China has now crossed the milestone of over 1.12 billion internet users as of June 2025, according to a report released by the China Internet Network Information Center. Internet penetration stood at 79.7 percent by mid‑2025, a notable rise from 78.6 percent at the close of 2024, underscoring the continued expansion of digital access across the country.
This wave of connectivity goes beyond raw numbers it’s reshaping China’s cultural and technological leadership on the global stage. Online literature, video games, live‑action micro‑dramas and short videos are now powerful engines of soft power export, reaching audiences across continents.
Chinese online literature, with its vast libraries of genres like wuxia, romance and fantasy, generated over ¥5 billion in overseas revenue in 2024 and now attracts more than 350 million readers worldwide, while neighboring markets such as Japan have seen user numbers skyrocket by nearly 180 percent.
Simultaneously, China’s generative AI ecosystem is accelerating at remarkable pace: by early 2025 some 346 AI services were registered with the Cyberspace Administration, and 249 million Chinese users had already accessed AI tools for tasks such as virtual assistants, creative writing, legal support and healthcare solutions.
These AI-powered platforms are increasingly embedded in daily routines from office automation and education to industrial design forming a robust, multi-sector intelligence ecosystem stretching across urban and rural areas alike.
The demographic expansion of internet users also reflects China’s success in bridging divides. Some 161 million internet users are aged 60 and above, while 322 million reside in rural areas, with penetration rates of 52 percent and 69.2 percent respectively.
This shift has empowered traditionally underserved segments through access to online services such as e‑commerce, digital healthcare, and educational resources.
Fueling this ecosystem is China’s formidable digital infrastructure. The country now boasts millions of 5G base stations and the world’s largest mobile payments user base, supporting over one billion online payment users and nearly a billion individuals participating in online retail by late 2024.
Short video platforms have emerged as primary drivers of engagement, catalyzing content creation, cross‑border cultural dissemination, and new consumption behaviors.
Taken together, these data reflect more than just scale they signal China’s emergence as a cultural and technological powerhouse. The convergence of unprecedented connectivity, rapidly advancing AI capabilities, and booming digital content exports is positioning China to define the next phase of global internet culture and innovation.
Written By Ian Maleve
