China Cracks Down With New Cybersecurity Law

The Cybersecurity Law introduces greater state control and involves data localization which stores data within China’s borders. The law is likely as deliberately vague as possible so that the maximum amount of companies can fall under its umbrella. Any company deemed part of the conveniently wide-reaching remit of the “critical information infrastructure” is subject to security checks, though the content of these reviews is purely speculation. The law will take effect in June 2017. 
This affects tech companies, particularly foreign firms operating in the country, who are worried about market exclusion. In order to be allowed to operate in China, companies will need to disclose sensitive information and prove it is secure. The options for companies choosing to stay are either to change their business model or incur high costs.
Also affected is China’s huge population of avid smartphone users and gamers. Instant messaging services like WeChat would have to censor ‘prohibited’ content and have a real name policy. This encourages self-censorship as personal information is requested and there are no fake usernames to hide behind.
This isn’t the first inkling other countries have had of China’s cybersecurity and heightened surveillance direction. In 2015 China drafted legislation requiring companies to share their source codes but removed it under pressure from protesters.