The development of electronic information industry is an important way to readjust Nanning’s industrial economy, upgrade industries, and cultivate new economic growth points. A good foundation has been laid for the development of electronic information product manufacturing industry, for Nanning has more software companies and talent resources comparing with other areas in Guangxi, including the leading companies such as Foxconn, and perfect information infrastructure facilities. The Three-Year Action Plan for Nanning’s Electronic Information Industry Development is hereby worked out with the aim of accelerating in-depth integration of informatization and industrialization, improving the construction level of the software and information services, and promoting the upgrading of the industry, as well as creating a regional electronic information industry base.

I. Present Situation of the Industry

A. Overview and Features of the Industry

Nanning is the capital of Guangxi Zhuang Autonomous Region, and has a rather complete network infrastructure operated by three major telecom companies: China Mobile, Unicom and Telecom, and a high level coverage of Generation-2, Generation-3 mobile phone network, fixed telephone network and broadband network, thus gaining development advantages in information services and software industry. In addition, as the project of New and High-Tech Park of Foxconn Nanning Technological Park with a total investment 2.5 billion yuan is completed and put into production, Nanning’s high-end electronic products manufacturing industry enters a rapid development period, showing great development prospect in the new generation IT industry. In 2012, Nanning’s electronic information industry achieved a new breakthrough. For the first time, its annual output reached 21.6 billion yuan, exceeding 20 billion yuan, an increase of 94.59% compared with that of the same period last year. Its growth rate reaches 29.19 percent, ranking first among all industries of Nanning and achieving an increase of 9.9 percentage points in the proportion of Guangxi’s electronic information industry.

1. Rapid Expansion of the Industry

During the "Eleventh Five-Year" period, Nanning’s electronic information product manufacturing industry has experienced an unprecedented development. Due to the commissioning of the Foxconn project, the industrial companies’ output by the enterprises of the electronic information product manufacturing industry above the designated scale has increased from 0.916 billion yuan in 2007 to 16.05 billion yuan in 2012 and the number of the enterprises above the designated scale has increased from 15 to 23 (17 companies with 100 million yuan output value). In 2012, industrial output of the industry accounted for 7.64% of the city’s total output value by the enterprises above the designated scale. Its total number of various sections’ employees was 28,400. Its total amount of taxes reached 662 million yuan, an increase of 511.59% year on year，and its total profit was 977 million yuan, an increase of 155.08% year on year. The wired and wireless network communication equipments, digital set-top box products by Nanning Fugui Precision Industrial Company, Nanning Funing Precision Electronic Company, and Nanning Futaihong Precision Industrial Company, which are affiliated to Foxconn, various types of audio components by Foster Electrical Machine (Nanning) Corporation, the navigators, tablet PCs, and car networking vehicle terminals by Guangxi Linghua Digital Technology Corporation, and the smart IC card reader equipment by Guangxi Shennengda Intelligence Technology Co., Ltd., all take the lead in China, to some of which independent intellectual property rights have been granted, thus forming industrial foundations with great potentials.

2. Software and Information Services’ Leading Position in Guangxi

In 2012, there were 112 authorized software companies in Nanning, accounting for 73% in Guangxi. The number of Nanning’s authorized software products was over 357, gaining an income of 5.566 billion yuan, up by 42.06% compared with that in 2011. The number and actual income of the software companies ranked first in Guangxi. Its products were mainly application software, which included CAD series design software produced by Guangxi Guineng Software Co., Ltd, software middle components and tax control system by Guangxi Deyi Digital Co., Ltd, intelligent information platform for sugar plants by Guangxi Hongzhi Technology Co., Ltd, and the massive graphic data processing system by Guangxi Hailan Digital Co., Ltd, which were all among the tops in China.

3. Increasing of Urban Informatization Construction Level

As Nanning’s information infrastructure construction goes on, public information networks and online platforms, such as unified e-government network platform, social-security-used network, social security monitoring network, have been built, and the whole city is covered with broadband communication network. Besides, fiber-optic network reaches counties, urban districts, and towns, and all the administrative villages and most of the natural villages have access to Internet through broadband. The public information platforms, for example, urban emergency response system, e-government system and digital urban management, take the lead among the cities in China, while the construction of China Unicom International Bureau makes Nanning the fourth city equipped with international communication and data transmission capacities in China, which effectively promotes the construction of Nanning’s digitalization, regional information exchange center and others.

4. Gradual Application of E-commerce in Industrial Enterprises’ Marketing

At present, in Nanning more than 500 enterprises provide website marketing services and promote products through online marketing platforms such as Alibaba, Taobao and other e-business platforms, and some of them have taken online trading as their major business mode. The application of various online platforms and supermarkets, such as industrial enterprises honesty information public service platform, property transactions platform, online agricultural products supermarket, construction materials supermarket, and electronic construction project bidding information platform, have provided carriers for building a network economic industrial chain. The development of e-commerce industry and productive services has been included in Nanning's "Twelfth Five-Year" development plan, and the construction of e-commerce starts to take effect.

