China govt targets mobile pop-ups in latest crackdown on tech sector

China ordered Tencent Holdings and 13 other developers to rectify problems related to pop-ups within their apps, adding to a wide-ranging crackdown on the tech sector.

The companies must address the “harassing” pop-up windows, which could contain misleading information or divert users away from the apps, the Ministry of Industry and Information Technology said on Wednesday. The 14 services, including an e-books app by Tencent’s QQ will have to fix the problems by Aug. 3.

“Failure to abide by regulations” will not be tolerated and will be “penalised” accordingly, said the ministry.

Pop-ups, often used for advertising, are just the latest targets in a series of government crackdowns that have ranged from antitrust to data security, as Beijing seeks to rein in the tech giants’ influence over most of everyday life. 

The crackdown has stepped into high gear in recent days after regulators announced their toughest-ever curbs on the online education sector and issued edicts governing food delivery, fueling a rout in Chinese tech stocks. The statement by MIIT comes days after the regulator announced a six-month crackdown on illegal online activities. 

Other regulators including the Cyberspace Administration of China have also pledged to tighten restrictions on misleading and explicit content used for marketing purposes. 

State media seeks to calm investors

A move by Chinese state media to reassure investors shaken by Beijing’s regulatory crackdown saw a mixed impact on Wednesday, as the benchmark stock index swung between gains and losses. It talked up the market after a wave of selling that had seen nearly $1.5 trillion of market value wiped off Hong Kong and mainland shares in the three trading days through Tuesday, according to data.