In recent years, China's digital transformation has continued to deepen, and the scale of the digital economy has continued to increase. Data show that in 2019, the scale of China’s digital economy reached 35.8 trillion yuan, accounting for 36.2% of GDP. In addition, the number of small and medium-sized enterprises continued to increase. At the end of 2019, the number of Chinese enterprises reached 38.583 million. iiMedia Consulting analysts believe that the number of China’s small and medium-sized enterprises is huge, and there is still room for substantial improvement in overall digitalization, and the demand for digital services of enterprises is wide. Driven by technology, policies and other factors, the China's corporate service market has broad room for development and the market blossom. The service market with certain rigid demand characteristics such as human resources, finance and taxation, and marketing is expected to take the lead in popularity and growth. In terms of market perception, as the data of iiMedia Research showed, 32.0% of workplace respondents believe that companies affected by COVID-19 will increase their attention to the corporate service market, and 23.7% of workplace respondents believe that companies will increase the investment in related services. The outbreak of COVID-19 has made more and more companies realize the importance of digital transformation, and their attention to corporate services represented by digitalization has increased, which is conducive to the market penetration of corporate services.
The market scale of China's Artificial Intelligence industry has been expanding continuously since 2015. With the tilt of national policies and the development of related basic technologies such as 5G communication and new infrastructure, artificial intelligence has entered the stage of explosive growth. In 2020, the market size of the core industry of the Artificial Intelligence industry is expected to exceed 150 billion yuan, with a growth rate of 26.2%. In the next 15 years, the market size of the core industry is also expected to grow steadily, and by 2030, the market size of the core industry is expected to exceed 1 trillion yuan. With the continuous investment in new infrastructure, the development prospect of the high-tech industry is getting better. By the end of 2019, the number of high-tech industries has increased rapidly, exceeding 215,000. At present, China's urbanization level and information construction are constantly improving and accelerating, providing a good social environment for the development of Artificial Intelligence. The Artificial Intelligence industry has gradually entered a new stage of mature development. At the same time, the capital has gradually returned to rationality, and the attention to the artificial intelligence industry will change from hot concept to application and implementation. With the release and landing of a series of policy signals on new government infrastructure, the development of Artificial Intelligence has ushered in a new dividend, triggering a new round of industrial upgrading revolution. In the future, enterprises with the capability of low-level technological innovation and implementation will be more valued and favored by capital.
Driven by factors such as favorable policies, a sharp increase in demand, and the launch of 5G, the market size of China's AI industry continues to expand. The core industry market size will reach 150 billion yuan in 2020, and development will move from the standardized stage to the professional stage with broad market prospects.iiMedia Consulting analysts believe that with the maturity of the technology and the layout of the platform, the future market development potential will continue to expand. Besides, AI data services will be used in a variety of practical areas, such as medical, financial, new retail and security.With the continuous integration of AI and traditional industries and the development of 5G, data types will become more diversified. In addition, more and more enterprises will put forward higher requirements for accuracy as scenarios are customized and upgraded, prompting AI data service transfer from extensive methods to refined methods.The increasing improvement of the AI data service industry chain has led to increasingly fierce competition. Therefore, the technological upgrading of data services will become the focus of competition, which to a large extent will directly affect the competitive position of data service providers in the market.
According to the National Bureau of Statistics, national offline retail sales accounted for 75.3 percent of the total retail sales in 2019Q1-Q3, which shows the enormous commercial value of the offline retail market. However, the users’ demand is scattered and the retail scene is complex offline. With the help of technology-driven innovations, smart LBS services have emerged. Through using the perception of the scene and big data, smart LBS services can match relevant services with the need of users, to accurately meets the personalized needs of consumers.In 2019, Suning, Tmall and other businesses have equipped themselves with smart LBS services, and many system-level scene AI servicers, such as “Clickwifi”, have also emerged.The commercial value of smart LBS services, such as precise touch, data support and users’ experience upgrading, has been further developed. iiMedia consulting analysts believe that in the future, with the popularity of 5G, AI and other innovations, smart terminals such as mobile phones will provide users with a variety of smart services in the field of retail, urban construction, etc., and the development potential of smart LBS services market is tremendous.
The application scenarios of AIoT are constantly enriched. In 2019, it was mainly distributed in four application scenarios: smart home, smart city, smart retail and smart manufacturing. At present, smart home is regarded as a new Internet application portal, and the application scenarios are relatively wide, including audio and video entertainment, home security, smart bathroom, smart kitchen, smart sleep and so on. Amazon, Ali, Himalayan, Xiaomi, Midea, Haier and other companies have begun to deploy related applications. Smart transportation has become an important application of smart city service. iiMedia public opinion monitoring system shows that netizens in Guangdong, Chongqing and Beijing are most concerned about smart transportation. iiMedia Consulting analysts believe that with the acceleration of the 5G temporary license issuance and the pace of commercialization, the medium and short-term will take the lead in driving the technological progress and rich scenes of the AioT industry, which will play an important role in driving China's economic output and providing employment opportunities.
As the data of iiMedia Research showed, in 2018, China has raised 131.1 billion yuan in AI industry, with a growth rate of more than 100%. Investors are optimistic about the development prospect of AI industry, and capital will help the industry develop better.With the further development and landing of artificial intelligence technology, deep learning, data mining, automatic programming and other fields will also be realized in more application scenarios, and the development prospects of artificial intelligence technology industrialization are improving.
With the continuous development of artificial intelligence and the deepening of the artificial intelligence industry, the number of Chinese artificial intelligence enterprises is also on the rise, but in the field of technology and application, there are challenges and risks of varying degrees. According to data from iiMedia Research, Chinese Internet users to try the will of the artificial intelligence technology is higher, but there are still 64.1% of Chinese Internet users think that there are risks of artificial intelligence, 40.3% of Internet users think the biggest hazards posed by artificial intelligence is a personal information leakage, 63.0% of netizens think that artificial intelligence technology has threat to humans, 38.6% of Internet users think that big data is the main cause of a threat to human development. For the development of artificial intelligence technology in the future, although the situation is all the way high, but still can not relax vigilance. A new round of industrial revolution brought by artificial intelligence has come, and the imbalance between education and technological development will inevitably lead to the emergence of unemployment. For the new demand brought by artificial intelligence, only keep learning can not be ahead of technology.
China's 5G construction is in the leading position in the world. In the distribution of 5G industrial chain, wireless main equipment and transmission equipment occupy most of the value of the industrial chain. However, the threshold of network planning and design is high, and private design institutes need to be upgraded. In terms of wireless main equipment, antennas and PCBs are rising in volume and price, and the demand for small base stations is exploding. At the same time, 5G construction will continue to benefit transmission network equipment.
In terms of main business, due to the Internet dividend peaking and version number factor, Tencent's online game revenue growth slowed down. In the first three quarters of 2018, the ratio of online game revenue to total revenue dropped to 35%, and the growth rate slowed by 13%, but it remained the largest revenue source. Online advertising continued to improve steadily, with an annual growth rate of 46.07%. At the same time, Tencent's organizational structure has been adjusted to six major business groups, To B business will be the focus of future.