Why We Can't Ignore the Gaming Industry in India

Authored by Chandan Sharma, General Manager- Digital Media, Adani Group

I still remember the times when we used to play IGI, Counter strike, war of warcraft on PC; nobody thought that it can become an industry in India. The gaming industry in India is growing at an incredible pace, making it impossible to overlook. From being a niche hobby a decade ago, gaming has transformed into a mainstream entertainment option for millions. With a rapidly increasing user base, high revenue growth, and recognition on global platforms, India’s gaming sector is on the path to becoming a major economic force.

Let’s explore why the gaming industry in India is too big to ignore. We will look at key statistics, trends, and the factors that are shaping the future of gaming in the country.

India’s Gaming Population Is Huge

India is home to one of the largest gaming communities in the world. As of 2023, India had around 568 million gamers, making it the second-largest gaming market after China. By 2025, the online gaming segment is expected to have 900 million users.

This explosive growth is largely driven by smartphones. With over 600 million smartphone users, gaming has become more accessible than ever. Unlike before, when gaming was limited to expensive PCs and consoles, today, anyone with a smartphone and internet connection can play games.

The Gaming Industry Is Making Billions

The Indian gaming industry is witnessing massive financial growth. Some key projections include:

The mobile gaming market was valued at $1.5 billion in 2020 and is expected to reach $5 billion by 2025.
The overall online gaming market in India is projected to be worth INR 231 billion ($2.8 billion) by 2025, growing at a CAGR of 20%.
The total gaming industry is expected to expand from $5.83 billion in 2025 to $22.53 billion by 2034.

This growth is attracting heavy investments from global gaming companies, tech startups, and venture capitalists. More games are being developed, and companies are exploring various monetization strategies like in-app purchases, advertising, and real-money gaming.

Esports Is Gaining Recognition

Esports is now a serious business in India. Competitive gaming has evolved beyond just casual fun, with Indian players competing in global tournaments.

Indian teams have participated in major events like:

Commonwealth Esports Championship
Asian Games 2022, where esports was officially recognized as a medal event

Esports tournaments now have huge prize pools, sponsors, and fan followings. Popular esports titles like BGMI, Valorant, and Free Fire have helped many Indian gamers turn professional, earning both money and recognition.

Key Factors Driving Gaming Growth in India

Several reasons are fueling India’s gaming boom:

a) Smartphone Revolution

Gaming has become a household activity, thanks to affordable smartphones. With more than 600 million smartphone users, mobile gaming has taken over traditional forms of gaming.

b) Cheap Internet and Digital Adoption

India has some of the lowest data rates in the world, thanks to Jio and other telecom companies. This has made online gaming affordable even in rural areas. Cloud gaming and streaming platforms have also gained popularity.

c) Diverse Game Offerings

From casual mobile games to serious esports titles, there is something for everyone. The Indian market has games across different categories:

Battle royale games like BGMI and Free Fire
Strategy games like Clash of Clans
Card games like Teen Patti and Rummy
Fantasy sports like Dream11

d) Growth of Real-Money Gaming

Real-money gaming (RMG) is another major driver of growth. Platforms offering fantasy cricket, poker, and rummy have gained millions of users. With India’s love for cricket, apps like Dream11 have become extremely popular.

e) Rising Investments in Gaming Startups

India has seen a surge in gaming startups and investments. Many international companies are entering the Indian market, collaborating with local developers and content creators. Major Indian gaming startups include:

Nazara Technologies
Dream11
WinZO
Mobile Premier League (MPL)

Future Outlook – The Next Big Industry

The future of the Indian gaming industry looks promising. Some key predictions:

Transaction-based gaming revenues grew 39% between 2021 and 2022, and this trend is expected to continue.
Government support and regulations are being introduced to ensure fair gaming practices and boost industry confidence.
More local content – Games based on Indian culture, mythology, and stories are becoming popular, appealing to a wider audience.

Possible Challenges

While the gaming industry is growing fast, there are some challenges that need attention:

Concerns about gaming addiction – Measures must be taken to promote responsible gaming.
Unclear regulations for real-money gaming – Legal frameworks need to be clarified.
Competition from global gaming giants – Indian developers must innovate to compete with international companies.

A Booming Industry That Can’t Be Ignored

India’s gaming industry is no longer just a niche segment of entertainment—it has transformed into a multi-billion-dollar industry with immense potential. The rapid growth of the sector is fueled by millions of gamers, rising investments, the popularity of esports, and the expansion of real-money gaming. With a projected market size of $22.53 billion by 2034, India is positioning itself as a global gaming hub.

The gaming industry’s influence extends beyond entertainment—it contributes significantly to job creation, technological advancements, and digital innovation. From game developers and esports professionals to content creators and AI-driven gaming experiences, the industry is shaping the future of India's digital economy. The government is also recognizing the sector’s potential, leading to discussions on policy frameworks and regulatory clarity that can support long-term growth.

To fully unlock the gaming industry’s potential, strong collaborations between game developers, investors, brands, and policymakers are essential. Indian gaming startups need support in funding, infrastructure, and global partnerships to compete on an international scale. Esports tournaments, local game development, and cloud gaming will further push India into the global gaming spotlight.

Ignoring India’s gaming revolution is no longer an option—it is the future of digital entertainment, innovation, and economic growth.