Opinions concerning Stimulating the Development of Cloud Computing Innovation and Fostering New Business Models in the Information Industry

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GF No. (2015)5

All provincial, autonomous region and municipal People’s Governments, all State Council ministries and commissions, all directly subordinate bodies:

Cloud computing is a completely new business model to promote the realization of providing supply according to demand in terms of information technology capability, which stimulates the full use of information technology and data resources, and is a major reform and inevitable trend in informatized development. Developing cloud computing benefits the sharing of information, knowledge and innovation resources, the reduction of start-up costs for the whole society, the fostering and shaping of new industries and new consumption hot spots, and is of great importance for stable growth, structural adjustment, enriching the people’s livelihoods and establishing a new type of country. At present, global cloud computing is in its primary phase of development, and our country faces a rare opportunity, however, there are also problems such as relatively weak service capacity, a relatively large lack in core technology, insufficient openness and sharing of information resources, prominent challenges with information security, etc., construction has been focused on while application has been overlooked, and the sprouts of disorderly development of data centres are beginning to emerge. In order to stimulate the innovation and development of our country’s cloud computing and vigorously foster new business models in the information industry, the following opinions are hereby put forward

I, Guiding ideology, basic principles and development objectives

(1) Guiding ideology.

Adapt to the needs of moving new-type industrialization, informatization, urbanization, agricultural modernization and the modernization of the State’s governing ability forward, take comprehensively deepening reform as driver, take enhancing capabilities and deepening application as main line, perfect development environments, foster backbone enterprises, innovate service models, expand the scope of application, strengthen technology support, guarantee information security, optimize the distribution of facilities, stimulate the innovative development of cloud computing, foster new business models in the innovation industry, ensure that information resources are being used with high efficiency, provide powerful support for start-ups and emerging sectors, and for liberating innovative vitality, and draw out new drivers for the sustained and healthy development of the economy and society.

(2) Basic principles

Market orientation. Give rein to the decisive role of markets in allocating resources, perfect market access systems, reduce administrative interference, encourage enterprises to enrich their service varieties on the basis of market demand, upgrade service capabilities, and link applications to the market. Establish fair, open and transparent market rules, perfect supervision and management policies, and safeguard a good market order.

Comprehensive coordination. Put demand in the lead, strengthen categorized guidance, move forward with the coordinated development of applications, services and products in focus areas. Guide localities to rationally determine their cloud computing development orientation on the basis of real needs, avoid blind investment of government funds in the construction of data centres and corresponding parks. Strengthen information technology resource integration, avoid that sectoral informatization networks become isolated information islands. Optimize the structure of cloud computing infrastructure, stimulate coordinated development across regions.

Innovation drivers. Put enterprises at the centre, strengthen cooperation between industry, scholarship, research and application, strengthen innovation in key cloud computing technology and the innovation of service models, and increase the ability for indigenous innovation. Vigorously explore and strengthen international cooperation, promote the open innovation and internationalized development of cloud computing. Strengthen management innovation, encourage the development of new business models.

Guarantee security. On the basis of the existing information security protection system, integrate the characteristics of cloud computing in perfecting corresponding information security systems, strengthen security management and data privacy protection, strengthen secure technology support and service capacity, establish and complete security protection systems, realistically protect information security in cloud computing. Fully utilize the big data processing capacity of cloud computing, drive the development of corresponding security technology and services.

(3) Development objectives.

By 2017, the application of cloud computing in focus areas is to deepen, industrial chains are to be basically complete, the beginnings of a cloud computing development structure with strong security protection, to move forward service innovation, technological innovation and management innovation in a coordinated manner, are to be shaped, in order to drive the rapid development in related industries.

Service capacity is to increase substantially. Some public cloud computing backbone service enterprises with a relatively strong innovative capability are to be shaped. The variety of cloud computing services aimed at small and medium enterprises and individuals is to be enriched, realizing scaled-up operations. Cloud computing system integration capabilities are to markedly increase.

Innovation capacity is to enhance notably. Strengthen original innovation and basic innovation abilities, make breakthroughs in cloud computing platform software, Exabyte-level (EB, c. 260 bytes) cloud storage systems, big data excavation and analysis, and other such crucial technologies and products, cloud computing technology is to approach internationally advanced levels, cloud computing standard systems are to be basically established. The driving role of service innovation in techno local innovation is to be notably strengthened, and the level to which development is coordinated between the industry, scholarship, research and application is to be raised substantially.

