We live in the era of information technology. The development of Information and Communication Technologies (ICTs) is vital to the survival of any economy. ICT involves innovations in microelectronics, computing (hardware and software), telecommunications, semiconductors, and fiber optics, etc. Technological innovations, such as the wide diffusion of mobile phones and wireless Internet, play a paramount role in building ICT levels globally. With an emphasis on the Chinese economy, this paper discusses the issues and challenges involved in ICT investments and further explore factors that influence ICT policy formulation and how these factors impact on the implementation. Future infrastructure expenditure needs and financing options and the practical framework needed to develop the strategies to build ICT infrastructure are also presented.