Game on: Thailand to level up with new Game Industry Act

Thailand’s Digital Economy and Society (DES) Ministry is set to draft the Game Industry Act, aiming to address the rapid growth of the video game sector, valued at 40 billion baht annually. The initiative also seeks to position Thailand as a key player in the regional gaming market, according to the ministry.

Nuttapon Nimmanphatcharin, President and Chief Executive of the Digital Economy Promotion Agency (DEPA) stated that the agency has been tasked with drafting the law, in collaboration with the Culture Ministry. The draft is expected to encompass all facets of the game industry, including various platforms and devices.

Public and state agencies have raised concerns over certain gaming content, particularly online games, which may lead to gambling. Nuttapon highlighted the need for clear definitions and supervision of content, alongside regulatory conditions and a registration system.

“The law will seek to balance monitoring and promoting the gaming ecosystem.”

The draft is slated for completion by September, followed by a public hearing. It will then proceed to the Cabinet and the Office of the Council of State for final approval. The law is anticipated to be enacted next year.

The draft law is the culmination of discussions between government and private agencies to ensure it includes practical details and conditions that balance supervision with promotion. It defines game products and services, establishes a registration system, and outlines a supervision scheme covering game ratings and supply chain promotion.

Separate law needed

Many online platforms, including iOS and Android, currently offer games, making comprehensive regulation essential. Initially, the Culture Ministry considered amending the Film Act to include gaming content but later agreed with DES that a separate law was more appropriate, said Nuttapon.

“Games are not merely physical activities or moving pictures, as defined by the old regulatory scheme, which is impractical for supervising the gaming ecosystem.”

The proposed Game Industry Act will cover all types of games on all platforms and services. Specific games will require careful monitoring due to potential misuse leading to gambling.

The draft mandates the registration of game operators, developers, and platform providers distributing games in Thailand. It also calls for data linkage between relevant agencies, such as the Commerce Ministry and the Revenue Department, to grant tax benefits to registrants.

These benefits include tax deductions for companies training digital workers and support for Thai gaming operators to boost employment and digital skills development.

Supervision will focus on game ratings and preventive measures to address issues like online gambling and game-related violence. Nuttapon mentioned that agencies like the Cyber Police Bureau are expected to collaborate with digital payment authorities to ensure comprehensive supervision.

Furthermore, the draft contains measures to encourage Thai entrepreneurs to compete internationally. It aims to promote the entire supply chain, from content design and character creation to animation production and e-sports competitions. These initiatives are expected to attract foreign developers to invest in Thailand, solidifying its status as a regional gaming hub, reported Bangkok Post.