Chinese Regulators Tightening Control on Gaming Industry Citing Gaming Addiction

Soon the Chinese officials will put restrictive measures on breathing too, like only breathing the Chinese air or only breathing for certain hours. For the rest of the time, you can consider yourself dead. Recently it has warned the gaming industry regarding the approval of new games concerning children’s fitness.

Chinese Regulators Tightening Control on Gaming Industry Citing Gaming A...
Gaming Restriction in China, Citing Myopia in Youngsters

Gaming addiction will not only lead kids to neglect their studies but also give the wrong impression about worldviews, burying the hidden dangers in the society, as per the Xinhua comment.

As regulators pledged to constrain the approval of new games surrounded by the concerns over child health, China’s top notch-state media has cautioned against video game addiction.

In a commentary published on Tuesday, the official Xinhua News Agency said, “Indulging in online games is a huge hazard – the whole society should act to establish a protection net and wall for youngsters. For the nation’s future, we can never allow gaming companies to hunt for wealth by inducing teens to get addicted [to games].”

This decision, however, is being taken under the direction of the Chinese president Xi Jinping in an initiative to improve myopia among the minors.

A section in the published document stated that the State Administration of Press and Publications – a recently established gaming regulator – will fashion an age-appropriate reminder system for games, limit the amount of time children spend on gaming portals, and will also restrict the number of new online video games.

The reports further said that as the rural kids lead simpler social lives, they are easily prone to the addition to these games.

Although China’s video games sector has become an imperative sector of the economy, it needs “strict control” said the Communist Party in a separate commentary issued on September 4.

It also stated that “What we have to guard against is an addiction, but not online games themselves.”

The World Health Organization in its latest revision of disease classification manual articulated that compulsive playing of video games succeeds as a mental health condition, followed by the latest commentaries in China.

Classifying the “so-called” gaming disorder as a distinct condition will aid in the governments, health care workers, and families in being prepared to identify the threats and be more vigilant towards them believe the UN agency.

Rising concern over video games obsession appears to be raising the stakes for some of the biggest companies of Chinese industry, which is anticipated to be the world’s single largest gaming markets in terms of revenue and size as per the research firm Newzoo.

In a decade between a months-long halt on government approval of new games, the Chinese gaming industry is experiencing its slowest growth in the decade.

As per the data revealed by Beijing-based researcher CNG, marking its first single-digit growth since 2009, the domestic video gaming sector’s gross revenue rose merely by 5% year-after-year to RM62.15bil (US$15 billion) in the first half of this year.

In order to get published in China, all video games, including the free ones will be required to obtain a license. Formed in March as a part of an extensive government organization strengthening the Communist Party’s hold over the industry, The State Administration of Press and Publications, has not yet accorded licenses to any new games since March 28.

Citing lowered gaming revenue, Chinese Internet behemoth Tencent Holding announced its first profit regression since 2005 amid this regulatory hiatus. Running the world’s largest video games business, shares of Tencent have dropped down by nearly 20% this year.

Tencent’s closest rival in China and listed as the world’s sixth biggest listed gaming company – NetEase too posted lower-than-expected revenues in the second quarter.