Strategic Development of

Technology in China
Strategic Development of
Technology in China
Breakthroughs and Trends

Kelly Luo
Strategic Development of Technology in China: Breakthroughs and Trends

Copyright © Business Expert Press, LLC, 2023.

Cover design by Charlene Kronstedt

Interior design by Exeter Premedia Services Private Ltd., Chennai, India

All rights reserved. No part of this publication may be reproduced,

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First published in 2022 by

Business Expert Press, LLC
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ISBN-13: 978-1-63742-396-7 (paperback)

ISBN-13: 978-1-63742-397-4 (e-book)

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First edition: 2022

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 Description
This book explores the development of technology hotspots and the
difficult problems encountered in easy-to-understand language and
introduces the startups in the related fields.

It also shows how these key technologies solve the pain points of the
industry, the background of the founding teams and the choice of busi-
ness models through real-life cases. This book can be used as a quick
reference manual, allowing you to spend the shortest time to understand
the hot topics in the global technology circle in the two years since the
outbreak of the COVID-19 epidemic.1,2

Through the business cooperation with the Chinese tech community over
the years and the close ties with technology companies from other coun-
tries, the author introduced:

•  China’s science and technology ecology,

•  China’s tech advantages,
•  Made in China 2025,
•  The top 10 tech advances in China in 2021.

In addition, this book will introduce the latest advances and startups in
China in related technological fields, so readers can have a more compre-
hensive understanding of China’s tech development priorities in the next
5 to 10 years.

The relevant topics in this book are also provided with video versions.
vi Description

Keywords
strategic development of technology in China; technology in China;
kellyontech; Mans International; digital economy; global digital
­competitiveness; key technology driving forces; Top 10 scientific and
technological progress in China in 2021; Tech for social good; Kelly Luo;
5G commercial applications; global IoT operator; Joy Telecom; Cloopen;
artificial intelligence chip; Vehicle-road collaboration; SimpleConnect;
UBTECH robots; Made in China 2025; China’s first Mars exploration
mission; GaN Systems; Ramanuja Machines; Cambricon; Sambanova
Systems; D-Wave Systems
 Contents
Testimonials������������������������������������������������������������������������������������������ix
Acknowledgments�����������������������������������������������������������������������������������xi

Part I   hat Will Be the Biggest Increment in the World

W
After COVID-19 Pandemic?�������������������������������������� 1
Chapter 1 Introduction������������������������������������������������������������������3

Part II The Key Technology Driving Forces�������������������������� 7

Chapter 2 5G���������������������������������������������������������������������������������9
Chapter 3 Artificial Intelligence (AI)��������������������������������������������37
Chapter 4 Chips���������������������������������������������������������������������������85
Chapter 5 Robotics��������������������������������������������������������������������113
Chapter 6 Quantum Computing�����������������������������������������������137

Part III Overview of China’s Science and

Technology Ecology���������������������������������������������� 149
Chapter 7 China’s Tech Infrastructure, Strengths, Policies, and
Major Tech Breakthroughs Explained������������������������151

Epilogue: The Future of Technology������������������������������������������������������167

Notes�������������������������������������������������������������������������������������������������169
References�������������������������������������������������������������������������������������������175
About the Author��������������������������������������������������������������������������������177
Index�������������������������������������������������������������������������������������������������179
 Testimonials
“This is perhaps one of the most comprehensive reviews of some of the most
advanced technology developments in China and even in the world. I particu-
larly enjoyed the chapters on 5G, AI, and Robotics. I strongly recommend this
book to policy makers and business leaders.”—Bill Huang, Founder and
CEO of CloudMinds
Bill was awarded the 2016 IEEE CQR Chairman Award by the Insti-
tute of Electrical and Electronics Engineers (IEEE) and developed the
world’s first carrier-grade streaming media switching and IPTV system.

