Southeast Asian nations are moving contrary to their profitable online gaming businesses. This is after Beijing clamps down to a clinic that’s ballooned because of the demand by its citizens.
China lashed out in the Philippines to encourage online gaming targeting Chinese clients. It also induces the illegal outflow of countless millions of Yuan. The Philippine Gaming Regulator said it won’t allow online gaming operations from China. That is at least before the conclusion of the calendar year. The reason being is to examine concerns about the burgeoning industry.
Chinese state information service Xinhua said that Cambodia’s Prime Minister Hun Sen has ordered to stop new licenses issuance for internet gaming operations. Present licenses renewal will also stop upon expiry, stated the report.
The about-turn in gaming policy in some Asian countries made China step up their efforts against what is its own minister for public safety coined as “the Malaysian online gaming problem”.
Online and mobile gaming in Southeast Asian nations by Chinese punters several miles apart have exploded in the past couple of decades. And there are indications that the offshore providers are entering a lot deeper into the Chinese market than anticipated.
Some online gaming sites like Kiss918 provide punters wagers as low as 10 Yuan. They also have round-the-clock live streams. This makes them accessible by Chinese in rural areas. Especially those who don’t have the capacity to visit Macau, the single area in China where casinos are legal, to scrape the gaming itch.
The burgeoning sector has also changed Southeast Asian nations. And the sudden pullback is very likely to damage their markets.
In the Philippines alone, over 50 offshore gaming firms had obtained licenses to run. More than a hundred million Chinese workers had also jumped into Manila to occupy the market. While prices of properties that are close to gaming websites were also flourishing.
Revenue from online gaming operations is about to reach 10 billion pesos the next season. That is US$191 million according to the Philippine gaming operators.
The Xinhua report stated that Cambodia ordered their police to stamp out illegal online gaming companies to maintain social safety and public order.
Meanwhile, the Philippines’ gaming bureau head Andrea Domingo, although announcing the dip in new permits allowed, highlighted that the practice is legal in the nation. But gaming revenue growth could still be level to slow this season because of China’s efforts.