China's new regulations, effective July 15, impose strict limitations on AI chatbots capable of "sustained emotional interaction" with humans. The rules, which can lead to fines of 200,000 yuan (£22,000), aim to prevent emotional reliance or addiction. Following the regulation, Chinese tech giants Alibaba and ByteDance have shut down the companion features on their AI assistants. Experts note that the regulations cover apps specifically designed as AI companions, as well as general-purpose large language models if used for emotional support, affecting an estimated 29 to 70 million users in China. The regulation also bars all under-18s from accessing virtual partners or intimate relationships.