The number of internet users in China has reached a staggering 1.1 billion by December 2024, marking an increase of 16 million from the previous year, according to a report by the China Internet Network Information Center (CNNIC) released on Friday. This milestone underscores the immense potential of China’s digital economy and its pivotal role in driving technological innovation.
Internet penetration in China has soared to 78.6 percent, just 30 years after the country was fully connected to the global internet. Boasting the world’s largest internet infrastructure equipped with advanced technologies, China is fueling rapid growth in its digital economy.
By the end of last year, over 1 billion people in China were using online payment systems, and 974 million engaged in online shopping—an increase of 59.5 million from the end of 2023. “China continues to lead the world in both online retail sales and mobile payment penetration,” the report stated.
Data from the National Bureau of Statistics showed that in 2024, China’s total online retail sales hit 15.52 trillion yuan (about $2.18 trillion), a 7.2 percent increase from the previous year. Online retail sales of physical goods rose 6.5 percent year on year to 13.08 trillion yuan, accounting for 26.8 percent of the total retail sales of consumer goods.
The expansion of China’s online retail sector is propelled by the rapid growth of 5G and broadband coverage across urban and rural areas. As of November 2024, China had constructed 4.19 million 5G base stations, with the number of gigabit broadband users reaching 209 million.
Stable internet connectivity has encouraged online shopping among a broader range of users, including the elderly and rural residents. Nearly 70 percent of netizens aged 60 and above and over 76 percent of rural internet users shop online, according to CNNIC.
Short video and livestream platforms have become major channels for online shopping, especially among rural netizens. Approximately 71 percent of short video and livestream viewers have made purchases after watching, with more than half tuning in regularly to live-stream sales.
Emerging from China’s booming short video industry, micro-dramas—typically no longer than a few minutes but with engaging plots—have become another thriving sector of the digital economy. By December 2024, the audience for micro-dramas in China reached 662 million, accounting for nearly 60 percent of internet users.
The micro-drama industry directly and indirectly created around 647,000 job opportunities last year. It is expected that the market for micro-dramas could surpass the total box office revenue on the Chinese mainland for the first time in 2024, according to the China Netcasting Services Association.
Online tourism services, a vital component of China’s rapidly recovering tourism market, have also experienced significant growth. As of December 2024, the number of users booking travel online reached 548 million, an increase of 39.35 million from a year ago, representing 49.5 percent of the total internet user base.
Artificial intelligence technology, widely applied in online marketing, smart diagnostics, customer service, and various other fields, is driving profound changes in industrial manufacturing and economic growth in China, the report noted. At least 331 million people, or 23.5 percent of China’s population, are aware of generative AI products, while 249 million have used them, mainly for answering questions and office assistance.
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China's internet users surpass 1.1 billion, powering digital economy
cgtn.com
