Chinese regulators will scrutinize new games to see if they meet stricter standards for content and child protection, people familiar with the matter said, an effort that is likely to slow the release of new games.
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The National Administration of Press and Publication is reassessing titles submitted for approval by developers from Tencent Holdings Ltd. to Netease Inc. to ensure they comply with new game time limits and other anti-addiction safeguards unveiled in August. The watchdog “froze” the apps in late August and asked developers to resubmit titles with the new mandatory measures incorporated.
The review is unnerving for an industry already facing heightened uncertainty as Beijing continues a campaign to curb gaming addiction and push its youth into more productive pursuits. On Aug. 30, regulators unveiled rules that went into effect this month to cap gaming time for minors at just three hours a week and prohibit companies from providing services to users without registering under their real names.
Some of the strict regulations are very specific, such as this one: regulators are cracking down on increasingly popular zombie-themed games because they are “too scary” by NPPA standards.
While the new criteria introduce an additional layer of procedural complexity, regulators appear to continue accepting applications.
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The South China Morning Post initially reported that there would be a freeze on approvals, but later corrected the story to say that approvals would simply slow down. A prolonged delay in game approvals is likely to affect the growth of gaming businesses at Tencent and Netease, which depend on the release of new titles to sustain growth and attract new users.
Information source: bloomberg.com
