(Yicai Global) Nov. 2 -- Shares of virtual reality firms rallied after China said it aims to grow the market to exceed CNY350 billion (USD48.4 billion) in the next four years.

Shares of around 15 VR concept stocks opened 10 or 20 percent higher, the daily limit-up. Those include software maker Fengyuzhu Culture Technology [SHA:603466], game developer Frontop Digital Creative Technology [SHE:301313], digital TV set maker Skyworth Digital [SHE:000810], and polarizer manufacturer Sunnypol Optoelectronics [SHE:002876].

By 2026, the country should foster 100 backbone companies in the sector and annual VR product sales should surpass 25 million units, the Ministry of Industry and Information Technology and several other government agencies jointly wrote in a document published yesterday.

Policy support is likely to lay a foundation for the development of China's VR business, and the specific sales goal is expected to advance the business, Citic Securities wrote in a report.

China will build 10 clusters with regional influence to drive the development of the digitally immersive sector, as well as 10 public service platforms, per the government plan. The country should raise the supply of key VR devices, equipment, operational platforms, content production tools, and dedicated information infrastructure.

The nation should accelerate technological breakthroughs in key areas such as head-mounted displays, rendering, as well as perception and interaction while enhancing in-depth integration with new-generation information technologies, fifth-generation networks, and artificial intelligence, the government agencies said.

The nation should speed up the application of VR technologies in more industries and scenarios. It should further integrate VR in fields such as industrial production, cultural tourism, integrated media, education and training, sports health, business innovation, performing arts and entertainment, security and emergency, disability assistance, and smart cities.

VR investments will focus on hardware and content, Topsperity Securities noted. Such hardware includes optical and core computing modules, assembly and production, and complete machines. Meanwhile, content involves game developers, audio and video producers, and business-to-business service providers, the brokerage added.

Editor: Emmi Laine, Xiao Yi