“Technology in China is advancing with an unprecedented speed. It represents

an opportunity for anyone in the international community who sees it as such.
Kelly lays it out as it is in the best way I have seen.”—Hugh Chow, Former
CEO of ASTRI
Hugh is a serial entrepreneur with 30 years of experience in tech,
innovation, and venture. Inventor of 12 patents. Founder of Pool Global
and ViXS Systems (TSX:VXS)

“This book is very well written, with fluent and easy-to-understand language
that encompasses the major cutting-edge high-tech fields of today in depth. It
is suitable for experts in various fields to understand the development of other
interdisciplinary fields, develop ideas, and stimulate new direction explora-
tion and cooperation in new interdisciplinary areas. It is also suitable for
general people to understand the changes that technology will bring to our
present and future human social life. This book gives a very good overview of
the development of China and the world’s science and technology in numerous
frontier areas. This book helps China understand the world, understand itself,
and assists the world to understand China. I hope it can be translated into
Chinese and other languages for easy communication and dissemination.”
—Zengzhong Peng, Founder and CEO of Kiloway
Mr. Peng received master’s and PhD degrees from the University of
­Maryland, USA. He has 40 years of experience in the semiconductor
x Testimonials

industry and holds more than 60 invention patents. He worked in com-

panies such as AMD, Gatefield, Silicon Valley Actel for many years. He
successfully founded two companies in Silicon Valley and sold them to
NASDAQ-listed companies successively. He is the inventor of the world’s
original innovative super RFID technology—X-RFID technology and the
world’s leading ultra-low power permanent memory—XLPM technology.
 Acknowledgments
This book took shape first and foremost thanks to my fellow author
Nigel  Wyatt for the introduction and to Scott Isenberg, Executive
­Managing Editor of Business Expert Press in New York, for the invitation
to publish it.
My dear dad hand-drawn some of the illustrations in the book, and I
thank him a lot for his dedication and talent. Thank you to my dear dad
and mom for reviewing the manuscript from a nontechnical perspective
to ensure that the technical information described in the book is easy to
understand. Thank you for your infinite tolerance and encouragement for
me, which gave me the courage to write this book.
Thanks to Senior Advisor at Mans International, and my colleague
Michael Rutherford, for suggesting changes on every topic over the past
two years. Even when he was on vacation with his family. I really appreci-
ate your time and continued support.
Thank you to my mentor and friend Cheryl Tang for her valuable
feedback from a professional investor’s perspective.
Thank you to my business partners from Joy Telecom, Founder
Xiaotao Bai, CTO Hongwu Lu, VP of Sales Cheng Fang, for their support
in providing detailed data and product information on IoT operators.
Thank you to Mr. Fred Yang, General Manager of Cloopen ­Singapore,
for providing a wealth of valuable first-hand information on conversa-
tional AI solutions and cloud service platforms.
Some of the videos are newly produced, and it was too late to put the
video links in the book. I will keep updating content on the KellyOn-
Tech video channel (www.youtube.com/user/kellymanluo). Thank you
for your time and attention!
 CHAPTER 1

Introduction
Digital Economy
The free movement of people between countries has been greatly restricted
after the outbreak of the coronavirus disease (COVID-19). In the face of
the slowdown of the gross domestic product (GDP) growth in various
countries, what will be the biggest increment in the world in the future?
It is the digital economy. According to Statista, digital transformation
(DX) spending is expected to reach $1.8 trillion by 2022. By 2025, global
digital transformation spending is expected to reach $2.8 trillion.1
3.5

3
2.8
Spending in trillion U.S. dollars

2.5 2.4

2.1
2
1.8
1.5
1.5
1.31
1.18
0.96 1
1

0.5

0
2017 2018 2019 2020 2021* 2022* 2023* 2024* 2025*
Spending on digital transformation technologies and services
worldwide from 2017 to 2025 (in trillion U.S. dollars)
Source: Statista February 16, 2022.

Global Digital Competitiveness Ranking

Under the influence of the black swan of COVID-19, most countries are
increasing their investment in the digital industry. The World Economic
Forum has released a research report in 2021, analyzing and ranking the
changes in digital competitiveness of countries around the world over the
4 Strategic Development of Technology in China

past three years. Based on the data from the World Economic Forum’s
Global Competitiveness Report and supporting data from the World
Bank and the International Telecommunication Union, the report pro-
poses two core dimensions to measure a country’s digital competitiveness:
digital ecosystems and mindset.2

China +2111)
Saudi Arabia +169
Brazil +88
Argentina +80
Turkey +77
Indonesia +48
Canada +47
Italy +34
France +28
Korea, Rep 0
Australia –18
Mexico –49
Russia –67
USA –72
UK –85
South Africa –97
Germany –176
Japan –190
India –396
EU N/A1)
The World Economic Forum’s Global Competitiveness Rankings
Source: World Economic Forum.

