"A mental opium": the Chinese press criticizes video games, the sector plunges on the stock market

All it took was one criticism from a Chinese state-run media, citing "addiction" to video games, for industry heavyweight Tencent to immediately plunge 10% on the Hong Kong Stock Exchange.

Tuesday, the very official Economic Daily estimated that this hobby, which generates billions of yuan, had become "a mental opium".

"The addiction of minors to the Internet is common and online games have significant consequences on their growth," said the daily.

The article particularly pinpoints Tencent, the heavyweight of the sector, in particular its popular video game "Honor of Kings".

"Some students play it sometimes for eight hours a day," the newspaper read.

The article, widely reported on Tuesday by the country's media, caused the shares of heavyweights in the sector to plunge in Hong Kong.

At midday, Tencent had lost more than 10%, its competitor NetEase lost nearly 12%, as the site Bilibili, popular with fans of cartoons, manga and video games.

Hardening of the rules

This sector, particularly prosperous in China, is increasingly criticized for the dependence of the youngest on screens and the vision problems that this entails.

Regulations in the country officially prevent people under 18 from playing online video games between 10 p.m. and 8 a.m.

But the law is largely bypassed.

Investors fear additional regulatory tightening in the video game sector, in a context of Beijing taking over the digital giants.

Several behemoths in the sector have thus been singled out for practices hitherto tolerated and widespread.

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The authorities have been particularly intransigent in recent months when it comes to personal data and respect for user rights. Beijing summoned the tech giants on Friday, urging them to "do a thorough review."