From CNBC:



China’s proposed gaming rules could impact smaller developers more than larger ones, as well as potentially reducing overall online advertising revenue. The proposed rules would prohibit incentivizing daily sign-ins for games and other revenue-generating practices. This has caused shares of major gaming companies like Tencent, NetEase, and Bilibili to plummet. UBS estimates that online games account for about 20% of the online ad industry’s revenue, so the impact of the rules could be significant. However, the potential financial impact is hard to quantify at this time. The National Press and Publication Administration, which controls the publication of new games, has approved over 100 new domestic games despite the proposed rules. Overall, the proposed regulations are expected to have a greater impact on new games rather than existing ones, and developers are likely to find alternative ways to attract and retain users.



Original: China’s potential new gaming rules will hit smaller developers more