In early 2025, Beijing-based Paratera, a computing power network veteran, chose the newly launched intelligent computing center in Lingshui Li autonomous county in Hainan province in south China for its AI model training and industrial simulation projects. The company needed powerful computing and stable data transmission — precisely what the center offers.

Such choices are not isolated cases. Across Hainan — from Haikou to Lingshui and beyond — digital services are empowering enterprises to break through global trade barriers. Cross-border data now flows directly to Southeast Asia in milliseconds, livestreams reach audiences in more than 10 countries, and digital manufacturing integrates seamlessly into global supply chains.

These regions, once considered a digital "dead-end" due to geographical and technological constraints, are undergoing a remarkable transformation — from a bottleneck to a seamless corridor — thanks to the power of digital services.

To help enterprises go global, first the digital infrastructure has to be built. Previously, Hainan's cross-border data had to be routed through Beijing, Shanghai, Guangzhou or Shenzhen, causing significant difficulties in international business communications.

That changed in 2024, when the Ministry of Industry and Information Technology approved the construction of the Haikou International Communication Gateway — the first such facility outside major Chinese cities in nearly three decades. This means Hainan will have direct data interconnection with Southeast Asia, gradually extending its reach to worldwide.

Infrastructure now forms the backbone of Hainan's transformation. Every village enjoys full fiber and 5G coverage, and cross-border submarine cables —  one completed and two under construction — are connecting with Hong Kong, Singapore and others, strengthening Hainan's role in global digital trade.

Parallelly, there are projects like HiCloud's Data Center, the world's first commercial underwater data center, located off the coast of Hainan. It uses seawater cooling and adaptive computing allocation to cut costs and deliver scalable processing for AI and cross-border data services.

With communication and computing power in place, Hainan is weaving a complete digital trade ecosystem — from application scenarios to policy safeguards. In the Haikou Fullsing Internet Industrial Park, Nigerian livestream host Usman sells to customers in Malaysia, Indonesia and the U.S., powered by a local media technology company and overseas warehouses that ensure delivery within days. Preferential tax policies, simplified customs declarations, and fast-track visas for foreign anchors make such success replicable.

The undersea data center in Lingshui has attracted heavyweights like China Telecom, Alibaba Cloud, and AI software provider SenseTime, becoming a nucleus for low-energy, high-efficiency data processing. Complementing these developments, the Hainan Free Trade Port has issued new data regulations and a "negative list" covering key sectors like deep-sea and seed industries — balancing openness with security.

Industrial clustering is amplifying the development momentum. The Haikou Fullsing Internet Industrial Park, home to more than 8,000 enterprises, including 31 Fortune 500 subsidiaries, generated over 50 billion RMB in digital economy revenue in 2024. Tailored services — from office incentives to R&D subsidies — are helping companies expand globally from this southern gateway.

According to a report released by the Chinese Academy of Sciences, Hainan's innovation environment rose six places year on year, reflecting a stronger foundation for sustainable digital growth. In 2024, the province's digital trade reached 28.79 billion RMB, with exports up nearly 80 percent.