Abstract: The huge economic value of Public Sector Information (PSI) has been accounted by people gradually, while related industry is still in its infancy. In order to solve the bottleneck and promote the industrial growth, the key factors and restrictions for industry development should be found. The article establishes an influential factor model for the development of PSI value-added exploitation industry with the help of ‘diamond model’ and analysis of industry characteristics. Then 22 specific observed variables are chosen to make a quantitative analysis according to survey data from China. The study adopts the method of Principal component analysis and correlation analysis. The results show that ‘factor conditions’, ‘demand conditions’, ‘related and supporting industryְ, ‘rivalry and ‘government’ are the key factors influencing the development of China’s PSI value-added exploitation industry. In these five factors, ‘factor conditions’ have the greatest influence. Besides the direct influence on the industrial development, government policy can also generate the indirect influence by affecting factor conditions and ‘rivalry’. Furthermore, there is a positive correlation between ‘factor conditions and ‘rivalry’ in the model. Therefore, China’s government should implement the proper legal guarantee to ensure the access to PSI. Meanwhile, government should also adopt some preferential policies such as establishing the Foster Fund, increasing financial input, cutting taxes, etc., to support industrial development.