SHANGHAI : Chinese gaming and media stocks including Tencent Holdings and NetEase fell on Thursday a day after authorities summoned them and other gaming firms to ensure they implemented new rules for the sector.
Bilibili's Hong Kong-listed shares shed more than 7per cent, also tracking an overnight fall in the U.S. shares of the short video sharing and gaming company.The tighter gaming regulations come as China has conducted a broader crackdown on a wide range of sectors including tech, education and property to strengthen government control after years of runaway growth.
Companies should also"resolutely curb incorrect tendencies such as focusing 'only on money' and 'only on traffic', and change rules and gameplay designs that induce players to indulge," the regulators said, according to Xinhua. Separately on Thursday, Chinese state media cautioned investors against blindly buying Chinese stocks hoping to profit from the so-called Metaverse, saying that they will likely end up in tears.