The Ministry of Industry and Information Technology releases a white paper on the digital transformation of small and medium-sized enterprises, highlighting the integration of low-code platforms and SaaS services as a new trend.

On November 18, 2025, the Small and Medium Enterprises Development Promotion Center of the Ministry of Industry and Information Technology, in collaboration with the China Software Industry Association, officially released the "2025-2026 China Small and Medium Enterprises Digital Transformation Development White Paper" in Beijing. This report is the first to systematically integrate low-code development platforms, industry-specific SaaS solutions, and system integration services, defining them as a key pathway to achieving "inclusivity and agility" in the informatization of small and medium enterprises. This marks a new stage in the digital service model for China's small and medium enterprises.

The report is based on survey data from over 5,000 small and medium-sized enterprises (SMEs) across the country. The data shows that, as of the third quarter of 2025, the overall digitalization rate of SMEs in China has increased to 48.7%, a 12-percentage-point rise compared to the same period last year. The primary driver of this growth is the widespread adoption of "lightweight" solutions. Among these, the development of mini-programs and micro-applications based on low-code/no-code platforms, combined with pre-built industry templates, has become the most popular entry point for business owners, with an adoption rate as high as 65%.

At the technical implementation level, the white paper points out that the traditional model of customized software development and system integration is undergoing profound transformation. Service providers are no longer merely delivering single projects but are shifting toward an "platform + ecosystem" operational model. Specifically, leading cloud service providers and software companies offer standardized low-code development foundations and core PaaS capabilities. A large number of ISVs (Independent Software Vendors) and regional integrators then leverage these foundations to rapidly configure and deliver SaaS-based mini-programs and lightweight ERP/CRM modules tailored to specific scenarios such as retail, manufacturing, catering, and services. This layered collaboration model significantly reduces the initial investment costs and trial-and-error risks for small and medium-sized enterprises, shortening the average project implementation cycle by 40%.

The release of this white paper is expected to have a profound impact on all parties in the industrial chain. For small and medium-sized enterprises, it means they can obtain "out-of-the-box" digital tools with a certain degree of customization at lower costs and in shorter timeframes. In particular, the barrier to connecting online and offline businesses through mini-program entry points has been significantly lowered. For software service providers and developers, the focus of market competition will shift from mere project implementation capabilities to the accumulation of industry knowledge, the construction of platform ecosystems, and the ability to provide continuous operational services. System integrators will also need to transform their roles from "general contractors" to "solution designers and continuous service advisors."

Looking ahead, a new model that integrates low-code agile development, scenario-based SaaS services, and lightweight system integration will become the mainstream in the digitalization market for small and medium-sized enterprises (SMEs). Industry experts predict that by 2026, the concept of a "digital application supermarket" based on a unified platform and freely combinable modules will gradually mature. SMEs will be able to subscribe to and combine digital functional modules for management, marketing, production, and other needs as easily as shopping for products. Meanwhile, the seamless flow and intelligent analysis of data across different modules will become the core competitive barrier for service providers in the next phase. This trend will not only accelerate the overall digitalization process of SMEs in China but also open up vast opportunities for innovation and growth in the domestic software and service industries.