The concept of digital economy has gradually changed from digital

enterprise to a deep integration with all walks of life. In December 2021,
the State Council of China issued the 14th Five-Year Plan for the Develop-
ment of the Digital Economy, which defines the digital economy as follows:

The digital economy is the main economic form after the

­agricultural economy and industrial economy, with data resources
as the key element, modern information network as the main
carrier, the integration of information and communication tech-
nology applications, the digital transformation of all factors as an
 Introduction 5

important driving force, and promote fairness and efficiency of

the new economic form with more unified efficiency.

The plan pointed out that the proportion of the added value of the
core industries of the digital economy to GDP will increase from 7.8
percent in 2020 to 10 percent in 2025. According to estimates by Wu
Chaoze, director of the CITIC Capital Securities Research Institute,
based on an average annual growth rate of 5 percent in China’s GDP, by
2025, the added value of the core industries of the digital economy will
reach 13.8 trillion yuan (about 2.17 trillion U.S. dollars), an increase of
nearly six trillion yuan (around 0.94 trillion U.S. dollars) over 2020.3
The core industries of the digital economy include 5G as the informa-
tion infrastructure, as well as key technologies such as chips, Internet of
Things (IoT), artificial intelligence (AI), autonomous driving, robotics,
quantum computing, and so on. I will answer hot questions in related
fields in the subsequent chapters.
 Index

Add-ons and compatibility, Aurora Innovation

SimpleConnect, 51 cofounders, 53–54
Ameca humanoid robot, 133–134 strategic partnership, 55
Analytics Insight, 172 strategic positioning, 55
Annealed quantum chip, 99–100 Autonomous driving technology
Apollo’s open-source vehicle-road Apple Self-Driving Cars, 65–66
coordination, 73–75 Aurora Innovation, 53–55
Apple Self-Driving Cars, 65–66 Chinese driverless start-up
Application programming interfaces company, 56–59
(APIs), 64 difficulties, 62–67
Application-specific integrated circuit Drive.ai, 64–65
(ASIC)-dedicated integrated largest market, 77–78
circuit, 102 new ideas, 67–71
Artificial intelligence (AI) quantum computer, 147
application programming R&D cost, 71
interfaces, 64 self-driving car. See Self-driving car
autonomous decision, 63 vehicle–road coordination, 71–77
autonomous driving technology. Azure Quantum, 142–143
See Autonomous driving
technology Baidu, 171
conversational, 48–52 Baidu self-driving car, 67
depression detection, 46–48 Baidu’s new prototype robocar, 105
generative, 37–42 Billboard generation, origami robots,
mathematical intuition, 42–46 128–129
no-code, 80–84 Biomarkers, 47
Artificial intelligence chips Bionic chips, 109–112
accelerators, 100 Bristlecone quantum chip, 98
global leader, 101–102
Google Tensor Processing Units Cambricon Technology Corporation,
(TPUs), 102–103 101
in-depth learning accelerators, 107 China mobile, 21
Intel, 107 China’s science and technology
latest developments, 101 Ab Initio domestication,
market outlook, 105 allotetraploid wild rice,
MOSFET transistors, 101 162–163
multicore design, 100 Chang’e-5 lunar research, 161–162
Sambanova systems, 106–109 de novo synthesis of carbon
sparsity, 107 dioxide, 158–159
start-up Tenstorrent, 103–104 drone company DJI, 153–154
Auris Health’s Monarch platform, 123 functional gene transfer, 164
180 Index

