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China tightens grip on livestreaming to rein in ecommerce

CHINA is tightening its grip on livestreaming sites as it steps up efforts to rein in ecommerce and strengthen online censorship, reports London's Financial Times

26 November 2020 - 19:00

CHINA is tightening its grip on livestreaming sites as it steps up efforts to rein in ecommerce and strengthen online censorship, reports London's Financial Times.

New regulations for the industry, in which viewers interact with and send virtual gifts to online performers, increase controls on content, ban teenagers from making purchases and limit the total spending by any single user, said the report.



Beijing also will tighten rules on livestreaming ecommerce, where hosts promote goods to shoppers, one of China's fastest growing areas of online shopping.



The State Administration for Radio, Film and Television's rules said the Covid crisis prompted a surge in spending on livestreaming platforms such as those run by tech groups Alibaba and Kuaishou.



The market for virtual gifts was worth CNY180 billion (US$27 billion) last year, according to iResearch, while total goods ordered via livestreams hit CNY451 billion.



This year, Alibaba alone reported CNY350 billion in livestream orders through its Taobao Live platform in the 12 months to September.


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