Gaming
India’s gaming giants face extinction as government prepares blanket ban
MUMBAI: India’s booming online gaming sector is bracing for devastation after electronics and information technology minister Ashwini Vaishnaw introduced the Promotion and Regulation of Online Gaming Bill, 2025, in the Lok Sabha on Wednesday. The proposed legislation threatens to outlaw all real-money gaming platforms, regardless of whether they involve skill or chance—a move that could obliterate 86 per cent of the industry’s current revenue streams.
The bill proposes harsh penalties for violators: up to three years imprisonment and fines of Rs 1 crore for operators, and two years jail plus Rs 50 lakh fines for advertisers. Banks and financial institutions facilitating transactions for money games face similar punishment. Repeat offenders could face between three and five years behind bars with higher fines.
Market leaders including Dream11, Games24x7, Winzo, GamesKraft and My11Circle now face an existential crisis. India’s online gaming market, currently valued at $3.7 billion and projected to reach $9.1 billion by 2029, could see its financial lifeline severed overnight.
The All India Gaming Federation, E-Gaming Federation and Federation of India Fantasy Sports have written jointly to home minister Amit Shah, warning that the legislation would “destroy over 200,000 jobs, result in over 400 companies shutting down, and weaken India’s position as a digital innovator.”
The industry argues that legitimate platforms will be forced to close, pushing crores of users towards illegal matka networks, offshore gambling sites and unregulated operators. The sector has grown into a Rs 2 trillion industry, generating Rs 31,000 crore in annual revenue and over Rs 20,000 crore in taxes whilst expanding at 20 per cent compound annual growth rate.
The bill defines an online money game as one where users pay fees or deposit money “in expectation of winning in return of money or other stake.” It explicitly excludes esports and online social games such as casual entertainment formats without monetary stakes. A proposed Online Gaming Authority would determine whether games qualify as money games and oversee the sector.
MeitY secretary S Krishnan said the legislation aims to recognise the industry’s creative intent whilst restricting undesirable segments. The government cited instances of severe financial distress and suicides linked to online money gaming during cabinet deliberations, noting particular concerns about addiction among children and youth.
The move represents a decisive shift from tax-and-regulate to prohibit-and-enforce. Authorities have already imposed a 28 per cent goods and services tax on gaming revenues since October 2023, followed by a 30 per cent tax on net winnings from FY 2024-25. Over 1,400 illegal betting and gambling sites have been blocked since 2022.
Players themselves will not face criminalisation under the proposed law, being treated as victims rather than offenders. Free-to-play and subscription-based games where users pay fixed fees without wagering during gameplay will remain permissible.
Industry insiders warn the legislation could violate constitutional principles whilst strengthening illegal offshore operators—described as “one of the biggest national security threats to the country today.” India’s gamer base has grown from 360 million in 2020 to over 500 million in 2024, with foreign direct investment in the sector crossing Rs 25,000 crore by June 2022.
The Lok Sabha session was adjourned until 2pm shortly after the bill’s introduction amid opposition protests, leaving the industry’s fate hanging in the balance.
Gaming
Formula 1 and Mumbai Falcons launch India’s first official F1 sim racing championship
Nationwide competition creates pathway from virtual racing to pro motorsport
MUMBAI: Formula 1 has teamed up with Mumbai Falcons Racing Limited to launch India’s first officially sanctioned F1 sim racing competition, marking a new step in the country’s growing motorsport ecosystem.
The championship, titled F1 Sim Racing India Open 2026, will offer a structured national platform for sim racers, with participants competing on the official F1 25 across multiple stages. The competition will begin with online qualifiers, followed by city-based simulator rounds, before culminating in a national final in Mumbai this November.
Open to players across PC, PlayStation 5 and Xbox, registrations for the event will begin on 30 April via the Mumbai Falcons app. The format mirrors real-world racing, featuring official circuits, team liveries and competitive structures aligned with the global series.
Formula 1 driver Narain Karthikeyan said the initiative arrives at a time when interest in the sport is surging in India, adding that a structured sim racing platform could help identify and nurture the next generation of talent.
Mumbai Falcons Racing Limited managing director Ameet Gadhoke noted that the championship aligns with the team’s long-term goal of building a strong motorsport pipeline in the country and placing Indian talent on the global stage.
The launch also reflects broader momentum in esports, especially after its recognition under India’s Promotion and Regulation of Online Gaming Act, 2025. By bridging gaming and real-world racing, the initiative aims to offer aspiring drivers a credible entry point into professional motorsport.
With interest in Formula 1 steadily rising and conversations around its return to India gaining pace, the new championship could become a proving ground for future racing stars.
