Why China Is Betting on Open‑Source to Revitalize Its Software Industry

On Tuesday, November 30, the Ministry of Industry and Information Technology of China warned that the Chinese software industry performs poorly internationally and must fully rely on free and open‑source software (FOSS) to improve.

According to Xie Shaofeng, director of the IT Development Department, software is the foundation of next‑generation information technology, the digital economy, and the construction of an intelligent, networked, digital China.

Although the sector made significant progress under the 13th Five‑Year Plan (2016‑2020), the ministry criticised the fragility of the domestic software supply chain, the shallow depth of local applications, and the lack of attention to software intellectual property.

The shortage of skilled developers is both a symptom and a cause of these problems; talent supply cannot meet demand, especially for specialized, high‑end, and interdisciplinary professionals. During the 14th Five‑Year Plan, the ministry will promote deeper industry‑education integration and strengthen training and recruitment of critical‑industry talent.

The Ministry of Commerce also stressed the need to enhance international competitiveness by deepening global exchange and cooperation.

Plans call for the development of emerging software products with ecosystem impact by 2025, including projects in twenty new software parks, and the creation of two or three internationally influential open‑source communities.

The document highlights the importance of autonomous open‑source software, acknowledges that China’s open‑source ecosystem is still in its infancy, and points out obstacles such as a weak open‑source foundation, insufficient control over core technologies, a thin open‑source culture, and the need for policy support.

It concludes with the slogan “Software defines the future world; open source decides the future of software.” The ministry aims for annual growth of over 12 %, a more optimized industry structure, and a higher overall strength.

The Open Atom Open Source Foundation, a domestic open‑source foundation covering FOSS hardware, chips, and content, assists projects with intellectual‑property management, copyright dispute prevention, and funding.

Huawei recently donated its EulerOS (part of Linux) to Open Atom; the ministry praised Huawei as a “brand product” with growing international influence, though U.S. sanctions remain a hurdle.

In addition, the ministry released a big‑data plan to double the size of China’s big‑data sector within five years, emphasizing data security while pursuing the necessary technologies.