law, greater consumer protection laws, enhanced privacy protection, creation of specialized Intellectual Property Courts, etc. 

Growth of E-commerce

According to a PwC Report: e-commerce in China has grown dramatically and is now the largest and most innovative e-commerce market in the world. It is predicted to grow annually in double digits in contrast to a 7.5 percent annual growth in traditional physical stores. 

By 2021, e-commerce is predicted to account for as much as 40 percent of sales by 2021. The continued growth of M-commerce will play a large role in this increase with eMarketer predicting more than 75 percent of e-commerce sales – over $1tn – to be transacted using a mobile device.  

Bridging the digital divide

Another important aspect of Xi's speeches on the internet is his belief that it should meet the needs of the people. Moreover, he advocates the availability of the digital economy to all parts of China, including rural areas. He points to the fact that modern technologies should help reduce poverty, expand educational opportunity and quality and promote economic development. He also points to the role of the internet in giving voice to citizens so that they may be more active participants in society.  

Eugene Clark is a columnist with China.org.cn. For more information please visit:

http://www.h5a3.com/opinion/eugeneclark.htm

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