Journey Through Triumph: Unveiling India’s Gaming Industry Achievements

SUMMARY

The gaming landscape in India surged dramatically in 2024, with a 20% increase in revenue

By FY29, the industry is anticipated to exceed $9.2 Bn, achieving a compound annual growth rate (CAGR) of 20%

Indian gamers are more engaged than ever, averaging 13 hours per week—a 30% rise from the previous year

In 2024, the emerging media market surged, transforming into a $12.5 Bn powerhouse. Fueled by both systemic advancements and user ambitions, the gaming sector accounted for 30% of the new media market revenues, reaching $3.8 Bn, and became its fastest-growing segment in FY24.

As demographics evolved, regulations adapted, and revenue records were broken, the gaming industry reshaped its reputation from a mere leisure activity to a genuine economic sector. Here’s a reflection on the past year and a glimpse into what lies ahead.

Record Revenue Achievements

The Indian gaming landscape saw remarkable growth over the last year, with a 20% increase in revenue. In-app purchases, the sector’s most rapidly expanding segment, soared by 41%. By FY29, the industry is expected to surpass $9.2 Bn, with a compound annual growth rate (CAGR) of 20%.

This rapid expansion has roots in infrastructural drivers such as increased smartphone adoption, cost-effective data services, and localized payment systems. With 25% of gamers engaging in in-game purchases, the paying user base ballooned to 148 Mn in FY24.

Annual ARPPU (Average Revenue Per Paying User) rose to $22—a 15% increase from FY23—signifying the growing sophistication and spending tendencies of Indian gamers. Increased ad revenues and a willingness to invest in premium experiences indicate that India’s gaming ecosystem isn’t merely expanding—it’s advancing.

The New Gamer: Evolving Demographics

The Indian interactive media and gaming scene is experiencing a significant transformation. Women now make up 44% of gamers, showing a heightened interest in casual and mobile games. Furthermore, the gaming community has transcended urban boundaries. Two-thirds of gamers come from non-metro areas, broadening the medium’s appeal.

Young adults, particularly first-time earners, are inclined to invest in premium gaming experiences. This demographic shift heralds a new chapter for Indian gaming, characterized by inclusivity and accessibility. This redefinition of the user landscape underscores the effectiveness of technology as a powerful equalizer.

User Engagement At An All-Time High

Indian gamers are more engaged than ever, averaging 13 hours a week—a 30% increase from the last year. Popular titles like Battlegrounds Mobile India (BGMI) and Free Fire Max dominate the gaming scene, providing immersive environments that have evolved into digital playgrounds.

Casual and hyper-casual games are not lagging behind either; their in-app purchase (IAP) earnings grew by 10% this year, even as global ad-spend declines left advertising revenues remarkably stable. Notably, INR 29 has become the favored entry point for first-time payers, reducing the barriers to monetization and attracting millions of new users. These trends have established gaming as an integral part of Indian entertainment, influencing how individuals spend their leisure time.

Rise of Mid-Core Games

Mid-core games witnessed a phenomenal 53% growth in IAP revenues, surpassing both casual and hyper-casual games. Titles like Clash of Clans spearhead this trend, offering demanding gameplay and engaging narratives. This evolution caters to the maturing preferences of Indian gamers, who now seek depth and strategy in their gaming experiences, as evidenced by the mid-core and hardcore sectors’ CAGR of 44%.

This transition extends beyond gameplay; it encompasses economic factors. Higher ARPPUs denote players’ readiness to pay for premium experiences and competitive advantages. With global gaming giants eyeing the Indian landscape, mid-core games are expected to remain a key revenue source for the foreseeable future.

Global Investor Assurance

Despite global economic volatility, India’s gaming sector has consistently attracted investors, drawing in $400 Mn this year alone, and totaling $4.8 Bn since 2020. The reasons are clear: the nation’s substantial, diverse audience and untapped market potential offer a persuasive argument for investment.

Investors—both domestic and international—are allocating resources toward mid-core game development and esports infrastructure, betting on India’s capability to ascend to the global forefront. This influx demonstrates a strong belief in the sector’s scalability, innovative capacity, and long-term profitability.

Forecasts for 2025

With an addition of 23 Mn new gamers to India’s 591 Mn gaming demographic in FY24 alone, the industry continues on an upward trajectory. Supporting this, a recent USISPF report forecasts that India’s interactive entertainment sector is set to grow to $60 Bn by 2034, generating over 2 million jobs. Coupled with the government deeming gaming as a “sunrise” sector, this amplifies global interest in India’s evolving interactive media and gaming market.

Casual and hyper-casual sectors will maintain robust performance due to their accessibility, while mid-core games are poised for ongoing dominance. Esports, now recognized as an official sport, will continue to flourish in 2025, highlighted by India hosting the WAVES Summit in February 2025 and the founding of AVGC Centres of Excellence.

Gaming will also be utilized by brands to engage younger demographics and will further embed itself in popular culture. These trends foresee a bright future where India consolidates its standing as a global gaming leader, with the sector anticipated to exceed $9.2 Bn by FY29.