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India’s gaming story is no longer about casual downloads, it’s about scale, sophistication, and global ambition. Indian gaming and interactive media are growing at nearly 1.5x the pace of the broader digital entertainment industry, fueled by mobile-first consumption, rising monetization, and a wave of startup-led innovation. As real-money gaming fades, digital-first titles, esports, and global exports are redefining where value is being created.
Read more: India’s gaming & esports industry in 2026: The biggest opportunity & the biggest challenge
According to the BITKRAFT–Redseer India Report 2025 India’s digital media and entertainment industry, valued at $9.3 billion in FY25, has gaming and interactive media contributing a solid $2.4 billion, roughly a quarter of the total pie. By FY2030, this segment is projected to triple to $7.8 billion, growing at a 26% CAGR, nearly 1.5 times faster than the broader digital entertainment market.
India’s digital gaming market alone is expected to reach $4.3 billion by FY2030, clocking an 18% CAGR. The ban on real-money gaming (RMG) has triggered a notable shift, pushing both investors and gamers toward digital-first titles and esports. Over 500 gaming startups have emerged in just the last five years, signaling an industry in hypergrowth.
In-app purchases (IAPs) are set to outpace ads as the main revenue driver by FY2030, led by mid-core and core gaming experiences. Meanwhile, hybrid casual titles are expanding user bases, while battle royale games dominate monetization.
Mobile gaming reigns supreme, accounting for 80% of the total gaming market. The battle royale genre alone is expected to drive nearly half of all monetization by 2030, with titles like BGMI and Free Fire leading the charge. Meanwhile, simulation games continue to see the highest download volumes, thanks to their accessibility and familiarity.
India now boasts over 500 million gamers — a figure larger than the population of the U.S. and Japan combined. Nearly 26% of them are women, and that number is steadily rising. The median age of the Indian gamer is under 30, making the segment one of the youngest and most dynamic in the world.
Gamers are spending more than ever. Average revenue per paying user (ARPPU) has jumped from $3.5 in 2020 to $27 in 2024. Rewarded ads, battle passes, and seasonal subscriptions are gaining traction, while in-app purchases are projected to triple between 2024 and 2030.
India’s developers are not just catering to domestic players — they’re exporting success. Around 80% of Indian gaming revenue now comes from overseas markets, bolstered by the “Make in India for the World” momentum. Ludo King became the first Indian game to cross 1 billion downloads, setting a precedent for local studios aiming global.
Esports is another major growth engine, expected to jump from $40 million in 2025 to $132 million by FY2030, growing at 26% CAGR. NODWIN Gaming, Upthrust, and Skyesports lead the charge, powered by the rise of mobile-first gamers and brand sponsorships from FMCG, auto, and fintech sectors. Sponsorships form the largest share of revenue at 59%, followed by ads and media rights (18%), entry fees (13%), and merchandise (10%).
India’s digital backbone is strengthening the gaming boom — with 835 million internet users, a median age of 29, and one of the highest global smartphone usage rates (4.5+ hours daily). Nearly half of gamers play to socialize, showing that gaming has become as much about community as competition. Tier 2 and 3 cities now drive 63% of consumption, fueled by affordable smartphones and cheap data.
The 2025 Promotion & Regulation of Online Gaming Act marked a turning point. While it bans real-money gaming, it also legitimizes esports and digital games as skill-based entertainment. The newly formed National Online Gaming Commission is tasked with regulation and consumer protection — a step that industry leaders say will add much-needed clarity and investor confidence.
India is evolving from a consumer market to a creator hub. Local studios are embracing AI-driven development, vernacular storytelling, and culturally rooted IPs — from Ram Mandir Simulator to FAU:G — as they target international audiences. With a young, tech-savvy population and growing creative confidence, India is positioning itself as the world’s next interactive entertainment powerhouse.
Disclaimer: This article is based on a press release and has been published with minimal modifications for clarity and formatting.
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