Notable application demonstration results. Promote public data openness, information technology resource integration and government procurement service reform in some focus areas with a clear social impact, strong industrial drive and prominent demonstration effects, fully use public cloud computing service resources to launch the Hundred Cloud Computing and Big Data Applications Demonstration Project, obtain positive results in areas such as reducing start-up barriers, serving the people’s livelihood, fostering new business models, exploring new models for e-government construction, etc., and the quantity of data centres constructed by government itself must be reduced by more than 5%.

Incessantly optimizing infrastructure. Start to optimize the distribution of cloud computing data centres, newly-build large-scale data centres are to have a power usage effectiveness (PUE) of better than 1.5. Broadband development policy environments are to be progressively perfected, and the beginnings of a broadband network that satisfies the development needs of cloud computing are to be made

Basic completion of security guarantees. Start to establish information security supervision and management systems and standard systems that are adapted to the needs of cloud computing development, the industrialization levels of key cloud computing security technologies and products, and the capacity to protect network securities are to notably increase, and the cloud computing development environment is to become ever more secure and reliable.

By 2020, cloud computing is to be basically applied universally, cloud computing service capacities are to reach international advanced levels, grasp cloud computing key technologies to shape a number of cloud computing backbone enterprises with strong international competitiveness. Cloud computing information security supervision and management systems and regulatory systems are to be completed. Big data excavation and analysis capabilities are to notably increase. Cloud computing is to become an important mode of our country’s informatization and an important pillar in building a strong network country, and the level of informatization in all areas of economic and social life is to be substantially raised.

II, Main tasks

(1) Strengthen cloud computing service capacity.

Forcefully develop public cloud computing services, implement cloud computing projects, and support information technology enterprises to accelerate their transformation into cloud computing product and service providers. Forcefully develop computing and storage resource rental and application software exploitation and deployment platform services, as well as online enterprise operations management, research, development and design application services, reduce enterprises’ informatization barriers and innovation costs, and support small, mid-size and micro enterprises in development and start-up activities. Vigorously develop services based on cloud computing, including personal information storage, online tools, learning, entertainment, etc., and foster information consumption. Develop secure and reliable cloud computing outsourcing services, and promote the outsourcing of government business. Support cloud computing’s converged development and innovative application in connection with the Internet of Things, the mobile Internet, Internet finance, et-commerce and other such technologies and services, and vigorously foster new businesses and new models. Encourage large enterprises to open up platform resources, and force collaborative and win-win cloud computing service ecologies and environments. Guide the orderly development of proprietary clouds, and encourage enterprises to innovate ways of thinking on informatization construction, use secure and reliable proprietary cloud solutions, on the basis of fully using public cloud computing service resources and based on their own needs, integrate information resources, optimized business flows, and enhance operational management levels. Forcefully develop information systems planning consultancy, planning, design, systems integration, monitoring, assessment and other such services aimed at cloud computing.

(2) Enhance the indigenous innovation capacity of cloud computing.

Strengthen the close linkages of basic research, applied research, technological research and development, market cultivation and industrial policy concerning cloud computing with comprehensive coordination and planning. Give rein to the dominant role of enterprises in innovation, drive technological innovation with service innovation, strengthen original innovation capabilities, strive to make breakthroughs in key cloud computing technologies including large-scale resource management and control, operational supervision and security protection, Exabyte-level data storage and processing, big-data excavation and analysis, etc., and raise corresponding software product research, development and industrialization levels. Accelerate the linkup between core electronic components, high-end general-use chips, basic software and other such specialist scientific and technological achievements, and the needs of the cloud computing industry, vigorously promote the application of secure and reliable cloud computing products and solutions in all areas. Fully integrate the use of domestic and foreign innovation resources, strengthen the construction of technological research and development laboratories, project centres and corporate technology centres related to cloud computing. Establish industrial innovation alliances, give rein to the leading role of backbone enterprises, foster a batch of innovative small and mid-size enterprises with clear characteristics, and complete industrial ecology systems. Perfect public cloud computing support systems, strengthen the protection and use of intellectual property rights, the formulation of standards and corresponding evaluation and monitoring work, to stimulate collaboration and innovation.