II. Development Ideas and Main Targets

A. General Ideas

With the objectives of improving the technical level of electronic information industry and economic benefits, Nanning will thoroughly implement the scientific outlook of development and seize the country’s historical opportunities of cultivating and developing the new generation IT industries, speeding up the industrial transformation and upgrading, and promoting the quality upgrading of industrialization, so as to energetically improve industrial clustering and relevant industries, and speed up the construction of relevant industries and prosperity of the electronic information product manufacturing with the key enterprises such as Foxconn, and Foster Motor taking the lead. Nanning will also integrate the development resources of software industry, promote further integration of industrialization and informatization and actively develop the integrated services such as mobile Internet, IPTV, mobile TV etc., so as to motivate the information services, for instance, internet payment, e-commerce, cloud computing, internet of things, hence forming a development system of software and information services with the interaction of technology and application innovation, and promote the development of e-commerce and productive services.

B. Development Targets

The new generation IT industry should be taken as a strategic forerunner industry, which can support Nanning’s industrial upgrading and transformation and building of a modern industrial system. Nanning will strive to create an industrial pattern in which electronic information product manufacturing, software development and communication information technology support one another and promote development for all, and make Nanning an important city featuring new generation information technology, taking its foothold in Guangxi, facing the whole country, and reaching ASEAN countries. By 2015, its electronic information industry’s output (sales income) will reach 53 billion yuan, an average annual growth of 35%. At that time, there will be one enterprise with 10 billion yuan output value, two enterprises with 5 billion yuan output, two enterprises with 1 billion yuan output, and five enterprises with 0.5 billion yuan output, total tax revenue reaching over 2 billion yuan.

III. Main Tasks

A. Further Improving Industrial Layout and Increasing Investment in Constructing Standard Workshops

During "Twelfth Five-Year" period, to meet the needs of its leading electronic information product manufacturing and leading enterprises such as Foxconn, and Foster Electronics, Nanning  has polled its strength to promote its three industrial zones’ construction, including Nanning Emerging Industrial Park, Jiangnan Industrial Park, and New and High-Tech Zone, forming concentration areas with distinctive local characteristics, radiating effects and strong pulling ability for electronic information products manufacturing and relevant industries. It has also focused on cultivating a batch of advantageous electronic information product manufacturing and relevant enterprises with independent intellectual property rights. Meanwhile, Nanning has energetically developed software and information service enterprise clusters in Emerging Industrial Park and New and High-tech Zone, which become industrial complementary to electronic information product manufacturing clusters and contribute to forming a complete local electronic information industry chain.

Judged from 2012’s average industrial input and output data, if Nanning wants to achieve its 2015’s goal of reaching 53 billion yuan output (sales revenue), it needs to construct 680,000 square meters’ standard workshop for electronic industry, which needs 1.36 billion yuan of investment, as one square meter costs 2,000 yuan for construction.

B. Development and Expansion of Electronic Information Product Manufacturing Industry

Nanning will intensify its coordinating services so as to promote the prosperous development of Foxconn (Nanning) project. The construction of Foxconn’s plant and relevant facilities in Foxconn Nanning Scientific and Technological Park will be sped up, so that the plant and relevant facilities can be put into use as soon as possible to provide plant guarantee for the projects construction, like Foxconn’s network communication products, sports waterproof HD camera manufacturing, LCD TV production bases, and strive to achieve 30 billion’s total industrial output by 2015 by the Park. Nanning will also actively support the construction of Foxconn Nanning introduction center for the R&D, testing and certification of new products, and accelerate its products to change from "Made in Guangxi" to "Created in Guangxi”. Nanning will also actively guide Foxconn to carry out cooperation with Alnan Aluminum Inc. in aluminum processing, coordinate with Foxconn to build Wanma e-commerce experience shop, biological solar energy factory, and Foxconn Technology Network University, and continuously help Foxconn invest in more fields, thus promoting the prosperity of Foxconn Nanning Project.

Meanwhile, Nanning will promote the construction of the following projects: the Southeastern Asian headquarters cluster project by EVOC Power Group and Science and Technology Equipments Business Association, the equipment introduction project by Foster Electrical Co., and construction of Linghua Science and Technology Park, striving to help EVOC Power project reach an industrial output above 3.5 billion yuan in 2015, Foster Electrical Machine (Nanning) Co., Ltd., reach 4 billion yuan total industrial output, and Guangxi Linghua Digital Science and Technology Co., Ltd. reach over 2 billion yuan. Nanning will vigorously develop software and IT service industry and promote the coordinated development of the new generation IT sector and industry.

