Ministry of Industry and Information Technology Reports Software Sector Profit Reaching 1.0396 Trillion Yuan in First Seven Months, Up 1.3% Year-on-Year

Stock News
Aug 31

Data from the Ministry of Industry and Information Technology reveals that during the initial seven months of 2026, China's software industry maintained a sound operational trajectory, characterized by steady revenue expansion, stable profit growth, and sustained positive momentum in export performance. Revenue across the software sector reached 89.785 trillion yuan, marking a 9.2% annual increase. Profits totaled 1.0396 trillion yuan, reflecting a 1.3% uptick, while software exports amounted to 40.61 billion U.S. dollars, climbing 12.2% from the previous year. Officials from the department summarized the sector's performance as demonstrating steady progression across core indicators.

Revenue and profit trends

During the review period, software product revenue grew at a stable clip, advancing 6.3% year-on-year and accounting for 21.6% of the industry's overall turnover. Within this segment, foundational software products accelerated by 9.4%, while industrial software products saw an 8.4% increase. Information technology services emerged as the primary growth driver, posting a 10.0% annual gain and representing 68.7% of total industry revenue. Notably, cloud computing and big data services expanded by 12.3%, capturing 16.7% of the IT services category. Integrated circuit design revenue surged by 21.5%, whereas e-commerce platform technical services rose more modestly at 5.1%. Meanwhile, cyber security products and services recorded a 6.2% uptick, and embedded systems software revenue climbed by 10.5%.

Regional performance highlights

Geographically, the eastern, central, western, and northeastern regions delivered revenue increases of 9.0%, 14.6%, 9.1%, and 4.9%, respectively, with the eastern seaboard contributing 83.9% of the national total. The Beijing-Tianjin-Hebei cluster and the Yangtze River Delta saw gains of 8.4% and 10.2%, accounting for 26.4% and 29.9% of the national market, respectively. Among leading provinces and municipalities, Beijing, Guangdong, Jiangsu, Shanghai, and Shandong ranked in the top five, with growth rates of 8.3%, 9.3%, 9.3%, 10.5%, and 7.0%, respectively.

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