funding support, 155 DeepMap

industrial categories, 153 acquisition, 62
Institute of High Energy Physics car manufacturers, 60
(IHP), 160–161 founding team, 61
large-scale cryogenic refrigeration RoadMemory, 62
systems, 163–164 Delft University of Technology, 98
Made in China 2025, 155–156 Deloitte Touche Tohmatsu Limited,
Mars exploration mission, 156–157 172
quantum relay and removable Depression detection, artificial
quantum storage, 165 intelligence (AI)
quantum unclonability, 164–165 categories, 48
Shenzhou XII and XIII manned causes, 46–47
spacecraft, 157–158 difficulties, 47
supply chain system, 153 Digital economy
SWQSIM application, 159–160 core industries, 5
China telecom, 21 definition, 4–5
China Unicom, 21–22 digital transformation, 3
Chinese driverless start-up company, World Economic Forum’s Global
56–59 Competitiveness Report, 4
Chips Digital transformation (DX), 3
artificial intelligence, 100–109 Drive.ai, 64–65
bionic chips, 109–112 Drones, 5G, 15–16
gallium nitride (GaN) chip, D-Wave’s commercial quantum
89–93 computing cloud service,
plastic microchips, 85–89 139–140
processing technology, 94–96 D-Wave System, 99
quantum chips, 97–100
Circuit-based quantum chips, Extended Reality (XR)
98–99 deployment strategy, 21–22
CITIC Capital Securities, 169–170 Qualcomm, 18
Cloopen company viewer, 19–20
future plan, 51–52
global business footprint, 49 5G technology
SimpleConnect, 49–51 base stations, 14
Cloud control platform, vehicle-road drones, 15–16
coordination, 72, 73 first killer applications, 18–22
Communication Global Mobile Suppliers
1G, 9 Association’s (GSA) report, 12
2G, 9 Leap Jiuzhai cloud experience live
5G, 10–11 broadcast platform, 17
3G communication, 9 mobile Internet, 11–12
4G network, 10 patent race, 13–14
Computer Science and Artificial smart grids to drone control, 11
Laboratory (CSAIL), 116 terminal connections, 14
Conversational AI solution, 48–52 vodafone precise positioning
Cryogenic refrigeration systems, technology, 16–17
163–164 Flexible integrated circuits (FlexIC),
Customization, SimpleConnect, 51 87
 Index 181

Folding robot billboard, 128–129 components, 22–23

4G network, 10 network, 23
network speed, 22
Gallium nitride (GaN) chip platforms and service applications,
cost, 90 23
distributors, 93 smart agriculture, 23–26
electron mobility, 89 terminal devices, 22
founding team, 90–92 Intuitive Surgical, 124
practical applications, 92–93 IonQ
vs. silicon-based chips, 89 Azure Quantum, 142–143
Gartner Inc., 171 founders, 140–142
Generative adversarial networks prospects, 143
(GANs), 41 working principle, 142
Generative artificial intelligence (AI) IPlytics, 170
activities, 41
content generation, 39 Jaguar I-PACE pure battery electric
definition, 38 vehicle, 92–93
generative adversarial networks Jiu-Zhang II Quantum Computer,
(GANs), 41 145
Insilico Medicine, 41–42 Jiuzhang Photonic Quantum
photos, 40 Computers, 99
Global digital competitiveness JOYEGG, 28–31
ranking, 3–5 JoyTelecom
Global Navigation System Service core competitiveness, 28
(GNSS), 16 customer groups, 27
Google Tensor Processing Units Joy cubeSim, 28
(TPUs), 102–103 JOYEGG, 28–31
Gordon Bell Award, 159–160 network equipment, 26
products, 29
Hexa-X vision, 171 SaaS service platforms, 27
Horizon Europe, 170 SD-WA N service integration, 28
Huawei Technologies Co., 170
Humanoid robots Kunlun A2S1CAXGA chip, 105
in China, 134–136
definition, 129 Leap Jiuzhai cloud experience live
development, 131 broadcast platform, 17
earliest records, 130 LiDAR, GaN chips, 92
engineered arts, 131–134 Liquid crystal elastomer research,
text mentions, 131 116–118

Ingenuity Helicopter small robotic Massachusetts Institute of Technology

helicopter, 15 (MIT), 116, 172
Innovation-driven proprietary Mathematical intuition, 42–46
cutting-edge tech, 52 Medical soft robotics
Insilico Medicine, 41–42 lung cancer diagnosis
Institute of High Energy Physics Auris Health’s Monarch
(IHP), 160–161 platform, 123
Internet of Thing (IoT) countermeasures, 122
182 Index

