China Launches Crackdown on Big Tech's Algorithm Practices

Beijing targets recommendation algorithms, discriminatory pricing, and content manipulation in a three-month regulatory campaign.

The Cyberspace Administration of China (CAC) announced a campaign to address algorithm misuse by tech companies, including e-commerce platforms and social media apps.
Key goals include eliminating 'information cocoons,' reducing internet addiction risks, and promoting 'healthy content' for vulnerable groups such as children and the elderly.
The directive bans discriminatory pricing based on user demographics and mandates transparency in issuing discounts and ranking content.
Tech companies must conduct self-assessments and implement changes by year-end, with government evaluations set to follow in February 2025.
This initiative builds on previous regulations from 2022, requiring platforms to allow users to opt out of personalized recommendations and disclose algorithm details.