iWorld
Video streaming fastest growing service on mobile data in India: Ericsson
MUMBAI: Video streaming accounts for the fastest growing service on mobile data, followed by social networking.
According to a report titled ‘The Changing Mobile Broadband Landscape’ released by Ericsson ConsumerLab, 70 per cent of mobile broadband smartphone users regularly stream videos on their smartphones, and 61 per cent use social networking. Indian smartphone users are also seeing greater potential in mobile broadband when it comes to facilitating the way they handle their money and personal finances. The convenience and improved experience makes m-commerce services attractive to Indian smartphone users.
Of those users not using e-commerce services currently, 58 per cent stated that they would begin to do so in the next six months, while 52 per cent will use the Internet to pay bill online. Services like location navigation while travelling and cloud storage are also seeing an upswing in usage.
The report highlights the evolving mobile broadband adoption and usage in urban India. The report reveals diverse behavior and needs of different mobile broadband users and the need for service providers to offer personalization. Users’ needs are evolving as usage of services and applications on smartphones is becoming a way of life.
With the decrease in smartphone prices, the adoption of mobile internet within the lower socio-economic segment has increased over the last two years: from 38 per cent in 2013 to 45 per cent in 2015. Three in five smartphone users use mobile broadband in urban India. Mid-size and small cities are showing higher smartphone penetration levels at 33 per cent, as opposed to the smartphone penetration levels of 27 per cent in big non metros and large cities.
At the same time, the proportion of smartphone users above the age of 50 has quadrupled, from one per cent in 2013 to four per cent in 2015. The primary motivation for this increase is the desire to be connected with loved ones in different parts of the country and the world, particularly through emails, chat applications and instant messaging.
Ericsson India vice president and head of strategy and marketing Ajay Gupta says, “The Internet is finally coming of age and is empowering cross sections of Indian society. Though the most used smartphone services in India are for social networking and instant messaging, the usage of banking, e-commerce, navigation and cloud storage apps and services is increasing. It is for this reason we are seeing uptake and digital transformation of many industries like retail, transportation, and banking.”
Users face differing mobile data issues depending upon location. Connection quality and reliability problems have a higher tendency to occur indoors, while session failures and poor app accessibility are problems faced by outdoor smartphone users. Sixty-three per cent of users report that they face quality and reliability issues, such as lost connections and inconsistent network speeds, when using mobile networks indoors. App-related issues while outdoors or commuting, such lengthy lag times, apps taking a long time to refresh, maps failing to load, and session failures affect 68 per cent of consumers. Such problems are more common in mid-size and small towns compared to large cities.
For those consumers in India who do not use mobile broadband, affordability and digital literacy are the prime obstacles to adoption. While 88 per cent of Indian consumers on 2G feel that mobile broadband is too expensive, 53 per cent feel that mobile broadband adds no value and as many as 48 per cent believe there is no difference between 2G and 3G speeds.
Mobile Internet usage is expected to grow with the consumers’ better understanding of the data plans on offer. As per the study, only 10 per cent of mobile Internet users feel they understand their plan perfectly, and are able to make an accurate judgment when deciding on a plan.
Gupta says, “When consumers are confident in their understanding of what is offered, they tend to perceive better value from it. In fact, they consume twice as much data compared to users who find it difficult to understand their plan.”
“Understanding the main aspects that are valued by customers can help service providers differentiate their offerings and improve consumer experience which would help increase consumer loyalty. Personalization is being positively viewed and increasingly demanded by consumers,” he adds.
Gaming
India’s new online gaming rules take effect today, banning money games and creating a regulator
The rules, in force from today, separate e-sports from gambling and impose jail terms and stiff fines on violators
NEW DELHI: India’s online gaming sector woke up this morning to a new reality. The Promotion and Regulation of Online Gaming Rules, 2026, came into force today, May 1st, turning a year of legislative intent into enforceable law. The message from New Delhi is blunt: e-sports and social games are welcome; online money games are not.
The rules operationalise the Promotion and Regulation of Online Gaming (PROG) Act, passed by Parliament in August 2025. Together, they represent the most sweeping regulatory intervention India has made in its booming digital gaming market, one that generated Rs 23,200 crore in 2024 and is projected to grow at a compound annual rate of 11 per cent to reach Rs 31,600 crore by 2027. The stakes, in every sense, could not be higher.
A sector out of control
The urgency behind the legislation is not hard to find. An estimated 45 crore Indians have been affected by online money gaming platforms, with losses exceeding Rs 20,000 crore. Addiction, financial ruin, money laundering, and suicides have all been linked to the sector. Seventy-seven per cent of the market’s revenues came from transaction-based games, a figure that made regulators deeply uneasy.
The government’s response, effective as of today, is categorical. Online money games, whether based on chance, skill, or any mix of the two, are banned outright. So is their advertising, promotion, and facilitation. Banks and payment processors are barred from handling related transactions. Unlawful platforms can be blocked under the Information
Technology Act, 2000.
The penalties are designed to sting. Offering or facilitating online money games can attract up to three years in jail and a fine of up to Rs 1 crore, or both. Repeat offenders face a minimum of three years, extendable to five, with fines between Rs 1 crore and Rs 2 crore. Advertising such games carries up to two years in prison and fines of up to Rs 50 lakh, with repeat violations attracting higher penalties still. Cyber cell officers at state and union territory levels, including at police station, district, and commissionerate levels, are empowered to investigate offences.
The new sheriff in town
At the centre of the new framework sits the Online Gaming Authority of India, a digital-first regulator constituted as an attached office of the Ministry of Electronics and Information Technology, headquartered in Delhi. It is chaired by the additional secretary of MeitY and includes joint secretary-level representation from home affairs, finance, information and broadcasting, youth affairs and sports, and law and justice, a deliberately multi-sectoral design built for a complex sector.
