Gaming Performance Overview 2024: A year of transformative growth & Govt push

The Indian online gaming and esports industry continued to see accelerated growth in 2024 as well. According to Statista, revenue in the Indian games market is projected to reach $8,920.00 million in 2024, garnering an annual growth rate (CAGR 2024-2029) of 10.61%, which will result in a projected market volume of $14,770.00 million by 2029.

Statista reports that within the Games market in India, the number of users is anticipated to amount to 328.9 million users by 2029. User penetration in India will be 18.9% in 2024 and is expected to increase to 21.9% by 2029. The average revenue per user (ARPU) in India’s Games market is projected to amount to $351.90.

In this article, industry experts highlight the key developments that propelled the gaming industry in India in the year gone by…

Gaming and E-sports industry in India during 2024

“2024 has been a year of unprecedented growth for the Indian gaming and esports ecosystem,” noted Vishal Parekh, Chief Operating Officer, CyberPowerPC India, adding, “We’ve seen gaming evolve into a mainstream cultural phenomenon, driven by enhanced digital infrastructure and a thriving community of players and creators. Esports tournaments are attracting global attention, and India is becoming a pivotal player in the global gaming narrative.”

Milind D Shinde, Founder and CEO, 88 Games, considered 2024 to be a watershed year for the Indian gaming and esports industry, with significant progress across multiple fronts. He said, “India now boasts a staggering 590 million gamers, as highlighted in Lumikai’s recent report, showcasing a diverse audience that spans casual mobile gamers to hardcore PC and console enthusiasts. This expanding player base is accompanied by a rapidly maturing ecosystem of developers, publishers, and esports organizations.”

“One of the most notable developments this year has been the increasing emphasis on creating culturally resonant content. At 88 Games, this marks the beginning of India’s emergence as a global hub for gaming innovation. Studios, including ours, focus on crafting immersive experiences rooted in India’s rich history and mythology, presenting an untapped reservoir of stories that resonate with audiences worldwide,” Shinde added.

Another key highlight was the Union Cabinet’s approval of the National Centre of Excellence (NCoE) for AVGC-XR in Mumbai. This, coupled with Prime Minister Narendra Modi’s call for Indian game developers to make their mark on the global stage, underscores the growing recognition of gaming as a significant contributor to India’s creative economy. Such advocacy has played a pivotal role in redefining the industry's image, distinguishing gaming from gambling and projecting it as a legitimate, innovative, and cultural powerhouse.

Additionally, 2024 has witnessed substantial investments in gaming startups, fostering a fertile ground for new ideas and technologies. “The focus has shifted from mobile gaming dominance to a broader spectrum of platforms, including PC and console, which aligns with our vision at 88 Games to create world-class, narrative-driven experiences for global audiences,” Shinde further said.

In summary, the Indian gaming industry in 2024 is not just growing; it is evolving, innovating, and asserting itself as a force to be reckoned with globally. We at 88 Games are excited to be at the forefront of this transformation, championing the power of Indian stories and heritage in the interactive medium.

According to Deepak Ail, CEO and Co-founder, Dot9 Games, “2024 has been a year of learning for the gaming and esports industry in India. Reason being: the Indian gamer is a lot more demanding than they have ever been and is quick to drop a game if it doesn’t meet their expectations. In particular, fans of the shooter genre (which includes the likes of Call of Duty and our own upcoming game FAU-G: Domination), want high performance with high fidelity graphics on their smartphones. In addition to this, there is a fervent need from audiences for more games to embrace the competitive aspect with more tournaments, larger prize pools, and more broadcasts. How studios and publishers scale to meet this demand while maintaining an acceptable level of quality has been a challenge in 2024 and will continue to be so in 2025.”

Economy and the gaming/ E-sports sector

Vishal Parekh observed, “India’s expanding digital economy and government initiatives like ‘Digital India’ have provided the gaming industry with fertile ground for growth. The focus on Tier 2 and Tier 3 cities has opened up new demographics, driving demand for high-performance gaming rigs.

