The Chinese government has had strict control over how the local internet is accessed for a number of years now, but in recent months it has looked to expand this scope. The latest effort pertains to algorithms and the firms that use them, with draft guidelines being issued this week that aim to regulate how algorithms serve up recommendations to internet users.

The draft features 30 points and has been written up by the Cyberspace Administration of China (CAC) with the view to forbid the use of any algorithms within its borders that are deemed to, “encourage addiction or high consumption” among users.

Added to this are any algorithms that are deemed to endanger national security or disrupt the public order, as TechCrunch explains.

While regulation that seeks to limit the intrusive nature of recommendations driven by algorithms sounds like a welcome change, it is the other elements of the draft that could prove open to interpretation and therefore potentially limiting to those wanting to use the internet.

It also puts technology companies that make use or develop algorithms straight into the crosshairs of the Chinese government, which is somewhere few can afford to be.

The CAC is currently taking public feedback on the draft up until 26th September. If the draft is passed, it could have significant implications for the likes of ByteDance, Alibaba Group, Tencent, and Didi, all of which make use of proprietary algorithms. Alibaba and Tencent, which are two of the larger operators making use of algorithms in China, saw share prices drop on the back of the draft being announced.

If these guidelines impact business, we could see major Southeast Asian technology firms have to make changes to their operations, given the size of China’s economy and the user base it represents.

For now, it remains to be seen what the draft feedback process will yield.

[Image – Photo by Brian Matangelo on Unsplash]