Tencent’s shares continued to take a battering after investors were reminded that, yes, even videogames are subject to the whims of politics in China. Games are controlled by censors just as tightly as movies or books.
Regulators approve which games are allowed into China, and then determine if they can charge money, such as by selling special equipment within a game. And for now, there’s a freeze on any new game approvals until the regulators are finished with an internal restructuring.
“The big message is, if it can happen to Tencent, it can happen to anyone,” the head of a Tokyo-based consultancy, Kantan Games Inc., told Bloomberg.