Guangzhou, China — Tencent He warned that more regulations could apply to China’s Internet sector, but said the company was “confident” that it could comply.

Comments are made by Chinese tech giants surpassing market expectations Second quarter profit up 29%, And as Beijing tightens regulatory scrutiny of the country’s Internet companies.

“We should expect more regulation in the near future,” Tencent president Martin Lau said in a statement Wednesday.

Mr Lau said Internet regulation is a “global trend”, but China is ahead of Europe and the United States in terms of “implementing a more structural regulatory framework.”

“In an industry like the Internet, given its size and importance, regulations are actually quite loose, so I think this should be expected,” he added.

Tencent’s president said regulators are focusing on “correcting industry fraud” and emphasizing social responsibility. But the ultimate goal is “long-term sustainable development of the Internet industry,” Lau said.

“The government recognizes the importance of the economic and social aspects of the Internet industry and its contribution to global competitiveness,” Lau said.

Various Chinese regulators have announced new rules on the Internet sector over the past few months. Antitrust Law NS Data regulation.. The speed and scope of action has wiped out billions of dollars worth of value from Chinese internet companies. Tencent’s share price has fallen 23% this year.

Still, game giants who have faced regulatory oversight in the past said they could comply.

“There are short-term uncertainties and I think there will be a lot of new regulations coming, but we are pretty confident that we can comply,” Lau said.

There is also growing concern that the online gaming sector may face stricter regulations after an article has been published in a state-owned media affiliate. Compare online games to “opium”..

The Chinese government has long been concerned about the impact of games on children. In 2018, regulators frozen approval of news games. Affects the eyesight of young people..

In 2019, China introduced a rule that prohibits people under the age of 18 from playing online games from 10 pm to 8 am and limits the amount of time they can play.

Tencent has already implemented measures To do this, including facial recognition to detect children who are circumventing the rules.

“When it comes to games, I think the key issue at this point is the time and money that minors spend on games. This is an area we are very focused on,” Lau said. increase.

This is a “complex issue that requires regulatory and industry consensus,” he added, which the company wants to discuss.

“If that can be achieved … most of the criticisms of the gaming industry … I think it will be resolved,” he said.