Weird 2010's gamer nationalism meets china bad.
"Oh no, kids won't be able to use games to escape reality now" — Good, have them play outside or read a book or something.
"Horrible, I couldn't live without games" — Yes, this law is attempting to help people before they become like you.
"New generations won't grow up to be gamers now" — How will society survive!
"It's about controlling freedom of thought" — Ah, yes, this will stop the great dialogue had by fourteen-year-olds in LoL game chats.
Like, it's ok for it to be the focus for some people. Some people live for model trains or birdwatching or 11th century French Poetry. Super cool.
But that there's so many that it's grown from subculture of geeks to its own thing is symptomatic of a larger issue (that rhymes with crapitalism).