In a rather shocking move, China has kickstarted an investigation against the tech giant Tencent. The authorities have revoked the firm’s right to roll out new updates and to release new apps. The company currently has over 70 applications and 100 mobile games across various platforms. Some of these apps include WeChat, which has over a billion monthly active users.
Tencent’s gaming department has produced some of the most popular titles in the mobile ecosystem. This new ban will only entail the audience of mainland China, which will leave the rest of the world out of the loop. Industry analyst, Daniel Ahmad shed light on the state of the ban, how will it impact the rest of the world. Gamers around the world won’t face any issues as each update will roll out at its normal pace, the ban will impact only the Chinese user base.
To add some context:
– This only applies to mainland China
– Regulator found apps were violating user rights / data protection.
– Users can still download apps
– Future updates and new launches are being investigated to ensure compliance. https://t.co/1X6i3HOx5k
— Daniel Ahmad (@ZhugeEX) November 24, 2021
Tencent is being investigated for breaking privacy laws
According to a report by SCMP, the multinational conglomerate has breached data protection and privacy laws. This has led the authorities to launch a thorough investigation, which will ensure that the firm is following all the necessary guidelines. It has complied with the authorities and stated that it is working with the authorities. In a statement, the tech giant clarified that it is working with the teams to enhance user protection and ensure every application follows the guidelines laid down by the government.
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“We are continuously working to enhance user protection features within our apps, and also have regular cooperation with relevant government agencies to ensure regulatory compliance. Our apps remain functional and available for download.”
The Chinese government will once again allow the tech giant to resume operations after the investigation comes to a close. The government wants to ensure that the data of Chinese users are protected and the company is following all the guidelines. Definitely, this will impact the gaming ecosystem in mainland China, but it seems like users outside China won’t be greatly affected.
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