Establishing a software industry investment mechanism is imperative

China's listed companies in Shanghai and Shenzhen have nearly a dozen or so high-tech companies in the category of software that are more diverse in their products. In a period of time, most companies can make full use of the securities market to raise capital and raise financing. Unusual development; while a considerable portion of the company has continuously increased its development and investment in software business, it has also achieved relatively good results in a more severe economic situation, such as Huawei, ZTE, Digital China, Zhejiang University, Panda Electronics, Influx companies such as Inspur Group, Neusoft Group, Founder Group, Microsoft China, and Zhaohua Technology have flourished.

According to statistical data, in recent years, profit-making companies have concentrated on software development, online game development, and electronic website construction. The broad prospects of software companies have made them more concerned. Once he had scale, capital, and fame every year, his strength has gradually been discovered and manifested.

The software industry is booming. The information industry has been regarded as the pillar industry of the knowledge economy. Especially the software industry enjoys a high status and is included in the strategic commanding heights of our country in the era of knowledge economy and the key points of the information industry.

China's software market already has certain development and marketing capabilities. The three major types of software products are system software, support software and application software. The average market share of unified software is 10.7%; the average market share of supporting software is 22.8%; Software has become the focus of current development, accounting for 66.5% of the market share.

The national software industry bases currently recognized by the State Planning Commission and the Ministry of Information Industry include: Beijing Zhongguancun Software Park, Dalian Software Park, Shanghai Pudong Software Park, Hangzhou Software Park, Jiangsu Software Park, and Zhuhai South Software Park. The software export base and the National Torch Program Software Industry Base have also been greatly developed. In order to make the national software industry base share resources and realize complementary advantages.

The new generation of information technology includes the leap in the development of emerging technologies such as the Internet of Things and cloud computing. A group of related companies have rapidly emerged and achieved application results. As the information industry has been increasingly valued by the country and has become the focus of the “Twelfth Five-Year Plan”, the “No. 4 Document” states that policy-based financial institutions can meet the scope and conditions of major national science and technology projects within the approved business scope. The software and integrated circuit projects give key support; the country proposes to encourage and support software companies to strengthen the policy of industrial resource integration. The industry of the software industry is supported by financial policies and breakthroughs have been made in solving the institutional obstacles that may be encountered in the process of corporate restructuring and mergers and acquisitions.

In February 2010, the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Commerce and the State Administration of Taxation jointly issued a notice to announce the list of 240 key software companies in the 2010 national plan layout: including Huasheng Tiancheng, UFIDA Software, and NavInfo.

According to the regulations of the above-mentioned enterprises, if the key software enterprises within the national planning and layout do not enjoy a tax rate less than 10% in the current year, they shall be subject to a 10% tax rate for the collection of corporate income tax.

The scale of China's software companies is still relatively small. However, there is still such a market with huge demand. The scale of China's software industry is relatively small, and it has not been scaled up to only 0.6% of the United States, so the ability to resist risks is poor, and the degree of industrialization low. In the 1990s, China's software sales were only 2.2 billion yuan, an increase of 108 times in 10 years. However, China's software sales accounted for less than 1% of the world market.

Currently, China's software companies mainly focus on small and medium-sized enterprises. UF, Founder of Peking University, and Alpine University of East China have large scales. The market is concentrated on advantageous enterprises and brand-name products. About half of the software companies occupy less than 50 people. Of the approximately 50,000 software companies in China, approximately 2,000 are engaged in R&D and sales, and the remaining 3,000 are engaged in information services. The collective and private enterprises of software enterprises account for 60%, the foreign-funded enterprises account for about 10%, and the state-owned enterprises account for about 30%.

Software talents are generally lacking, especially senior talents. According to statistics, there are about 170,000 employees in the software industry, 15 million more software professionals and 70% more software engineers. According to industry insiders, China's software industry is still in its early stages of development and has not truly formed a modern industry. Software companies are generally small in scale, have poor management capabilities, have unreasonable division of labor, lack long-term mechanisms, and lack talent excavation, training, management, and reserve mechanisms.

In addition to the scale, the software industry has a low level of overall technology and lack of support for venture capital systems.

Some people say that the software industry is very suitable for venture capital investment, but it also has to see its high-risk, high-yield characteristics coexist.

Regulating the Software Industry's Investment Mechanism for Establishing a Software Industry As software is supported by the government, with the implementation of my 12th Five-Year Plan, the electronic information industry and software industry have been placed in a strategic industrial position.

How to truly solve the problems currently facing the software industry has become a top priority.

To this end, people in the industry pointed out that they provide loan interest subsidies and financing guarantees for software development companies with promising prospects, expand the expansion of financing channels for software companies, actively promote the financing of the listing of software companies (including GEB and other markets), and strengthen the protection of intellectual property rights. Administrative means intervened in combating piracy and unified and rationalized the layout of China's software industry parks. Domestic enterprises took initiative in major projects and key application systems, and the government actively and effectively supported them.

For software companies, they improved corporate management, improved their competitiveness, actively participated in international competition, improved their software development capabilities and software product quality, strengthened their use of intellectual property rights, and actively researched and innovated to ensure the export of software to foreign countries. The rapid growth is the only way to survive and develop in the long run and to expand the software industry.