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NetEase sinks after China issues stricter online game regulations
The Fly

NetEase sinks after China issues stricter online game regulations

The shares of China’s video game makers are sinking after the country’s National Press and Publication Administration released draft regulations for the online game industry that included restrictions on incentives to play or spend more online. Online game players shouldn’t be rewarded for logging in daily, game servers must be stored in China, all online games should set top-up limit for users, and warnings should be issued to users for irrational consumption behavior, the regulations state. Shares of NetEase (NTES) are down 24% to 79.85 in pre-market trading.

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