GUANGZHOU'S software industry has been developing fast and intensively. Currently, there are more than 1,100 software enterprises here in Guangzhou and revenue of last year in the technological, industrial, and trade aspects has exceeded RMB 6 billion yuan. Now the pattern that Guangzhou Tianhe Software Park leads, and Guangdong Software Garden and Nansha IT Park co-develop has been formed. Result of ?ombination of the three strong?is that market share of Guangzhou software now covers more than 10% of total amount of domestic software market. The overall strength of Guangzhou software industry is only inferior to Beijing Zhongguancun and its degree of concentration begins to get close to that of Taiwan Province , China.

Presently, some clustered enterprises that are focused on software in the areas of telecommunication, tax affairs, and finance have been formed from Guangzhou ? software enterprises. The software level is now a leading role in this industry and supporting system of service is also being consummated quickly. Now construction of Software Engineering Project Tender Center and the Production Exhibition Center has been completed and they are now serving their functions while the Software Concentration Incubator and Testing Center are under construction at quickened speed. The broad-band digital backbone network has been open in Tianhe Software Park and full coverage will be achieved this year. National Internetwork Guangzhou Exchange Center and South China Central Hub of Telecom Trunk Corridor have made their homes Guangzhou successively, bringing along with them the ten big network operators in Mainland of China.

To make the Guangzhou software industry big and strong, Guangzhou municipal government has expressed clearly that Guangzhou will push forward the development of its software gardens as a whole according to the requirements of ?easonable layout, supplemental functions, advanced management, and superior service? and will build the world-known base of software industry with advanced levels within as short a time as possible.

Compared with other regions, Guangzhou software industry has unique advantage for development. Firstly, it get the strong support from Guangzhou Municipal Committee of CPR and from Guangzhou Municipal Government: total investment of three years is RMB 3.235 billion yuan in which RMB 0.347 billion yuan is for ?hree funds for technologies? about 61.87% of the total such funds that can be distributed by Guangzhou Municipal Science and Technology Bureau; instruction about strategic orientation for development of Guangzhou software industry has been conducted, namely, vigorous development of application-targeted software technologies and products, and selective development of some basic and universal software technologies and products. Most of Guangzhou? software enterprises are engaged in development of large-scale systems software, which is a characteristic that not only can prevent pirating that has plagued universal software severely, but also can play the strong and avoid the weak, make the best of their intelligence resources, and give them the biggest possibility for development of software products that have proprietary intellectual property rights.

Secondly it benefits from Guangzhou ? developed market economy, strong human resource demands, harmonious investment and financing environment, as well as open economy and location advantage of abutting on Hong Kong and Macao . Fast economic development in South China makes the manufacturing-developed Pearl River Delta a global production base for IT hardware products, which results in huge demands for relevant software. Development of Guangdong economy in the aspects of finance, telecommunication, tax affairs, business, network and information security, etc. has provided huge commercial opportunities for Guangzhou? software industry to make better use of the two kinds of resources (domestic market and international market), as well as have found great opportunity for Guangzhou? software industry to grow up. For example, the office software developed by Excellence Network has not only made its way into all the industrial and commercial systems in Shandong Province, but also been incorporated into the management systems of China Securities Regulatory Commission and National Radio Commission.

Most of the software enterprises, software products, and software revenue of Guangzhou are in Tianhe Software Park . Last year, there are 51 various foreign-invested software enterprises newly built in the park. Total amount of new and added foreign investment was 63.4 million US dollars, registered capital is 48.65 million US dollars, and the foreign capital utilized through signed contracts is 42.09 million US dollars. Numbers of world-known software enterprises have settled their companies in Guangzhou , such as Lenovo Digital China, Beida Jadebird, Microsoft ( South China ), etc.