Game Over? India’s $3.6B Mobile Gaming Dream Crashes as Real-Money Ban Hits Industry

India’s mobile gaming industry is facing a seismic shift following the passage of the Promotion and Regulation of Online Gaming Bill, 2025, which bans all forms of real-money online games—regardless of whether they are skill-based or chance-based.

Apps like Dream11, PokerBaazi, Mobile Premier League (MPL), Zupee, and Gameskraft have suspended all money-based contests.

The law prohibits ads, promotions, and financial transactions related to RMGs. Banks, influencers, and even app stores like Google Play and Apple may face penalties for non-compliance.

What the Ban Covers

• Real-money games (RMGs): Apps like Dream11, PokerBaazi, MPL, Zupee, and Gameskraft have suspended all money-based contests.
• Advertising & Payments: The law prohibits ads, promotions, and financial transactions related to RMGs. Banks, influencers, and app stores may face penalties.
• Penalties: Up to ₹1 crore in fines and 3 years imprisonment for offering RMGs; ₹50 lakh and 2 years jail for promoting them.

Industry Impact

• The sector, once projected to reach $3.6 billion by 2029, is now in turmoil.
• Nazara Technologies saw its stock plunge 17% in three days.
• Dream11 ($8B) and MPL ($2.3B) are reassessing their business models.

Legal Pushback

• Gaming firms plan to challenge the ban in the Supreme Court.
• Arguments include lack of consultation, misclassification of skill-based games, and threat to investor-backed growth.

What’s Next for Gaming in India?

• Pivot to in-app purchases (IAPs) and ad-supported casual games.
• Focus on e-sports and subscription-based social games without wagering.

Industry Projections: Before vs After Ban

Metric	Before Ban	After Ban
Projected Market Size (2029)	$3.6 Billion	$1.2–1.5 Billion (est.)
Top Revenue Model	Real-Money Contests	In-App Purchases & Ads
Investor Sentiment	High (VC-backed growth)	Uncertain (legal risks)
Job Creation	40,000+ by 2027	Likely to shrink