2020 China International Trade in Services Fair-Forum on Innovation and Development of Digital Economy was recently held at the National Convention Center in Beijing. With the theme of "digital innovation integration, empowering industrial development", this forum discussed the future of new infrastructure from multiple dimensions, including information technology and network security.
New infrastructure is undoubtedly the key to promoting the integration development of digital economy and industries in the future. Nowadays, multiple fields such as artificial intelligence, industrial Internet, 5G, high-speed rail, ultrahigh voltage, charging stations, and big data centers are developing rapidly all over the country. New infrastructure is the key to reshaping China's global competitiveness in the future, but it also faces several unresolved pain points.
Firstly, funding is a problem. High-tech, wide coverage is the characteristic of new infrastructure. Take the investment in 5G as an example, the total investment in 5G is expected to be 1.5 trillion yuan, and the total number of base stations will exceed 650,000 by the end of 2020. The investment in 5G construction will far exceed that of 4G. The total investment in the seven major fields of new infrastructure is also calculated in trillions. Moreover, new infrastructure also needs to match land resources. Furthermore, most new infrastructure projects require continuous investment in the future.
Secondly, there is a problem of safety and controllability. New infrastructure promotes the development of digitization and informatization. In the field of digitization and informatization, we have already mastered many technologies, such as 5G technology, artificial intelligence, ultrahigh voltage, high-speed rail, etc. However, some key technologies of new infrastructure, such as chips and sensors, are not in our own hands. If the international relations fluctuate and China cannot lead these key technologies, it may ultimately affect the safety of new infrastructure facilities. Safety and controllability are a critical threshold in promoting digital economy.
Thirdly, new infrastructure needs forward-looking and scientific planning. In the process of promoting the development of the Internet, informatization was first, and reliability was second. This pattern is not suitable for future development because the information system structure will become more complex. If forward-looking planning is not done in advance during informationization, it will lead to more and more unpredictable problems. The rationality of the overall layout can also make the entire system operate more efficiently. For example, the rational distribution of 5G base stations and charging stations is very important. In the process of entering residential areas, the government needs to coordinate more.
The above three pain points, insufficient funding, safety and controllability during operation, and matching planning, all need the combination of capital, technology, and government to open up various links in the operation of new infrastructure. That is to say, for new infrastructure, inadequate funding means that it will cover both government and business investment to complement each other. As new infrastructure requires continuous investment in technology research and development, technology research and development will involve multiple subjects such as private enterprises, higher education institutions, and relevant government departments. New infrastructure needs sufficient land resources, labor, and other resources, and projects such as ultrahigh voltage also need cross-regional overall planning and coordination by the government.
In this regard, the "technology + capital" combination and "government" cooperation model of CETC is very typical. Recently, CETC signed a cooperation agreement with the government of Jieyang City, Guangdong Province. Based on new infrastructure, smart city governance, and intelligent public safety, and with digital government as the core, CETC will establish a joint venture company and research institution locally to jointly promote the construction of a smart city. This cooperation well solves various pain points in the development of new infrastructure and provides a good example for future promotion of new infrastructure.
The biggest difference between old and new infrastructure is that the former is more government-led, while the latter should be an organic combination of capital, technology, and government. Letting social forces participate in the construction of new infrastructure can improve the competitiveness of the industry chain and deepen regional cooperation. It makes new infrastructure more in line with the development of future technology and social needs.
