Video game

Canada Tightens Foreign Takeover Rules for Video Games and VR – Yahoo Finance

(Bloomberg) — Canada will enhance its scrutiny of foreign investments in video games and other interactive media, seeking to block outside actors from manipulating public opinion in the country.

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“Hostile state-sponsored or state-influenced actors may try to leverage foreign investments in the interactive digital media sector to spread disinformation and manipulate information,” Science and Industry Minister Francois-Philippe Champagne said Friday in a joint announcement with Canadian Heritage Minister Pascale St-Onge.

Citing the Investment Canada Act, which gives the government the authority to review all foreign investments, the tougher stance applies to deals in interactive digital media, which may apply to video games, immersive technology like augmented and virtual reality, and other digital content with multiple active users, according to statements published online.

National security factors may include the size of a product’s audience, whether it includes in-game chat logs, purchases and microphone or camera access, and prospective investors’ ties to foreign governments, the government said in the statements. The government said it’s also aiming to protect Canadian intellectual property.

Canada has previously ordered Chinese investors to divest from lithium exploration companies and it also banned Chinese technology giant Huawei Technologies Co. from its 5G wireless networks.

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