India’s Skill Gaming Industry: The Rise
India is emerging to become one of the gaming powerhouses of the world. According to industry estimations, India has over 400 gaming organizations and around 420 million online gamers. Currently, the gaming sector is growing at a 38% annual rate. India’s skill gaming industry is expected to reach $3.9 billion in value by 2025. The total number of gamers is predicted to exceed 450 million by the year 2023. In terms of online gamers, India ranks second after China.
This extraordinary growth has been fueled by the combined efforts of the gaming industry’s ecosystem, which includes gamers of all ages, game developers, investors, and marketers working together to create the most cutting-edge games, concepts, and offers for players.
As a result, a large target audience, more players and potential consumers, and continued market expansion have far-reaching repercussions for many firms in the gaming ecosystem.
Relevant read: Online Gambling Market in India and Its Future
The gaming business nowadays is expanding in India at a quick speed, thanks to the utilization of innovative technology fueled by a youthful and tech-savvy populace, affordability and accessibility of smartphones, wider Internet penetration, and general technological advancement. The move has additionally spurred the growth of game-centric internet businesses that often offer many games to be played on one single web page.
As it overlaps with multiple businesses, gaming platforms are now turning into digital social platforms where players may meet, talk, watch live-streamed events, listen to music, and make purchases, catering to a broader audience and diverse player needs and spreading its reach. Furthermore, the impact of online gaming is no longer restricted to gamers. Today, it includes blockbuster movie series, arena-based tournaments, toys, and other products.
Investors are particularly optimistic about indigenous online gaming enterprises, encouraging the online gaming industry to continue its uninterrupted run to record a winning score.
What is skill gaming?
Skill gaming refers to pay-to-play online games that require some skill, such as fantasy sports like cricket betting in Dream 11, 1Xbet, and many more. Then there are casual games and card games like rummy or poker.
A game of skill is any game, contest, or amusement in which the outcome is determined by the judgment, skill, talent, or physical aptitude of the contestant rather than by chance. The key distinction between skill contests and games of chance can have serious legal ramifications for operators. Because jurisdictions interpret this distinction differently, it is critical to understand how these activities are characterized in the relevant marketplaces.
As its popularity among the general public grows, the Indian gaming business is leveraging the latest technology, software, better connectivity, devices, and the like to make it even more widely available.
For example, vernacular material and localized gaming interfaces are making online gaming popular even in the country’s tier-two and tier-three cities.
As gaming companies mature, so will the demand for professional workers in the industry. It’s safe to state that the business, which spans mobile, PC, web, and gaming, will create numerous prospects for a booming job market.
What are the prospects of the skill gaming sectors?
Those looking to break into this brisk business will find many chances since firms are actively seeking personnel with the necessary abilities as well as a passion for gaming.
From a professional standpoint, online skill gaming is separated into two major categories. The first is game developers, which are the companies that generate the games. Having a solid educational background can increase your chances of finding work. Some of the many employment choices available after earning the appropriate degree include game designer, game developer, game tester, animator, graphic artist, and audio engineer.
On the other hand, gamers are in charge of taking games and turning them into entertainment through engagement, participation and viewing via streaming. Streaming, which is still in its dormancy in India, is a type of online video broadcast that is aired on specialized platforms where you play games and entertain your audience.
For many people, streaming has become a full-time career, with them making a comfortable six-figure salary monthly simply by engaging their viewers on a daily basis. Your play style or smart humor can help you establish an audience. Brands pay these streamers to promote and advertise their products on their channels, making it a profitable career option.
One of the main reasons for the increase in the number of streamers in the country watching is that more people are becoming aware of it, whether through intriguing formats, gamer’s live streaming, influencers, or the advent of platforms offering a variety of skillful online games.
What are the current skill gaming trends?
- Higher engagement with better features: Increased focus on familiar content and visual and voice features are helping onboard new gamers and driving higher engagement.
- India is emerging as a global talent hub: Gaming companies’ talent pool has grown tenfold over the last decade.
- Influencers who are essential: Influencer-driven user-generated content, live streaming, and the small but rapidly increasing INR 7.7 billion (electronic sports) e-sports market are all driving gaming uptake and engagement.
- New advancements are piquing the curiosity of both users and investors: investors are actively changing the gaming market in India. According to reports, the first quarter of 2021 received around 33% of overall gaming funding.
What are the factors hindering the growth of the skill gaming industry?
A lack of proper regulation is one important reason that continues to hamper the sector’s expansion. In India, the business has been quite fragile in terms of revenue creation due to a lack of policies to steer it, in contrast to other nations such as the UK, which has rigorous gaming policies and regulatory authorities.
Indeed, in some locations, skill gaming is still sometimes confused with online gambling, which is why it is frowned upon by many. But once you know about the legality of gambling that does not prohibit gambling, it doesn’t matter if they’re skill or chance games; as long as they’re played online on offshore websites, anyone can play them.
How is the online skill gaming industry regulated?
Industry experts and high courts around the country have begun to highlight the shortcomings of the laws, urging the government to set regulatory standards.
Among online skill gaming enterprises, the esports component has been more vociferous, demanding specific certification of the legality of their service. All India Gaming Federation (AIGF), Federation of Indian Fantasy Sports (FIFS), and eSports League (ESL) firms are highlighting that skill-based games are permitted.
Experts are baffled as to how the government misses out on tax revenue and license revenues that could be produced by regulation while also impeding the growth of skilled gaming enterprises. While adopting regulatory standards will encourage responsible gambling, the prospect of tax revenue and job creation should be sufficient to persuade authorities to fill the hole.
Because the business has grown rapidly thus far, the next phase of expansion relies heavily on a well-defined regulatory framework.
To ensure that Indian startups stay in India and do not migrate to countries such as the United States, United Kingdom, Ireland, United Arab Emirates, and Singapore, which offer favorable policies and ecosystems that encourage investment, the government must take a progressive step toward effectively regulating this sector, which is currently governed by antiquated views and laws.
The new legislation would encourage gaming platforms to consider teaching players about responsible gaming, including self-checks and self-exclusion, and so on.