Tencent, NetEase's Latest Restrictions Could Impact Apple, Activision Blizzard: Bloomberg

  • China is reviewing new games to determine compliance with content and kid protection criteria, Bloomberg reports. The regulators are reassessing titles submitted by Tencent Holdings Ltd (OTC:TCEHY) to NetEase Inc's (NASDAQ:NTES) developers to ensure compliance with playing time and other anti-addiction safeguards launched in August.
  • Tencent's League of Legends Mobile title missed the September 15 launch. Regulators also skipped the release of their regular monthly list of approved titles for August. 
  • The regulators restricted the gaming hours for minors and banned companies from providing services to users without real-name registration. China's regulators are cracking down on increasingly popular "zombie" and "boys' love" themes.
  • Bloomberg projects the slowdown to cut growth for domestic mobile games by a third in 2022, leading to lower estimates for Tencent, NetEase, and extending to Apple Inc (NASDAQ:AAPL), Activision Blizzard Inc (NASDAQ:ATVI).
  • Related Content: Electronic Arts Piques Curiosity With Battlefield 2042 Launch Date: Games Radar
  • Price Action: NTES shares traded lower by 1.14% at $83.99 in the premarket session on the last check Thursday.
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