International partnerships, venture capital funding, and support from global investors have also boosted the industry’s growth. This has fuelled innovation and opened up new opportunities for game developers and esports organizations. That said, macroeconomic challenges have underscored the importance of delivering value-packed solutions to a price-sensitive audience.”

India’s strong economic growth in 2024, fueled by rising income opportunities, digital expansion, and supportive policies, has significantly boosted the gaming and esports sector. Increased spending power among younger demographics, combined with widespread access to affordable smartphones, high-speed internet, and 5G, has expanded gaming’s reach across diverse regions. Indian gamers now have greater access to high-end gaming rigs, controllers, consoles, and handheld devices, thanks to their increasing purchasing power. This shift has broadened their preferences and expectations, driving demand for more diverse and immersive gaming experiences, said Milind D Shinde.

Government initiatives like the establishment of the National Centre of Excellence (NCoE) for AVGC-XR and the ‘Make in India’ push have fostered innovation in homegrown gaming IPs, bolstering investor confidence. The projected growth of India’s gaming market to $9.2 billion by FY29, as highlighted by Lumikai, reflects the sector’s immense potential, with 2024 witnessing significant investment inflows into game development and esports.

“For studios like 88 Games, these economic tailwinds are immensely encouraging. The positive investor sentiment and rising demand for culturally resonant content have validated our vision of creating high-quality games that put Indian storytelling on the global stage. The broader economic landscape has empowered us, and many others in the ecosystem, to think ambitiously and invest in building for the future,” Shinde added.

Speaking about the challenges, Deepak Ail said, “Funding is always a challenge when you’re in a hit-driven business. And its worse when you have few gaming-focused funds in the country. That said, we’re grateful for having nCore’s backing with  Nazara publishing to bring FAU-G: Domination to life. These allow us to focus on more pressing concerns such as audience expectations.”

He added, “Gaming has always had its own set of challenges in terms of growth in India and that hasn’t really changed in 2024. While we’re perceived as a welcome download market for many publishers, the big concern is ramping up monetisation from Indian audiences which has continued to be a challenge.”

Key trends and developments

Vishal Parekh pointed out that this year, the industry has been marked by several transformative trends. We saw the rise of modular, customizable gaming PCs, enabling users to future-proof their systems. The integration of VR and AR into mainstream gaming has created new immersive experiences, and the creator economy has further emphasized the role of technology in enabling innovation and creativity.”

Along similar lines, Milind D Shinde too called 2024 a transformative year for gaming and esports, with the announcement of the Olympic Esports Games as a standout moment, cementing esports as a legitimate global sport. India’s medal-winning performance at the Asian Games further boosted the industry’s stature, inspiring greater participation and investment.

Domestically, the game development sector saw unprecedented growth through initiatives like the Bihar government’s school esports competitions and the Ministry of I&B’s WAVES Esports Tournament. These efforts not only fostered greater recognition of esports, but also highlighted the importance of creating high-quality, locally resonant games.

As game developers, we are witnessing an increasing demand for culturally relevant content that appeals to a broader, more diverse gaming audience. This has provided new opportunities for innovation and growth, positioning the Indian gaming industry as a competitive force on the global stage. “For 88 Games, these trends align with our mission to create world-class games that celebrate India’s heritage and resonate globally,” Shinde added.

The core development of the year has been the recognition of video games by the Indian government. Just like Indian movies act as cultural soft power, Indian games too can rise to that level. It’s something that the government is aware of and is encouraging as we’ve seen with comments from PM Modi as well as initiatives like Waves from the MIB. “Naturally, we’re all too happy to be a part of this mission to put India on the global gaming map,” said Deepak Ali.

It’s also important to acknowledge that India needs a shooter of its own. The existing games are great, but the focus is India-first. Much like the US and China have their IPs such as Call of Duty and Genshin Impact that grew tremendously at home first before going wide the world over, the necessity for bespoke, India-first content is crucial. “Not only does this help local consumption, but also allows to generate greater talent in the nation. That’s the reason for us making FAUG: Domination,” Ali added.

Also Read: Olympic Esports Games & Made-in-India games to drive Indian gaming & esports in 2025