Proposing to strengthen the management of internet information service algorithms, the Cyberspace Administration of China, the Ministry of Industry and Information Technology, the Ministry of Public Security, and the State Administration for Market Regulation have jointly issued a notice to enact what they term the “Governance of Typical Issues of Online Platform Algorithms.”
This action will focus on typical algorithm-related issues such as homogenized content recommendations creating “information cocoons,” manipulation and interference with trending topics on different platforms, blind profit pursuit harming the rights of workers in new employment forms (e.g. food delivery service), big data-based price discrimination against loyal customers (price gouging of regular customers), and the lack of positive and beneficial algorithmic services that harm the legitimate rights and interests of users, according to the notice.
Why it matters: The Chinese authorities are urging tech companies to conduct thorough self-assessments and corrections, a move that aims to ensure fair and ethical use of algorithms and protect citizens from exploitation and misinformation.
Details: The Cyberspace Administration of China has set up a special email address, [email protected], to handle reports related to typical issues concerning online platform algorithms. The public is encouraged to report and monitor these issues from today until February 14, 2025.
- The Governance of Typical Issues of Online Platform Algorithms policy looks to establish mechanisms to prevent the creation of “information cocoons” and strictly prohibits the push of highly homogenized content that induces user addiction. Users must not be forced to choose interest tags, and illegal or harmful information must not be recorded in user tags or used for recommendations. Collecting personal information beyond what is necessary for content recommendations is not allowed.
- Platforms need to disclose the principles behind their algorithms to enhance transparency, the notice said. The ministries have suggested that platforms develop mature technologies to detect and identify violations such as robot-driven trending manipulation and fake accounts.
- In the area of food delivery, platforms need to reveal the algorithmic rules for time estimation, cost calculation, and route planning, as the overly compressed delivery times lead to higher delivery overtime rates, traffic violations, and increased accident rates, the authorities stated. Platforms must establish clear and accessible channels for appeals, the notice added.
- Based on the notice, platforms are prohibited to use user characteristics such as age, occupation, and spending level to implement differentiated pricing for the same product. Additionally, platforms should continue optimizing algorithmic recommendation services for minors and the elderly, making it easier for them to access information beneficial to their mental health, the authorities said.
Context: In China, major platforms including Douyin (the Chinese version of TikTok), Weibo (a Chinese X-like social app), and Taobao (similar to Amazon or eBay) use algorithms to push different content based on user interests. However, precise targeting of users, “information cocoons,” content manipulation, and price gouging potentially harm the interests of users, the authorities have said.