Vietnamese Online Gaming Restrictions May Impact Chinese Exports
Sina Tech, 8/05/10
Vietnamese media has reported that Luu Vu Hai, head of the Broadcasting and Electronic Information Bureau at Vietnam's Ministry of Information and Communications, announced that the bureau was issuing restrictions on public internet access and suspension of all forms of online game advertising in response to complaints that games were contributing to an increase in youth criminal activity.
The regulations call for internet access in stores, internet cafés and other public places to be shut down between 11 PM and 6 AM, as well as a moratorium on the licensing of new games.
The restrictions will remain in effect until the end of 2010, when the Vietnamese government will publish new draft laws on online gaming, according to the Bureau. 22 companies are currently licensed to operate online games, and have licensed a total of 93 games.
Editor's Note: An executive at Chinese software and game developer Kingsoft's gaming business (3888.HK), which entered the Vietnamese market relatively early, said that Kingsoft formed partnerships with Vietnamese licensees some time ago, and the restrictions, while increasing barriers to entry, are unlikely to affect Kingsoft. Several Chinese online gaming companies, including Changyou (Nasdaq: CYOU), Giant, Kingsoft, Linekong and 9you have licensed games to Vietnamese operators. Vietnam's new draft law will encourage indigenous development.
Keywords: regulation 9You Changyou Giant Linekong online gaming Kingsoft Internet Vietnam 3888.HK GA CYOU Giant Interactive youth
Sending
