China drafts sweeping new internet rules

China has released a draft revision of the Measures for the Administration of Internet Information Services, representing a substantial expansion of the existing framework. The new draft consists of 94 articles, compared with the 27 articles in the original measures. It sets out a more detailed and comprehensive rulebook for providers of internet information services operating in the country.

The draft is presented as a unified framework for regulating online services, replacing earlier, more limited provisions. It is open for public consultation, and its detailed structure signals a more granular approach to oversight of internet platforms and services.

For the first time, the draft introduces a specific definition of a large internet platform. A platform falls into this category if it exceeds thresholds based on either the number of registered users or the number of monthly active users. This definition is designed to capture the country’s major internet platforms and place them under a distinct regulatory category.

Platforms that meet the large-platform threshold would be required to establish comprehensive compliance systems and set up dedicated compliance departments. They must also create independent external oversight bodies, operate 24‑hour mechanisms for handling user complaints, and file annual social-responsibility reports. In addition, they would have to report major operational changes and comply with algorithm-related competition rules.

The draft further requires that platform rules oblige users to comply with laws and administrative regulations. When platform rules are newly introduced or amended, providers must publicly disclose proposed changes and seek opinions. Competent authorities may order providers to correct platform rules that conflict with laws or regulations.

The draft moves away from the earlier distinction between different types of licenses and filings for internet information services. Instead, it introduces a unified approval framework to govern the provision of such services. This signals a more standardized approach to entry and operation in the sector.

The list of sectors that require prior administrative approval is expanded beyond the original categories. New areas brought explicitly into the approval regime include audiovisual services, religion and financial services. Providers in these fields would need to obtain approval before offering related internet information services.

Several articles in the draft address foreign-invested and cross-border internet information services. The rules emphasize that regulatory treatment will be based on the substance of a service rather than its formal corporate structure. This includes consideration of whether a service is foreign-funded, operated from overseas, or capable of shaping public opinion inside China.

By focusing on the actual operation and influence of internet services, the draft seeks to bring a broad range of cross-border activities within the regulatory perimeter. Services that can affect public opinion or provide information to users in China would fall under these provisions, even if they are organized or hosted outside the country.