China plans to rein in online gaming industry

China plans to rein in online gaming industry

Games companies are not having a very good time in China at the moment.

Their enthusiasm has made China's the world's biggest game market and enriched companies like Tencent Holdings.

The Arena of Valor World Cup is just one of many esports efforts supported by Tencent that may be affected by the Chinese Government's new efforts against gaming. Earlier this month it was revealed that licenses for releasing new games had not been approved for months, now it seems new game launches could be severely limited in order to save the eyesight of children.

China's Ministry of Education, in a notice late on Thursday, directed the publishing regulator to limit the number of new online video games, take steps to restrict the time young people spend playing games and explore an age-appropriate system for players. Yesterday, the Ministry of Education outlined a new set of regulations meant to fight myopia in children and adolescents. In April a year ago, Post Magazine pointed to pressure on children in China to perform academically leading to them spending most of the time indoors studying rather than outside in the sunshine.

According to China's regulators, "Allowing your child to spend more time in the open sun can effectively prevent and control myopia", and parents are encouraged to make sure that their children get at least 60 minutes of exercise per day. Its stock has plunged almost 30% since January, wiping out more than $160 billion in market value. While new games have been released in China during this period, those approvals came before the current suspension.

Federer on fire in US Open third-round win over Kyrgios
The first set was the only competitive one, when Kyrgios's best qualities were on display and Federer hadn't quite settled in yet. I definitely won't be, you know, thinking about those things if I play against him. "Some of his behaviour that is questioned".

The onus may ultimately fall on the gaming companies themselves: Tencent for instance in 2017 instituted time-limits for minors after state newspapers singled out its signature title, Honour of Kings, for encouraging addiction. NetEase Inc., its closest competitor, fell 7.2 percent in NY.

The severity of the issue has caught the attention of Chinese President Xi Jinping, who recently asked the whole country to "take actions to protect children's eyes and give them a bright future".

Tencent, which saw $20bn (£15.37bn) wiped off its market price, is believed to account for 42% of China's mobile gaming market.

"The new rules/guidelines will create another overhang for the gaming industry's growth outlook, adding further uncertainty on top of the hold-up of the games approval process", Alicia Yap, an analyst with Citigroup, said in a report.

Related Articles

  • Alisson and Firmino point finger at Van Dijk for Leicester goal

    Alisson and Firmino point finger at Van Dijk for Leicester goal

    Fortunately for the Brazilian shot-stopper, Liverpool held on for the win and have now made it four wins from four. But he did it and much more interesting to me was how the reaction was and it was good.
    Iran FM, Top Pakistani Lawmaker Discuss Bilateral Ties

    Iran FM, Top Pakistani Lawmaker Discuss Bilateral Ties

    He asserted that USA sanctions showed Washington was acting like "wild wolves". He said: "America behaves like wild wolves".
    Hamilton calls Vettel-collision

    Hamilton calls Vettel-collision "massive turning point"

    Hamilton later elaborated on the emotions he'd felt when faced with a wall of Ferrari fans. But it is also quite easy to harness it and use it.
  • John McCain’s Funeral: Barack Obama Blasts Donald Trump’s ‘Bombast & Phony’ Controversies

    John McCain’s Funeral: Barack Obama Blasts Donald Trump’s ‘Bombast & Phony’ Controversies

    The private memorial service was attended by McCain's family, close friends, former classmates and military leaders. McCain lost the Republican presidential nomination to Bush in 2000 and the presidential election to Obama in 2008.
    Del Mar racetrack shooting: Gunfire heard at prestigious California racetrack

    Del Mar racetrack shooting: Gunfire heard at prestigious California racetrack

    San Diego's FOX 5 reported that a San Diego Sheriff's Department deputy had shot a suspect near the racetrack entrance. People at the venue saw a string of sheriff's and police cars responding to the fairgrounds around 6:40 p.m.

    Is the Upcoming Cboe Ethereum Futures Market a Bad Thing?

    CBOE launched BTC futures in December 2017, using the quotes from New York-based crypto exchange Gemini as an underlying market. Now, that same organization is telling market makers that it's preparing to launch Ether ( ETH ) futures.
  • Petrol, diesel prices at highest-ever levels on rupee woes

    Petrol, diesel prices at highest-ever levels on rupee woes

    On Wednesday fuel prices will increase by just 4.9c per litre, the Department of Energy (DoE) announced on Monday. Transporters have threatened to increase freight rates by 10-15% if there is a further hike in diesel price.
    Explosions at a Syrian military airport close to Damascus

    Explosions at a Syrian military airport close to Damascus

    It is also a hub for the Iranian Qods Force, which has propped up the Assad regime during the seven and a half years of the war. But Syrian government forces are now massing around the province, which has become the last rebel bastion in the country.
    Saudi-led coalition admits wrongdoing in Saada attack

    Saudi-led coalition admits wrongdoing in Saada attack

    The coalition has faced criticism for its campaign of airstrikes that has killed civilians and destroyed hospitals and markets. The Saudi-UAE-led coalition now says the attack was " unjusitified " and is promising to hold those responsible to account.
  • McCain's final resting place: Naval Academy cemetery next to friend

    McCain's final resting place: Naval Academy cemetery next to friend

    Naval Academy within view of the Severn River and earshot of midshipmen present and future, and alongside a lifelong friend. Cloaked in a shirt and bandanna covered in red and white stripes and stars adorning a blue background, veteran Lewis A.
    Trump Attacks Union Leader On Labor Day

    Trump Attacks Union Leader On Labor Day

    Two of the sources said that Chapter 19 - which Canada wants to keep and the USA wants to scrap - has not yet been resolved. Trump is attempting to get a new NAFTA deal signed before current President Enrique Peña Nieto leaves office December 1.
    Bobi Wine cleared for treatment overseas

    Bobi Wine cleared for treatment overseas

    Ssentamu's arrest on Thursday evening led to violent protests in the capital, Kampala , on Friday and drew global condemnation. An attorney for Wine, Robert Amsterdam, told CNN that Wine arrived in Boston, and will later travel to Washington.