Gaming Industry in India is Booming
The gaming industry in India has seen significant growth in recent years. It is driven by several factors such as:
- Increasing smartphone and internet penetration,
- the rise of esports, and
- the popularity of mobile gaming.
According to a report by FICCI and EY, the Indian gaming industry is expected to grow at a CAGR of 32% between 2020 and 2025. It can reach a market size of INR 187 billion (approximately USD 2.5 billion) by 2025.
Key Drivers
One of the key drivers of the gaming industry in India is the increasing adoption of smartphones and internet connectivity. According to a report by the Telecom Regulatory Authority of India (TRAI), the number of internet subscribers in India reached 743.19 million by the end of March 2021, up from 718.74 million in December 2020. This growing internet connectivity has led to an increase in the number of gamers in India, with mobile gaming being the most popular form of gaming in the country.
Mobile Gaming
Mobile gaming is expected to continue driving growth in the Indian gaming industry. According to the FICCI-EY report, the mobile gaming segment is expected to grow at a CAGR of 40% between 2020 and 2025, reaching a market size of INR 132 billion (approximately USD 1.8 billion) by 2025. This growth is driven by several factors such as the increasing popularity of smartphones, the availability of affordable data plans, and the growing demand for localized content.
The demand for localized content is particularly significant in India, where players often prefer games that are adapted to Indian culture and preferences. This has led to the rise of game developers and publishers that specialize in creating games for the Indian market. For example, Mumbai-based game development company, Nazara Technologies, has become one of the leading players in the Indian gaming industry by focusing on developing games that cater to Indian audiences.
In addition to mobile gaming, other segments of the gaming industry in India are also expected to see growth. For example, the FICCI-EY report notes that the PC gaming segment is expected to grow at a CAGR of 20% between 2020 and 2025, reaching a market size of INR 19.4 billion (approximately USD 260 million) by 2025. Console gaming is also expected to see growth, driven by the increasing availability of affordable gaming consoles such as the Sony PlayStation and Microsoft Xbox.
Other Factors
Another significant factor driving growth in the gaming industry in India is the rise of esports. Esports refers to the professional competitive gaming industry, where players compete against each other in organized tournaments and leagues. Esports has become increasingly popular in India, with major tournaments such as the Indian Premier League (IPL) drawing millions of viewers and offering significant prize money.
The FICCI-EY report notes that the esports segment in India is expected to grow at a CAGR of 34% between 2020 and 2025, reaching a market size of INR 11 billion (approximately USD 150 million) by 2025. This growth is driven by several factors such as the increasing popularity of multiplayer games, the rise of online streaming platforms such as Twitch and YouTube, and the growing interest from investors and sponsors.
SUMMARY
Overall, the gaming industry in India is poised for significant growth in the coming years, driven by increasing internet connectivity, the popularity of mobile gaming, the demand for localized content, and the rise of esports. This growth is expected to create new opportunities for game developers, publishers, and other players in the industry. It is also expected to have a significant impact on the Indian economy