The authority’s powers are broad. It will maintain and publish lists of online money games, investigate complaints, issue directions, orders, and codes of practice, hear appeals on user grievances, and coordinate with financial institutions and law enforcement to ensure effective and timely action.
Its decisions on game classification are to be completed within 90 days, a time-bound commitment that industry players have welcomed after years of regulatory ambiguity. Classification can be triggered by the authority acting on its own initiative, by an application from a service provider, or by a notification from the central government. Games will be assessed on objective factors: whether stakes are involved, whether players expect monetary winnings, the revenue model, and whether in-game assets can be monetised outside the game. The outcome is recorded in a determination order specific to the game and provider.
E-sports gets its moment
While the crackdown on money gaming dominates today’s headlines, the rules also carve out a structured path for e-sports and online social games. Registration, required when notified by the central government, applies to all games offered as e-sports and is based on factors including risk to users, scale, financial transactions, and country of origin. A successful application yields a digital certificate of registration with a unique number, valid for up to ten years. Service providers must display registration details, designate a point of contact, comply with data retention requirements, and follow directions on facilitating payments.
Online money games are explicitly ineligible for recognition or registration as e-sports under the National Sports Governance Act, 2025. The separation is deliberate, and the industry has noticed.
Akshat Rathee, co-founder and managing director of NODWIN Gaming, called today’s operationalisation “encouraging,” pointing to publisher-led registration of esports titles and a time-bound determination process as creating “much-needed certainty for all stakeholders.” He added that the “continued emphasis on clearly separating esports from online money gaming is critical in preserving the integrity of competitive gaming as a skill-driven discipline.” He described it as “a proud moment to see official acknowledgement of the broader benefits of responsible esports and gaming, from building confidence, discipline, and teamwork to creating new career pathways for young talent,” and said the framework sets “a strong foundation for the ecosystem to scale in a more structured and globally competitive manner.”
Animesh Agarwal, co-founder and chief executive of S8UL, was equally bullish. “This clarity is critical in unlocking investor confidence and attracting multi-genre brands, while also enabling organisations to take a more long-term view, whether in investing in talent, scaling teams, or building globally competitive formats,” he said, adding that it “strengthens trust among audiences and mainstream stakeholders, positioning esports not just as a sport, but as a fast-growing youth entertainment category in India.”
But Agarwal urged caution on several fronts. There remains limited clarity around financial frameworks, particularly in how esports earnings are treated by banks and financial institutions. A well-defined pathway for the formal recognition or registration of esports teams is still evolving, as are structured player protections. He also called for smoother visa processes for esports athletes competing in international tournaments and for government support in developing infrastructure, including bootcamps, training facilities, and access to high-performance equipment across titles.
Vishal Parekh, chief operating officer of CyberPowerPC India, pointed to downstream effects on education and careers. “With formal recognition and policy backing, colleges and institutions are more likely to take the sector seriously, whether through dedicated esports infrastructure, training programmes, or curriculum integration,” he said, adding that this helps students view gaming as a viable career spanning roles across competitive play, content, game development, and allied industries. He noted that as esports gains prominence in global multi-sport events, the framework strengthens India’s position in international competitive gaming, and called on the ecosystem to provide the right infrastructure and access to high-performance hardware to unlock opportunities in talent development and job creation.
Protecting users, one safeguard at a time
The rules introduce a layered system of user protections calibrated to the risk profile of each game. These include age verification, age gating, time restrictions, parental controls, user reporting tools, counselling support, and fair-play and integrity monitoring. Service providers must disclose their safety features and internal grievance mechanisms when applying for determination or registration.
A two-tier grievance redressal system sits atop these safeguards. Users who are dissatisfied with a platform’s resolution can escalate to the authority within 30 days. The authority aims to dispose of such appeals within a further 30 days. A second appeal lies before the secretary of MeitY, who must also endeavour to resolve matters within 30 days. Enforcement proceedings will be conducted in digital mode wherever possible, with cases targeted for resolution within 90 days from receipt of a complaint.
Penalties under the framework are proportionate, taking into account gain from non-compliance, loss to users, the gravity of the offence, and whether violations are recurring. Mitigation efforts by service providers will also be considered when determining penalties. All penalties imposed under the Act will be credited to the Consolidated Fund of India.
The money follows the rules
For investors and founders, the implications are immediate and significant. Sagar Nair, head of incubation at LVL Zero Incubator, a 100-day sprint designed to accelerate early-stage gaming startups across India, argues that with real-money gaming now prohibited, capital will shift “away from transaction-driven models toward content-led, IP-driven, and global-first gaming businesses.” He acknowledged trade-offs: for operators with exposure to real-money formats, the market becomes more restrictive in the near term. But he argued that by clearly separating esports and non-money gaming from online money gaming, “India is positioning itself as a hub for responsible, creative, and scalable game development.” The opportunity, he said, is “to view India not just as a monetisation-first market, but as a talent, IP, and scale market,” adding that “for founders and investors willing to adapt, this shift could ultimately strengthen India’s position in the global gaming landscape.”
The government frames the wider impact in equally ambitious terms: a boost to India’s creative economy and digital exports, new career pathways for young people, protection for families from predatory platforms, and a stronger voice in global digital governance. India, it argues, offers a model for other countries grappling with the same tensions between gaming’s economic promise and its social risks, one that shows innovation and strong safeguards need not be mutually exclusive.
Whether the framework delivers on those promises will depend on enforcement, always the hardest part. But from today, the architecture is firmly in place: a regulator with teeth, a classification system with deadlines, penalties designed to deter, and a clear dividing line between games that build careers and games that destroy finances. For a sector that has grown fast and governed itself loosely, May 1st, 2026 is the day the free ride ends.
