China Implements Tough Actions Against Video Games
China, a country where things are always a little weird. The decision of banning children from gaming did not go well the last time for developers and this time it is going to hurt more.
As the world prepares for great game launches in the coming year. Chinese developers worry about how they will overcome this huge setback.
It is nice to be concerned about children’s mental health, the way of countering it seems a bit harsh. The National Press & Publication Administration fixed the playing limit to 1 Hour (8-9 PM) on weekends and public holidays.
Thus, to put in perspective, a minor would only be able to enjoy playing games max 3 hours per week!
The administration directed all video game providers to adhere to the rules by making sure that no age fraud takes place to bypass the firewall.
Many got caught breaking rules the last time around for putting in fake age to play. There are strict instructions to ensure that a real-name verification system runs fine enough to curb infiltrations.
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The companies are also working on a facial recognition “midnight patrol” function to root out children masquerading as adults to play.
There is a long history of authorities intervening in the rapidly growing national gaming industry. Take the year 2018, regulators stopped issuing video game licenses for more than eight months.
This led to several companies selling their efforts to investors abroad. The administration also mentions that they will increase.
the frequency of inspections to certify whether the game providers are implementing anti-addiction systems.
State media outlets branded online games “spiritual opium”. a dangerous term that could lead many parents to shut down their kid’s gaming time completely.
This can definitely cause a significant downfall in the user base which turns into losses in the trade market. Tencent has already lost around $300B.
The soaring negativity of the government towards the lucrative gaming business will likely spook investors who had cautiously returned to Chinese stocks in recent days.
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We don’t know what the officials have in mind but the recent actions against tech giants have damaged the economy badly.
The broad crackdown may seem right on moral terms but when observed from a commercial standpoint, it will leave a lasting effect.
Beijing appears to show a growing skepticism over the evolution of capital and technology.
As well as its dreadful impact on the well-being of the young population.
Sources state that there are more restrictions coming! The future of gaming in China looks to be incapacitated.
Daniel Ahmad, an analyst at Niko Partners said, “This ruling is the strictest one to date and will essentially wipe out most spending from minors”.
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Steven Leung, an executive director at UOB Kay Hian (Hong Kong) Ltd said, “Three hours per week is too tight. Such a policy will have a negative impact.
I thought regulatory measures would take a break gradually, but it’s not stopping at all. China needs to understand that games are not equal to drugs.
Yes, there are measures needed to boost mental health and curtail addiction but that does not mean hurting money-making pillars. The officials need to come up with ways that don’t hurt the success of the tech and gaming industry.