The topic "whether media are an industry" was under heated and constant argument in China ten years and even five years ago, but today the argument seems unnecessary as the dazzling development of China's media industry has proved to that media are not only a genuine "industry" but an emerging one of infinite promise.

In 2004, the advertisement revenue of the four traditional media (i.e. newspaper, periodicals, radio and TV) and advertising companies surpassed 120 billion yuan. As a matter of fact, according to the generally recognized point of view nowadays, the media industry on its core level consists of 14 categories: newspaper ads, TV commercials, periodical ads, radio commercials, advertising companies, cable TV charges, publication of books, issuance of newspapers, issuance of periodicals, film box office, audio and video products, short message service (SMS), online games, and web-based information fee.

Statistics of Media Operation and Management Research Center of Tsinghua University have shown that the scale of these "core level markets" should be at least over 270 billion yuan.

There are many reasons for the steady and rapid development of China's media industry; a fundamental one is the change and upgrading of Chinese consumption pattern. Experts have once pointed out that the upgrading consumption pattern has ensured the media subscription and advertisement revenues. The acceleration of urbanization and the enrichment of information and news are another major reason. New media forms like digital TV, pay TV and SMS emerging based on new technologies make people confident in media grow.

The impulse of many powerful media, which have undergone years of rapid growth, to seek trans-regional, trans-media and even trans-capital development began to show up.

Experts in China's media industry research held that "In the context of cultural restructuring and of much grander economic and political restructuring, China's media industry is at the critical juncture from "enlightenment" to "take off". And all these cannot do without the support of the Government for this industry."

The Chinese Government has incessantly promoted the reform of cultural industries, the media industry included. Both the reform in publishing industry, a changeover from divisional system to enterprise system, and the reform in radio and TV industry ,separation of the operations of divisional and enterprise systems, have shown sound economic and social benefits. In the area of investment and financing, China has followed closely its commitment in the transitional process after its WTO accession; within the policy yardstick, the country has increased the openness of such fields as distribution of books, newspaper and periodicals, advertisement, film-making and the entrance of overseas media.

Take the film market for example, the box office of films produced by non-governmental capital is very hot and films co-produced by domestic and foreign capitals are also popular. The film market is turning from years of embarrassing stagnancy into an increasing boom.

Regulations on encouraging, supporting and directing the development of such non-public ownership economy as individual and private economies instituted by the State Council on February 24th,2005 stipulated, " Non-public capital is allowed to invest in social institutional sectors, and non-public capital's investment in profit and non-profit sectors of such social institutional industries as education, science and research, public health, culture, sports etc. is  to be supported, directed and standardized---"

Compared with world media powers, China is still comparatively backward in terms of the development of its media industry. However, the steady and rapid growth of China's economy and the ever-growing scale of urbanization have laid a sound foundation for the development of this industry.

Nevertheless, when media are run as an industry, the combination of economic and social benefits must be taken into account and forceful supervision must be conducted on the ever-expanding media industry. To be specific, China's media industry should play a constructive role in the dissemination of major state policies and the solution of major economic and social problems while acting as a guider of public opinion towards the correct direction, and transform and develop itself while promoting social progress.