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Unicorns turning to industrial internet for opportunity

By He Wei in Shanghai | chinadaily.com.cn | Updated: 2019-11-09 19:47
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A growing number of Chinese unicorn companies now make their fortune by leveraging the industrial internet, with artificial intelligence, 5G networks and blockchain technologies leading the pack according to a recent survey on Chinese unicorns by consultancy PwC.

This is a marked departure from just one year ago, when firms engaged in the consumer-facing internet took the dominant position, said Gao Jianbin, technology, media and telecom lead for PwC China.

“The shift from consumer-based internet to industrial-based internet represents a fundamental change set to revolutionize business models and inject new impetus to China’s real economy,” Gao said on the sidelines of the second China International Import Expo, which runs through Sunday.

In a report published during the CIIE, PwC found the number of unicorns in the Yangtze River Delta region, which encompasses Shanghai and its neighboring provinces, has climbed significantly.

This is in part due to the fact the region has profound industrial resources and holistic supply chains, and benefits the most from development of technological breakthroughs in business-to-business scenarios, Gao noted.

5G technologies are in the driver’s seat, Gao added, thanks especially to strong government support, solid investment in base station deployment and rich commercial applications.

One common challenge unicorns face this year is data security, with more entrepreneurs calling for privacy protection and the development of “responsible AI”, the report said.

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