MIIT Unveils Plan to Boost Computing Power for SMEs

The Ministry of Industry and Information Technology (MIIT) has unveiled a strategic plan aimed at enhancing the computing power of small and medium-sized enterprises (SMEs). This initiative seeks to facilitate the digital transformation of these businesses, providing vital support for their growth in a competitive landscape.

Among the innovative solutions introduced are "computing power banks" and "computing power supermarkets," designed to improve accessibility to computing resources for SMEs. This development aligns with China's 15th Five-Year Plan for National Economic and Social Development, which emphasizes inclusive access to technology and aims to reduce computing costs.

The ministry's initiative is intended to guide telecommunications enterprises and computing power service providers in establishing advanced storage capacity centers tailored to the needs of SMEs. This effort will enhance local access to extensive data resources, allowing for better high-performance storage options and enabling cross-regional artificial intelligence (AI) data services.

Local authorities are also being encouraged to provide financial incentives to eligible SMEs, such as computing power vouchers. These measures aim to simplify the processes for obtaining and utilizing these vouchers, making it easier for SMEs to access necessary resources.

The concepts of computing power banks and supermarkets function as cloud computing models that treat computing power as a tradable asset. Computing power supermarkets facilitate transactions between suppliers and SMEs, while banks offer a "use now, pay later" model, granting SMEs access to resources without immediate fiscal pressure.

Experts discuss the current reluctance among SMEs to embrace digital and AI transformations, attributing this hesitation to a lack of familiarity with AI integration and the high associated costs. The new measures are expected to stimulate interest and participation in these technological advancements.

According to Pan Helin, a member of the MIIT's experts committee, these initiatives could significantly advance SMEs on their paths to digital and intelligent development. They are also anticipated to expedite the execution of national strategies focused on AI.

By the end of 2028, the plan aims to establish a comprehensive ecosystem for computing power services that is low-cost, high-service, and dynamic. This system is expected to be inclusive and proficient across no fewer than ten industry categories, as defined by SME classification standards.

Furthermore, the framework aims to enhance public services for computing power applications, ultimately lowering barriers for SMEs to access and utilize advanced computing resources. This will provide robust support for SMEs focused on creating innovative and unique products.

Data from the MIIT indicates that China had more than 6,000 AI companies last year, with the core AI industry projected to exceed 1.2 trillion yuan, approximately 171.39 billion dollars. These statistics highlight the growing significance and potential of the AI sector in China's economy.

In 2025, domestic firms are expected to release several AI chip products, contributing to an impressive computing capacity that reached 1,590 ExaFLOPS last year, indicating substantial growth in the country's technological capabilities. ExaFLOPS measures computing performance, with each unit equating to one quintillion floating-point operations per second.