As of 2007 no more new permits will be given out for web bars, and any that were under construction must be completed within the next 6 months. Furthermore, the new regulations emphasize the restriction of 18 and under in Internet bars.
In my experience these laws have had difficulty being implemented. While Beijing is regulated and you need to use a I.D to surf the Internet, when I was in Harbin nothing of the sort was required. In Harbin web bars I regularly saw people looking at porn, kids clearly under 18 using the Internet, and operating hours that were well past city regulations.
Article HERE (Chinese)