The Ministry of Industry and Information Technology ("MIIT") has recently drafted and issued the Guiding Opinions on Promoting the Development of the Network Security Industry (Draft for Comment) (the "Draft for Comment") for public consultation. Public consultation has ended.

The Draft for Comment sets a clear development goal of "cultivating and creating an array of network security enterprises earning an annual revenue of over CNY2 billion each, forming several backbone network security enterprises with global competitiveness, and creating a network security industry with a market size of over CNY200 billion, by the year 2025". To this end, the Draft for Comment outlines five major tasks which are making breakthroughs in key network security technologies, actively innovating the models of network security services, collaboratively creating an ecology for the network security industry, greatly promoting the application of network security technologies, and accelerating the building of network security infrastructure. Among others, the Draft for Comment provides that given the characteristics of network security, including high specialty, rapid technology evolution and difficulty in application, the "Security as a Service (SECaas)" concept will be advocated, and network security enterprises will be encouraged to shift their business focus from supplying security products to offering security services and solutions.

(Source: Ministry of Industry and Information Technology)