1. Nanning will support and help the development of software industry and enhance the deep integration of industrialization and informatization and its support capability and will accelerate the development of six major industries. It will provide guidance to speed up software and IT services technology’s rapid improvement, provide funds to cultivate general technical personnel, help to bring in high-end technology talents through various channels, provide places for companies, and improve basic network communication facilities and public technical service platform, with focus on the R&D and its industrial applications of the new-generation key technologies and products including internet of things technology, cloud storage technology, Beidou navigation technology, mobile Internet technology, new generation communication technology, information security, and online payment. Besides, Nanning will also promote the software R&D including manufacturing execution system, industrial control system, intelligent management system, and data management system which are relevant to in-depth integration of industrialization and informatization so as to create a comprehensive system for software R&D, production, and service and enhance software industry’s market competitive edge. By 2015, software and IT service industry’s income is expected to reach over 10 billion yuan. And priority support will be given to help the following backbone companies become larger and stronger: Ruitong Communications Shareholding Co., Ltd, Guangxi Bolian Information & Communications Technology Co., Ltd, Guangxi Aerospace Information Technology Co., Ltd, Nanning Chaochuang Information Engineering Co., Ltd, Nanning Yinhe Southern Software Co., Ltd, and Guangxi Deyi Digital Co., Ltd. In 2015, Ruitong Communications Co., Ltd will strive to achieve more than 1 billion yuan worth of sales income.

2. The integration of new generation IT and industrial products, and the outsourcing of companies’ information system operation and maintenance will be promoted. Enterprises will be guided to strengthen the development and industrialization of the following software and systems: industrial engineering analysis software, new energy automotive electronic control system, urban rail transit application system, and wireless communications service software, with the focus on Nanning’s characteristic industries, so as to improve the industrial technology level and added values. By better constructing the service platform integrating industrialization and informatization, Nanning will also vigorously support the building of information platforms and industrial application system projects which offer e-commerce information, supply chain, modern logistics, trade, payment, and other services for the new-type industrialization. It will give priority to the construction of technical services platform for manufacturing, property trading service platform and other platforms, encourage management consulting agencies to provide value added services like informatization consultation, planning, implementation, maintenance and training, guide industrial enterprises to develop productive services independently, improve the IT service capacity, bring prosperity to software and IT service industry, promote the in-depth integration of industrialization and informatization, and improve the overall competitiveness of industry.

3. Development and innovation of relevant e-commerce application technologies and standards will be sped up and a sound support system will be built, which include construction and further improvement of information security, credit authentication, payment system, trading platform for large transaction goods, and information share and release platform. With Nanning’s endeavor to be a national e-commerce demonstration city as the core, enterprises are encouraged to launch e-commerce by batches and step by step, making e-commerce service industry an important part of software and information technology industry. 

B. More Efforts to Attract Investment to Form Industry Clusters

1. More large-size enterprises are encouraged to settle in Nanning. Investment-attracting plans for pillar industries will be worked out; relevant policies will be issued to attract businesses and investment; special teams attracting investment will be organized; multi-national corporations and well-known companies at home will be invited to have informal meetings in good time; and China Electronics Technology Group Corporation, China Electronic Information Industrial Corporation, China Aerospace Science and Industry Corporation and other well-known large-scale companies are to be attracted to invest in Nanning, thus promoting the development of industry clusters.

2. The construction of supporting industries will be sped up. Focus will be on the supporting industries in the shortage links in industrial chain and functional chain, and in this way Nanning can follow the advanced productive forces directly and seize the development opportunities with the help of external forces. Besides, the relevant industries such as electroplating, packaging, electronic components, optical device accessory, acoustic device accessory, precision electronic parts, electric wire and cable, integrated circuit parts, printed circuit plate and others will be developed, and so Nanning will strive to become the biggest professional market of electronic mechanical parts, materials, and auxiliary processing service in southwest China. Focusing on the construction of Foxconn project, Nanning will take construction of the important projects and the overall arrangement of the upstream and downstream industrial chains into consideration, actively support upstream and downstream industries, promote industrial chain to develop towards both ends, improve the supporting strength and competiveness of electronic information product manufacturing, and attract more companies offering supporting services to settle down in Nanning. 

3. Nanning will attract third-party e-commerce platforms for medium and small-size enterprises (such as Alibaba, Taobao, pat net) to settle down in Nanning.

List of Nanning’s Major Information Technology Enterprises Cultivated 2013-2015

Attachment 2

Plan of Nanning’s Major Projects in Information Technology (2013-2015)