By Sagar V. Mankar India’s gaming market is on a rapid growth trajectory, projected to surge from $3.7 billion in FY2024 to an estimated $9.8 billion by FY2029, at a steady 20% annual rate.
This forecast, as revealed in a report by the tech-driven market intelligence firm 1Lattice, highlights the significant potential within the industry.
The report identifies mid-core and hardcore gaming segments as primary drivers of this growth. These segments are expected to grow by 47 percent annually over the next five years, reaching 42 percent of the market share by FY29.
Praneet Singhal, Director of Technology and Internet at 1Lattice, expressed optimism about India’s evolving position in the global gaming arena, stating,
“As India establishes its presence in the global gaming landscape, there are significant opportunities for growth. The evolving dynamics of the sector present a promising outlook for continued development.”
He further encouraged stakeholders to explore ways to engage with this emerging market to maximize benefits.
A variety of factors are propelling this growth, including widespread smartphone adoption, enhanced internet access, and a young, tech-savvy population eager to embrace digital entertainment.
Currently, India boasts a sizable online audience, with 950 million active internet users, over 820 million smartphone users, and approximately 560 million gamers.
The government is also supporting this growth with initiatives like the National Centre of Excellence in Mumbai, which promotes innovation and skill-building in new technologies. Other institutional efforts, such as the AVGC Task Force and recognizing Esports as an official sport, show the government’s dedication to the sector. Investments from companies like Nazara Technologies are further boosting the gaming industry’s value chain, the report said.
Furthermore, the United States-India Strategic Partnership Forum (USISPF) also reported strong potential for India’s online gaming industry, valued at $3.1 billion now but with the possibility to reach $60 billion by 2034. Foreign investment plays a big role, with the U.S. contributing $1.7 billion of the $2.5 billion in foreign investments in India’s gaming market, the report added.