Internships are prevalent in new media industries and have become the focus of news reports and popular writings in recent years. This article addresses the gap between intern research and digital labour research. It asks: How are these interns working and living? What are the power dynamics behind interns’ experiences? To what extent can digital labour theories be applied to explore these experiences? Based on empirical research conducted at two Chinese Internet companies, this article shows that interns in Chinese Internet industries experience poor working conditions and difficult living conditions. These are caused by power dynamics within the companies, such as tensions between interns and full-time Internet workers, and power dynamics within Chinese society, such as those between Chinese universities and Internet companies involved in these internships. The article argues that such difficult conditions are caused by Internet companies and the Chinese higher education system, both of which engage in forms of coercion and alienation. Digital labour theories need to take greater account of intern labour and of interns’ experiences of precarious work in the new media industries.