(3) Explore new models for cloud computing development in e-government

Encourage the application of cloud computing technology to integrate and transform the existing e-government information system, realize the integrated deployment, joint construction and joint use of government information systems in all areas, and substantially reduce the quantity of data centres built by governments themselves. Newly-built e-government systems must be strongly argued for and be examined and approved according to procedure. Government departments must strengthen their procurement of cloud computing services, vigorously launch trials and demonstrations, and explore new operational mechanisms for government affairs informatization based on cloud computing, promote government affairs information resource sharing and professional coordination, strengthen supervision and management during and after processes, create greater market space for cloud computing, and drive the rapid development of the cloud computing industry.

(4) Expand the exploitation and use of big data.

Fully give rein to the collecting role of cloud computing with regard to data resources, realize the integration and sharing of data resources, promote big data excavation, analysis, application and services. Launch public data openness and use reform trials, roll out government body data openness and management regulations, under the precondition of guaranteeing information security and individual privacy, vigorously explore opening up data resources of geographic, population, intellectual property rights and other management bodies to society, promote data sharing between government departments, and enhance social management and public service capabilities. Focus on launching big data application demonstrations based on cloud computing in areas such as public security, disease prevention and cures, disaster prevention, employment and social security, transportation and logistics, education and scientific research, e-commerce, etc., and support government departments and enterprises to innovate big data service models. Fully give rein to the service and supporting role of cloud computing and big data in the construction of smart cities, strengthen broad application, unearth market potential, and serve economic and social development in cities.

(5) Comprehensively plan cloud computing infrastructure.

Strengthen comprehensive planning for data centre construction nationwide, guide that large-scale cloud computing data centres are distributed primarily in regions with sufficient energy resources, appropriate climates, with relatively little natural disaster, and that small and mid-size data centres mainly operating real-time applications are flexibly distributed in regions close to where their users are located and with stable electricity supply. Local governments and relevant enterprises must rationally determine the development orientation of cloud computing, end the blind construction of data centres and corresponding parks. Accelerate the implementation of the “Broadband China” strategy, integrate cloud computing development with optimizing the structure of the network, accelerate the construction and upgrading of network infrastructure, optimize interconnection frameworks between the networks of the Internet, upgrade the quality of interconnection and interaction, and reduce broadband rental charges. Support the use of renewable energy resources and energy saving technologies in building green cloud computing centres.

(6) Enhance security protection capabilities.

Research and perfect laws and regulations concerning personal and corporate information protection, and online information security in a cloud computing and big data environment, formulate management rules for information collection, storage, transmission, deletion and cross-border circulation, and accelerate the process of information security legislation. Strengthen cloud computing service network security protection and management, strengthen cloud computing service security evaluation, establish and perfect cloud computing service security management systems in Party and government bodies. Implement the national hierarchical information security system, and launch hierarchical filing and survey work. Perfect dynamic cloud computing security sensing, security incident warning and prevention and emergency response mechanisms, strengthen security evaluation and monitoring of important information systems in Party and government bodies, finance, traffic, energy, etc. Support the research, development, production, trial, demonstration and broad application of cloud computing security hardware and software technology products, accelerate the construction of specialize cloud computing security service forces.

III, Guarantee measures

(1) Perfecting the market environment.

Revise telecommunications business category catalogues, perfect cloud computing market access structures, support cloud computing service enterprises meeting conditions to apply for corresponding business qualifications. Research policies to support large-scale cloud computing service networks. Support third-party bodies in launching cloud computing service quality, reliability and cybersecurity evaluation and monitoring work. Guide cloud computing service enterprises in strengthening internal management, raising service quality and honesty levels, and progressively establish cloud computing trust systems. Strengthen interconnection, interaction, supervision and management of Internet backbone networks and the construction of technological support measures, adjust policies for interconnection accounting between networks, guarantee high-efficiency and open links between networks. Cloud computing data centres conforming to distribution principles and energy consumption standards are to be supported to participate in direct-supply electricity trials, to satisfy the electricity use conditions of a big industry, electricity prices for a big industry may be implemented, and guarantees may be given in at the network, municipal and other such levels, such as preferential arrangement of land use. Guide State-owned enterprises in using cloud computing technology and upgrading their business management levels, and disseminate cloud computing products and solution plans that are safe and reliable in use.

(2) Establish and complete corresponding regulatory structures.

Implement the “NPC Standing Committee Decision concerning Strengthening Online Information Protection” and the “Government Information Openness Regulations of the People’s Republic of China”, perfect Internet information service management rules, accelerate the formulation of laws and regulations concerning information and network security, personal information protection, etc., roll out corresponding regulations on the procurement and use of cloud computing services by government and important sectors, clarify the security management responsibilities of corresponding management departments and cloud computing service enterprises, and standardize the relationship between the rights and duties of cloud computing service businesses and users.

