The Chinese government has outlawed original news reporting over the Internet as it stretches its rule over the country's web and information industries.

The Cyberspace Administration imposed ban also handcuffs such major online providers as Sina Corp. and Tencent Holdings Ltd.

The agency has put mobile and online news services on notice that they are to immediately dismantle "current-affairs news" operations. With that, news providers are only allowed to carry reports provided by government-controlled print or online media.

Government Decides What's News

The widespread changes give the government near absolute authority over what news is disseminated, particularly in the area of politics. President Xi Jinping is on record in asserting that Chinese media must serve the interests of the ruling Communist Party.

Meanwhile, regulations forbidding enterprise reporting have long been the rule of the day and the latest moves are seen as a broad attempt by the government to dramatically silence all of its critics.

Violaters Face Fines

Operators and sites found in violation of the new measures face financial penalties imposed by the government.

Recently, Chinese authorities commenced holding discussions with Internet providers about a pilot project that would allow the government to start taking board seats and financially investing in those companies. In return, they would be granted a license to provide news on a consistent schedule.

Though they are technically not allowed to hire editors or reporters, some local news outlets have recently published investigative stories on official corruption cases and covered such sensitive social issues as human rights demonstrations

The change in the guidelines on original reporting also comes just weeks after the country replaced its chief Internet regulator. Xu Lin, a former Shanghai propaganda chief who worked briefly with Xi during his half-year stint as Shanghai party boss in 2007.

Thousands of Chinese so-called cyber-police keep track of the Internet and social media, looking out for and monitoring material flagged as politically and socially critical of the government.