The Cyberspace Administration of China (CAC) has released draft rules for public discussion, aiming to reduce mobile device usage among underage users. This move could impact companies like Tencent and ByteDance, which own popular Chinese social networks.
The proposed rules suggest stringent internet usage restrictions to combat online addiction among minors. They call for smartphones to include a "minor mode," easily accessible through an icon on the home screen or in system settings. This mode would empower parents to control their children's online content and enable internet service providers to tailor material based on users' ages. CAC recommends audio content for children under three and educational or news content for those aged 12 to 16.
Additionally, the draft proposes strict time limits for minors' smartphone use. Children under eight years old would be limited to 40 minutes daily, while those aged eight to 16 could use smartphones for up to one hour a day. Teenagers aged 16 to 18 would have a two-hour limit. Moreover, individuals under 18 would be barred from using mobile internet between 22:00 and 6:00.
Exceptions to these limits would apply to educational and emergency service apps. The CAC will gather public feedback on these proposed rules until September 2 and make a decision afterward.
Beijing has been on a targeted campaign since 2021 to curb perceived social issues, such as restricting children's access to online gaming and banning commercial online learning. These measures aim to ease financial burdens on families and promote healthier lifestyles, with Chinese officials at one point referring to gaming as "spiritual opium."
Tencent's WeChat messenger and ByteDance's Douyin (the Chinese version of TikTok) are the most popular online platforms in China, with a notable underage user presence. While not explicitly mentioned, the document from the Cyberspace Administration holds platform administrators accountable for adhering to the new rules.
As a result of this announcement, stock prices of Chinese tech companies experienced declines. Kuaishou Technology, a short video service, saw a 4% drop, social network Weibo lost 5%, and Tencent's shares fell by 3%. ByteDance, the owner of TikTok/Douyin, is not publicly traded.
