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AP National

China drafts new rules proposing restrictions on online gaming

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Published 1:40 AM

By ZEN SOO
AP Technology Writer

HONG KONG (AP) — China has released draft guidelines aimed at curbing excessive spending on online gaming. The proposal caused shares in the biggest Chinese gaming companies, Tencent and NetEase, to plunge in Hong Kong. China’s gaming regulator, the National Press and Publication Administration, issued guidelines saying online games cannot offer incentives for daily log-ins or purchases. Other restrictions include limiting how much users can recharge and issuing warnings for “irrational consumption behavior.” Shares in Tencent, China’s largest gaming company, dived about 16% before recovering some ground to close 12% lower. Rival NetEase’s stock price lost about 25%.

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