Fantasy Sports is changing the gaming genre in India
2 min read
The gaming industry in India is on the cusp of change. The Indian gaming landscape has thrown open a plethora of opportunities to developers for building games for local players. From DLF, a real estate company in 2008 to Vivo, a mobile manufacturer from 2016-2019 sponsorships of the popular cricket league, IPL, has undergone a change over the past years. The recent backout by Vivo and the entry of the fantasy sports platform – Dream11, is proof of the paradigm shift.
Fantasy sports market –
A surge in the user base of fantasy sports platform has been witnessed from 20 lakh in June’16 to an enormous 90 million in December’19. It is expected to cross the 100 million mark by end of 2020. Gross revenue of online fantasy sports operators saw a huge jump of Rs 1,480 crore. This itself is an eye-catching leap of ~161% in an FY. As per reports, the industry will be setting the benchmark at $3.7 Billion in value by end of 2024. Currently, this segment is showing a compounded annual growth rate (CAGR) of 32%.
The gaming industry in India –
India is home to 1/10th of the world’s gaming population and has the 2nd largest smartphone userbase in the world! After the cost of data slid down to 1/4th, consumer demand for mobile content swelled. The annual revenue of mobile gaming is estimated to cross $1 Billion by 2021; making India’s mobile game market the fastest-growing in the world in terms of revenue.
This segment is on a path of unprecedented growth and success.
Currently, India boasts of 222 million gamers. They spend an average of 42 minutes per day on mobile games! The number of game development companies in India has increased manifold. They have grown 11 times over the past decade and have reached 275 in 2020.
Easy availability of the internet and slashed rates of smartphones have led to the overwhelming penetration and an ever-growing user base for the online sports platforms. The traction is followed by criticism. The fantasy sports platforms are held for allegedly promoting ‘online betting and gambling’. However, the Courts have dismissed such claims by terming them as ‘game of skill and not chance’. In India, 80% of the users play for free while only 20% engage in the pay-to-play format.
There are great content and enough talent. However, India lacks focus on creating intellectual property (IP). Will this be a major roadblock in India’s gaming industry future?
