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China wants tighter regulations on online games



By Jonathan Ong
21 November 2009 @ 01:05 am AEST

China said it will tighten regulations in its rapidly growing online games sector by censoring certain content and values found on online games.

China's Ministry of Culture may require game operators to enhance socialist values in their games and hire specialized staff to monitor content. The ministry also said in a circular that game operators must re-examine their game offerings for obscene and violent content and limit the number of virtual marriages and player-versus-player combat.

Earlier this month, another regulator ordered NetEase.com to stop operating World of Warcraft, due to "gross violations" of regulations. The game's operators have been told to stop collecting subscription fees and signing up new players or creating new accounts.

"Over this year, China's online game industry has grown at a rapid pace," the ministry said in a statement late on Wednesday.

"But the current product offerings are not up to standard and the cultural content is lowbrow and having a negative effect on the healthy development of the industry," it said.

The changes will affect online gaming platform providers such as Shanda Games, NetEase.com and Tencent Holdings.

NetEase's Chief Executive Officer William Ding said in an earnings call on Thursday he was not aware of the full details of the circular, but that the firm is willing to comply.

China's online game industry is expected to grow by between 30 percent and 50 percent this year, with sales revenue of 24 billion yuan to 27 billion yuan (US$3.5 billion-US$4 billion). The lucrative industry now boasts more than 50 million gamers.

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