China Plans To Restrict Online Videos; Effect on Private Companies Still Unclear

It's the age of online content restrictions: Australia, Japan and the evergreen efforts of China. In an effort to further regulate internet content, China's State Administration of Radio, Film and Television (SARFT) and the Ministry of Information Industry (MII) have approved new rules governing videos posted on video sharing sites. Though it wasn't clear how these restrictions would affect local and foreign providers, the government has stipulated that video-hosting web sites must obtain an "Online Audio-Visual Broadcasting License" and be either state-owned or state-controlled. Excerpts of the translated policy can be found here.

Effective Jan. 31, the policy also requires online video broadcasters to delete and report videos that involve national secrets, hurt the country's reputation, disrupt social stability, or promote pornography, reports AP. Those who violate the new rules may receive a warning from broadcasting authorities and be fined up to RMB 30,000 (about $4,100). The rules also say, "Those who provide Internet video services should insist on serving the people, serve socialism… and abide by the moral code of socialism."

A WSJ story here says that executives at many video-sharing sites are taking a wait-and-see approach toward the regulations after they go into effect. Also, it was unclear how the regulations would affect foreign video-sharing sites that are popular in China, such as YouTube.com.