Tencent leads US$60bil loss as game crackdown expands

A child leans on a mascot for Tencent during a promotion event in Beijing. China is cracking down on gaming companies, to curb how much children are playing and spending on games. — AP Photo

Tencent Holdings Ltd and Netease Inc shed more than US$60bil (RM248.94bil) of value as investor fears grow that Chinese regulators are preparing to tighten their grip dramatically on the world’s largest gaming industry.

Chinese regulators summoned industry executives to a Wednesday meeting to instruct them to break their “solitary focus” on profit and prevent minors from becoming addicted to games, according to the official Xinhua News Agency. Regulators also said China will slow down approvals for all new online games, the South China Morning Post reported on Sept 9.