By Duan Bingde & Xu Dongliang, Information Center, DRC

Research Report, No.398, 2021, (Total 6463) 2021-12-17

Abstract: As a sort of business format, algorithm economy, based on the new generation of information technology including big data, cloud computing, and mobile Internet, comes into being by the in-depth integration with the original Internet economy and traditional industries with data as the key factor backed by computing power and driven by algorithm. The new-type of Internet content industry, with short video as the representative business format as a result of the combination of algorithm with former Internet content industry, is deeply embedded in traditional economies such as manufacturing, service and agricultural industries. On this basis, sharing economy is created and some other new business formats get derived from algorithm and computing power, which include big data, cloud computing, and artificial intelligence. The fast development of algorithm economy is rooted in solid technological, material, and theoretical foundation and is featured by innovative, open, sharing, and green development. In this regard, the paper proposes that we need to take comprehensive measures to encourage the market entities of algorithm economy to realize innovative development; we need to strengthen the personnel and technological support for algorithm economy; we need to accelerate the fundamental infrastructure construction; we need to roll out supporting policies to underpin the industrial development of algorithm economy so as to flesh out the governance system of algorithm economy.

Keywords: algorithm economy, high-quality development, new business format