Tencent Holdings, which operates the biggest social media and gaming business in China, pulled the plug on its game streaming site Penguin Esports this week, another setback after antitrust regulators blocked the company’s plan to merge game streaming websites Douyu and Huya.
The move comes at a time when the Chinese government is trying to reduce youths’ indulgence in gaming, which is seen as a distraction to their growth. While the Chinese government has resumed issuing game licences, Tencent and
NetEase, the two biggest players, have been left out in the two licence batches in April and June.