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Scenarica's avatar

Article 8(v) is the one Western regulators will study and never replicate. "Excessively catering to users, inducing emotional dependence or addiction, and damaging users' real interpersonal relationships." That sentence bans the core business model of every AI companion startup in the US. The entire engagement loop that drives retention and monetisation is now illegal in China. The companies that can't operate there will concentrate in markets that haven't legislated yet, which means the regulatory gap becomes the product strategy.

Article 18's two hour pop-up requirement is the other one to watch. Not because it works, but because it establishes a baseline that every future regulation will reference and ratchet downward.

Jim Bonnette, MD's avatar

Interesting implications for Xiaoice and others

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