Why China Banned Its Hottest Homegrown Game Genshin Impact

When Genshin Impact launched in late 2020, the ambitious open-world action RPG seemed poised to show the world what Chinese game developers could create. Blending anime-inspired visuals with The Legend of Zelda-esque exploration, miHoYo‘s creation became an overnight phenomenon that has earned over $3 billion worldwide across mobile and PC. But regulatory troubles in Genshin‘s home country show how difficult international success can be when Chinese politics get involved.

Politics Crashed the Party

Issues emerged early when players in China noticed they couldn‘t type words like "Taiwan" or "Hong Kong" in Genshin‘s otherwise unfettered chat. miHoYo quickly confirmed these terms – and many others – were blocked to comply with Chinese speech laws. However, shortly after launch authorities banned Genshin Impact outright from app stores despite the censorship.

So what exactly prompted China to ban one of its biggest global gaming successes? Industry watchers cite several likely factors:

Leveraging Access to China‘s Market

With over 630 million gamers spending over $45 billion annually, China boasts the world‘s largest gaming market. Companies like miHoYo depend on Chinese revenue, so Beijing has massive leverage to dictate content standards. Indeed, state media publicly shamed Genshin shortly before the ban as an example of problematic gaming culture.

With growth projections still strong, avoiding exclusion from China remains imperative despite ethical dilemmas.

Political Tensions Around Taiwan, Hong Kong, and Xinjiang

Genshin‘s banned terms hint at ongoing issues around Chinese sovereignty and human rights. Taiwan and Hong Kong represent democratic holdouts resisting mainland control, while Xinjiang faces accusations of mass state surveillance and detention camps targeting Uighur Muslims. Merely referencing these controversial topics prompts censorship – let alone debate.

Shortly before Genshin‘s release, China passed new restrictions on exporting culture and regulating video games as part of a wider policy limiting foreign influence while promoting "patriotic" games showcasing Chinese views. Allowing open chat risked losing control of political messaging.

Testing The Limits of Censorship

Genshin Impact‘s global fan base prize its rich worldbuilding and community – success partly enabled by open communication tools. But as experts note, China equates uncontrolled platforms with danger rather than creativity:

“It was a shot across the bow for game developers: If your game allows unfettered free expression, it’s not allowed in China.” – The Record

Where developers see essential social features, authorities see potential dissent. And tolerating dissent remains taboo amid wider crackdowns on tech companies.

Indeed, 2022 saw policies further restricting gaming and tighter age rating enforcement. Companies must now balance creativity with ever intensifying state standards – no easy feat considering pressures abroad.

Simply censoring politically sensitive terms proved inadequate once Genshin Impact allowed open global chat otherwise. Though temporary, the ban sent Chinese developers an ultimatum – comply with our standards for communication or else. And in an increasingly strict regulatory climate, the "or else" now has billions in revenues at stake.

Gaming Growth Draws Worldwide Regulation

However, Chinese authorities aren‘t the only ones scrutinizing games more closely nowadays. Companies worldwide face policy debates around gaming‘s explosion.

Struggling With Addiction Fears

Genshin Impact‘s anime-inspired style and open-ended adventure hooked millions for hours on end. But some health advocates railed against what they saw as exploitative addiction hooks harming children:

China already limits underage play to just 3 hours weekly. But now regulators from Japan to the UK are discussing further restrictions shielding young players. Balancing profitability with ethical concerns around addiction presents a rising challenge worldwide.

Censoring Speech vs Protecting Players

And gaming speech policies now cut across partisan lines. Recently in the United States, far-right groups pressured developers to censor LGBTQ+ representation and other diversity efforts.

"There are similar criticisms made by conservative reactionaries in both countries,” suggests Matt Alt, a Tokyo-based game translator.

In this view, outrage in any country can force companies into defensive self-censorship out of profit concerns rather than ethical ones.

Supporting Democratic Values Abroad

In parts of Europe and North America, controversy swirls regarding Chinese companies and perceived state influence threatening democratic ideals like free speech. Representatives have specifically questioned Los Angeles-based miHoYo about data handling and content policies balancing American and Chinese values.

“We cannot allow the Chinese government to dictate the values of American entertainment companies." – Rep. Mike Gallagher (R-Wis.)

Here calls for censorship target perceived communist influence rather than profit-driven excess. But both critiques share concerns about social impact.

Questions around gaming addiction and identity sit front and center in current policy debates worldwide. Genshin Impact touches many pressure points – from youth mental health to political representation. While only China has (briefly) banned the game outright so far, all governments grapple with gaming‘s exponential growth. And companies like miHoYo risk getting caught in the crossfire as values and business models clash across borders.

Passionate Players Feel Torn Between Worlds

Amidst complex policy debates, everyday players who just want to enjoy their favorite games often feel frustrated and torn. Just peruse reactions from Chinese Genshin Impact fans:

“I play Genshin to escape the real world, not be reminded of politics.”

“Can’t we just enjoy nice things without trouble?”

Here gaming offers sanctuary from division – a realm players want kept separate from partisan quarrels. Censorship feels less like protection than denial of enjoyment and connection.

Conversely, some patriotic players welcomed banning "dangerous foreign elements":

"Good! No Chinese game should allow talk of separatist movements."

"If this helps make gaming culture healthier, that‘s what matters."

For these fans, national security comes before gameplay – regulations keep Chinese values safe from perceived modern digital threats.

Passionate Genshin Impact players worldwide largely just want to enjoy hanging out with friends in a beautiful virtual world. But conflicting political views continue encroaching from all sides no matter how players may wish to avoid them. Companies like miHoYo face a delicate balancing act keeping fans happy despite bitter divisions.

Game Developers Walk A Global Tightrope

Games like Genshin Impact depend on the massive Chinese market, while also banking on global appeal unhindered by censorship. This leaves developers pinned on the crossroads of clashing visions for regulating communication and creativity.

Discussing his approach balancing values in different markets, miHoYo founder Liu Wei admits:

"My original intention was to make good games to impress players all over the world…We are cultural exporters.”

On one hand, this seems to downplay capitulating to state censorship at odds with free expression. On the other, perhaps pragmatic concessions safeguard chances for cultural exchange through gaming. Some degree of compliance lets Chinese developers still reach global audiences hungry for fresh creative talent.

Meanwhile, critics argue that by allowing any speech restrictions, companies enable authoritarian policies to indirectly spread. It‘s a philosophical debate with billions in revenue at stake. And likely no perfect solutions.

Navigating Genshin Impact‘s success despite political controversy proves a case study for Chinese gaming influence moving forward. Developers like miHoYo try promoting creativity as cultural exchange and connection, while authorities focus on messaging control and national security. There exists profound tension between these visions – seemingly irreconcilable poles pulling the industry in China and abroad towards fragmentation. Time will tell whether common ground emerges or fault lines continue cracking wider.

For now, expect global gaming‘s boundaries to remain caught in the crossfire of competing cultural values and business models. Genshin Impact‘s ban stands symptomatic of deeper divisions worldwide – unlikely to dissipate any time soon as technology growth accelerates exponentially.