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China to limit online games after youth health concerns

Chinese regulators plan to curb the number of online games in response to growing concerns about online addiction and health issues among children in the country, Bloomberg News reported Aug. 30, citing a government statement.

Regulations released by the country's Ministry of Education detail how parents should monitor the usage of electronic devices and encourage their children to engage in more outdoor activities. These aim to address growing accounts of myopia among children and adolescents in China.

The move comes shortly after Chinese regulators suspended game license approvals for about four months and implemented stringent registration processes. Regulators are reportedly concerned about violence and gambling in games.

Tencent Holdings Ltd. executives are "pretty optimistic" about expanding its gaming business, though it is awaiting approval of its games "PlayerUnknown's Battlegrounds" and "Fortnite." The Chinese tech giant recently removed "Monster Hunter: World" from its WeGame platform after local authorities received complaints related to its content.

Tencent's shares fell by more than 5% in U.S. trading after the education ministry's statement was released.