lung nodules, 121 PragmatIC, 86–88

treatment difficulties, 121 Polar coding, 13
surgical robotics, 124 Pony.ai’s self-driving car, 56
Mercedes-Benz’s cool Vision AVTR PragmatIC
concept car, 127–128 founding team, 88–89
Mesmer humanoid robot engineering technical advantages, 87
art System, 132–133
MGrip, 118–119 Qingdao Haofeng Smart Agricultural
Minimum management, Greenhouse, 25
SimpleConnect, 51 Qualcomm flight RB5 5G platform,
Mordor Intelligence, 172 15–16
Mouser Electronics, 93 Qualcomm XR Optimized
Multifunctional optics, 95 Certification Program, 20
Quantum chips
New Energy Vehicle Industry annealed, 99–100
Development Plan, 153 calculation, 97–98
New-generation information circuit-based, 98–99
technologies, 167–168 Delft University of Technology, 98
Next G Alliance, 170 quantum computing, 97
Nikkei, 171 superposition, 97
Nippon Telegraph and Telephone Quantum computer
(NTT), 9 autonomous driving, 147
No-code artificial Intelligence (AI) D-Wave Systems, 137
systems global developer platform, 145–146
vs. AutoML, 81–82 information security, 146–147
custom-developed platform, 81 IonQ, 140–143
identification, 83–84 Jiu-Zhang II, 145
Levity’s system, 82–83 latest developments, 137
Nuvia pricing model, 139–140
founding team, 110–111 quantum simulation, 147
investors, 112 superconducting quantum
Qualcomm acquired, 112 computing prototype, 144
NVIDIA DRIVE software, 62 Volkswagen, 137–139
Quantum computing, 116
Octobot, 114–115 Quantum hegemony, 144
Omnichannel, SimpleConnect, 51 Quantum random circuit sampling
Origami robots task, 144
billboards, 128–129 Quantum USB flash drive, 145
Jamie Paik, 125–126
practical applications, 127–128 Ramanujan, 42–46
robot design, 126–127 Ramanujan Machine project, 45–46
Original equipment manufacturers Research and development (RAND),
(OEMs), 21 171
Rice University approach, 116–117
Plasma Chips, 94–95 Robo Thespian Mark 1, 131–132
PlasticARM, 85–86 Robotics
Plastic microchips humanoid robots, 129–134
PlasticARM, 85–86 origami robots, 125–129
 Index 183

soft robots, 113–124 Surgical training platform (SRP), 32

Robot Series, 133
Tech for Social Good (T-SG) project,
Sambanova systems 168
cofounders, 107–108 Telecom as a Service (TaaS) model, 16
competitive advantages, 109 Telecom operators, Extended Reality
strategic positioning, 108 (XR), 21–22
Self-driving car Tencent Research Institute, 174
autonomous driving levels, 57–58 Tera Operations Per Second (TOPS),
core component, 58–59 170
DeepMap, 59–62 Tomato growth, smart greenhouse,
difficulties, 62–63 24–26
mass adoption, 78–80 Transbronchial needle aspiration
Pony.ai’s, 56–57 biopsy (TBNA), 122
Vay self-driving car service, 69–71 Transthoracic puncture biopsy
SimpleConnect, 49–51 (TTNA), 122
6G Tsinghua University, 172
current development status, 33–35 TSMC, 172
patent applications, 34, 35 2G cellular networks, 9
transmission capacity, 35
virtual reality, 33
UBTECH, 135–136, 173
SiYuan 290 AI chip, 102
Ultra-high energy gamma astronomy,
Smart agriculture, 23–26
161
Smart road, 71
Ultra-high voltage (UHV)
Smiling depression, 47
transmission technology
Soft Robotics, 172–173
alternating current (AC), 151–152
Soft robots
China’s economic growth, 152–153
founding team, 119–120
direct current (DC), 151–152
latest developments, 113–114
5G infrastructure, 151
liquid crystal elastomer research,
117–118 Universal Robots, 172
manufacturing, 118–119
market outlook, 114 Vay self-driving car service
medical field, 121–124 cofounders, 70
Octobot, 114–115 efficiency, 70
performance, 116–117 team and business angel investors,
Software-defined wide area network 69–71
(SD-WAN), 170 Vehicle-road coordination
Special-purpose acquisition company Apollo’s open-source, 73–75
(SPAC), 173 Baidu Science and Technology
Statistica, 169 Park, 75–76
Supercomputer, 143 cloud control platform, 72, 73
Superconducting quantum computing communication platform, 72
prototype, 144 dynamic traffic information, 71
Super-Scale Quantum Stochastic edge computing, 72
Circuit Simulation in Real market for, 76–77
Time (SWQSIM), 159–160 terminal layer, 72
Surgical robotics, 124 Versics, 95–96
184 Index

Virtual reality (VR), medical field, World Economic Forum, 169

31–32 World Economic Forum’s Global
Vodafone precise positioning Competitiveness Rankings,
technology, 16–17 4
World Health Organization (WHO),
Walker-X Robot, 135–136 171
Web client, SimpleConnect, 50–51
Web phone, Simpleconnect, 51 XR viewer, 20
World Artificial Intelligence
Conference (WAIC), 173 Zu Chongzhi II prototype, 144