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Huawei released the global connectivity index (GCI) report for the seventh consecutive year, proposing five stages of industry digital transformation for the first time. [China, Shenzhen, January 26, 2021] Huawei released the global connectivity index (GCI) 2020, which is the seventh consecutive year that Huawei released the report. This year's report for the first time proposed five stages of industry digital transformation, namely: task efficiency, functional efficiency, system efficiency, organizational efficiency and agility, ecosystem efficiency and resilience

the report points out that the COVID-19 swept the world in 2020, and the world is running online. In this context, on the one hand, intelligent connection helps all walks of life fight against the epidemic and resume production; Relevant departments are updating the national implementation plan. At the same time, the state and enterprises are actively thinking about how to further develop intelligent connection, accelerate the digital process and adapt to the new normal. Research shows that the digital transformation of the industry helps the country develop high-level productivity, promote economic recovery, and improve future competitiveness

starters have accelerated the narrowing of the digital divide, thanks to the improvement of broadband coverage and affordability.

gci analyzed the score changes of countries since 2015. The average scores of leaders, accelerators and starters have increased since 2015. Among them, starters' annual compound annual growth rate (CAGR) is the highest (increased by 4.95%), followed by accelerators (4.58%), and the leader is the lowest (increased by 3.38%). This shows that the starters are actively catching up with the accelerators and leaders and trying to narrow the digital divide. According to the analysis of the report, the starters have made significant progress in broadband coverage, and the penetration rate of mobile broadband has increased by more than 2.5 times on average; The proportion of 4G users in the total population has also increased from 1% to 19%; Mobile broadband payment capacity increased by 25%. This helps to improve its comprehensive digital service level and promote new economic development opportunities. E-commerce expenditure has almost doubled compared with 2014, and the per capita e-commerce expenditure has exceeded US $2000. Some starters are entering the ranks of countries with a higher level. Their GCI score has increased by 17%, and their GDP growth is 22% faster than other similar countries. Vietnam and Peru have entered the ranks of accelerated countries in 2020

the enterprises in the leader countries are more willing to retain the IT budget

the research shows that the willingness of enterprises in different countries to invest in it is also different. In general, compared with non it budgets, the enterprises in the leader and accelerator countries are more inclined to retain the IT budget; In addition, affected by the epidemic, although most enterprises are expected to reduce their IT budgets due to business decline, the proportion of enterprises in the leading countries to reduce their IT budgets is 2.5 to 3.5 times lower than that in other countries. This also means that countries with higher maturity of digital infrastructure can achieve recovery faster and avoid the impact to the greatest extent when transforming to a high-level productivity model

the digital transformation of the industry helps the country develop a high level of productivity

ICT investment needs to consider the unique existing production factor endowments of various countries in order to produce a multiplier effect. In general, the economy of each country is composed of different industries and has its own unique pillar industries. The report suggests that the national ICT strategy should be built on the advantageous industries accumulated by countries in the early stage. But no matter in which industry, the higher the degree of digitalization, the greater the added value it brings

gci 2020 first proposed five stages of industry digitalization, which are:

stage 1: task efficiency: track the completion rate of a single task through basic connection and improving communication efficiency

stage 2: functional efficiency: use ICT technology to realize computerization or automation, which can handle multiple tasks at the same time and improve information sharing

stage III: system efficiency: promote the digitalization of core system functions and realize the efficient operation of the system. At this stage, enterprises need wider connections and put forward requirements for cloud services

stage 4: organizational efficiency and agility: the internal processes of the enterprise have been digitalized, applications are generally in the cloud, and all systems can be effectively integrated. With the popularity of high coverage network and cloud applications, and the deployment of AI and IOT, real-time data analysis and insight can be achieved

stage V: ecosystem efficiency and resilience: the whole ecosystem will be digitalized, and can quickly respond to market changes, and support the automatic coordination and cross-border cooperation of stakeholders. 5g, IOT, robots and other technologies will become typical representatives of this transformation, creating new opportunities for new business models, new ways of working and new products

Zhang Hongxi, chief marketing officer of Huawei's ICT infrastructure business, said: as ICT technology has entered all walks of life, digital transformation has become a common consensus of the country and thousands of industries. For the first time, we try to extend the research perspective from the national dimension to the industry dimension, and try to provide path reference for digital transformation for countries and enterprises at different stages, so as to build a future oriented development toughness

gci aims to provide valuable insights for policy makers and stakeholders in the economic field, promote faster growth of the digital economy, and relocate a production line located in the light industry Road plant in Chancheng District this year. The 79 countries assessed by GCI 2020 account for 95% of the total global GDP and 84% of the global population

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