(3) Strengthen fiscal policy support.

According to the demands of deepening management reform of the central financial administration’s science and technology plans (earmarks, funds, etc.), fully give rein to the role of State science and technology plans and major science and technology earmarks, adopt many kinds of methods, including free-of-charge financial aid, ex post subsidies, etc., to strengthen government financial support, guide social investment and support research and development of key cloud computing technology and its industrialization. Support the implementation of cloud computing projects, continue to move forward with cloud computing service innovation trials and demonstrations, and timely summarize and publicize the experience from these trials. Innovate government information system construction and operational management models, perfect supplementary policies for government procurement of cloud computing services, develop outsourcing activities based on government information technology services in cloud computing. Enter cloud computing enterprises into the accreditation scope for software enterprises, focus software enterprises within State-planned arrangements, high technology enterprises and advanced technology service enterprises, those meeting conditions are to enjoy corresponding preferential tax policies according to regulations.

(4) Perfect investment policies.

Guide the establishment of a bunch of cloud computing start-up investment funds. Accelerate the establishment of multi-level guarantee systems including capital from the financial administration and social capital investment, strengthen support for cloud computing enterprises’ financial guarantees. Promote that financial bodies grant lending support to major cloud computing programmes with advanced technologies, with a strong driving or supporting role. Vigorously support cloud computing enterprises meeting conditions to directly raise funds on capital markets.

(5) Establish and complete systems of norms and standards.

According to the principle of “giving priority to urgent needs, letting the mature go first, and focusing on breakthroughs”, accelerate the construction of cloud computing standard systems, formulate standards for cloud computing service quality, security, measurements, mutual operability, migration of applications, cloud computing data centre construction and evaluation, as ell as virtualization, data storage and management, elastic computing, platform interfaces and other such areas, research the formulation of standards based on the operational and data security of cloud computing platforms, secret information system secret-keeping technology protection and management, technological control of unlawful information, etc.

(6) Strengthen the construction of talented troops.

Encourage ordinary higher education institutes, professional schools and scientific research institutes to jointly train cloud computing talents with enterprises, strengthen effective linkages between school education and industry development, provide high-level intelligence support for the development of cloud computing. Perfect incentive mechanisms, bring up a batch of cloud computing leading talents and technological pioneers. Fully use existing talents to guide planning, and bring in international high-end cloud computing talents. Cloud computing talents who make prominent contributions may be given awards and rewards according to relevant State regulations, and preferential arrangements may be made in terms of job titles, housing policies and other such areas. Support enterprises and educational bodies to launch applied cloud computing talent training.

(7) Vigorously launch international cooperation.

Support cloud computing enterprises to vigorously expand into international markets through foreign mergers and acquisitions, joint ventures, establishing cloud computing data centres abroad, establishing research and development bodies, etc., stimulate the development of trade in cloud computing-based services. Strengthen research and development cooperation between domestic and foreign enterprises, guide foreign businesses to invest in our country’s cloud computing-related industries according to relevant regulations. Encourage domestic enterprises and sectoral organizations to participate in the formulation of international cloud computing standards.

All localities and all departments must pay great attention to cloud computing development work. According to the demands and tasks put forward according to these Opinions, earnestly grasp implementation, promulgate supplementary policy measures, take prominent matters into hand, focus on making breakthroughs, and strive to strengthen comprehensive government planning and promotion of cloud computing and other such work. Relevant State Council departments must strengthen coordination and cooperation, establish and perfect work mechanism, and establish linkages with the national cybersecurity and informatization development strategy and corresponding policies, strengthen organization and implementation, and create joint forces to move these matters forward. The Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Science and Technology, the Ministry of Finance and the CAC must, together with relevant departments, strengthen follow-up analysis of cloud computing development, and promote the detailed implementation of all tasks and allotted work.

State Council

6 January 2015



2 thoughts on “Opinions concerning Stimulating the Development of Cloud Computing Innovation and Fostering New Business Models in the Information Industry

    […] Read more of this post […]

    Latest Updates « China Copyright and Media said:
    May 2, 2015 at 12:00 am

    […] Opinions concerning Stimulating the Development of Cloud Computing Innovation and Fostering New Busi… (State Council, January 2015) […]

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