China looks to limit children to two hours a day on their phones (updated)

Kuaishou Technology

02/08/2023 11:54

(Adds comment from analyst, detail)
    By Josh Ye
       Hong Kong, Aug 2 (Reuters) - China's cyberspace
regulator said on Wednesday children under the age of 18 should
be limited to a maximum of two hours a day on their smartphones,
sending shares in tech companies tumbling.
    The Cyberspace Administration of China (CAC) said it wanted
providers of smart devices to introduce so-called minor mode
programmes that would bar users under 18 from accessing the
internet on mobile devices from 10 p.m. to 6 a.m.
    Providers would also have to set time limits under the
proposed reforms, the CAC said.
    Users aged 16 to 18 would be allowed two hours a day,
children aged eight to 16 would get one hour while children
under eight would be allowed just eight minutes.
    But the CAC said service providers should allow parents to
opt out of the time limits for their youngsters.
    Investors were not impressed.
    Shares in Chinese tech firms mostly fell in afternoon trade
in Hong Kong after the CAC published its draft guidelines, which
it said were open to public feedback until Sept. 2.
    Bilibili  9626.HK  and Kuaishou  1024.HK  slid 6.98% and
3.53% respectively while Tencent Holdings  0700.HK , which
operates the social network app WeChat, closed 2.99% lower.
    Xia Hailong, a lawyer at the Shanghai Shenlun law firm, said
the rules would be a headache for the internet companies.
    “A lot of effort and additional costs to properly implement
these new regulatory requirements," he said.
    "And the risk of non-compliance will also be very high. So I
believe that many internet companies may consider directly
prohibiting minors from using their services."
    Authorities have in recent years grown increasingly
concerned about rates of myopia and internet addiction among
young people.
    In 2021, the government imposed a curfew for video game
players under the age of 18. That dealt a huge blow to gaming
giants like Tencent.
    Video-sharing platforms like Bilibili, Kuaishou and
ByteDance have since 2019 offered "teenage modes" that restrict
the users' access to content and the duration of use. 
    ByteDance's TikTok-like app Douyin bars teenagers from using
it for more than 40 minutes. 
    The proposed rules come after signals from Beijing that a
years-long regulatory crackdown on its technology industry has
ended. Authorities have said they will look to support the
development of tech giants. 
   

 (Reporting by Josh Ye in Hong Kong, Beijing newsroom and Liz
Lee; Editing by Jacqueline Wong, Robert Birsel)
 ((liz.lee@thomsonreuters.com;))