India’s game market could grow from $3.8B to $9.2B by 2029 | Lumikai

India’s gaming market is set to explode in the coming years, according to a new report by Lumikai. The report, titled “India’s Gaming Revolution: Sizing the Opportunity,” predicts that the market will grow from $3.8 billion in 2022 to $9.2 billion by 2029, at a compound annual growth rate (CAGR) of 15.7%. This growth will be driven by a number of factors, including the increasing adoption of smartphones, the rise of esports, and the growing popularity of mobile games.

The report also highlights the potential of India’s gaming market to become a global powerhouse. The country already has the world’s second-largest internet user base and is home to a large and growing population of young gamers.

“This growth will be fuelled by the rapid rise in smartphone penetration, the increasing popularity of mobile gaming and the emerging esports ecosystem, further accentuated by growing engagement across multiple platforms, including casual, core, hypercasual, and metaverse games,” Lumikai said in its report.

With the smartphone user base growing at a steady pace, and affordable internet access, the Indian gaming market is witnessing an unprecedented surge in its active users.

India’s gaming market is currently dominated by mobile games. In 2022, mobile games accounted for 90% of all game revenue. This is due to the fact that mobile games are more accessible and affordable than console or PC games.

However, the console and PC gaming markets are also expected to grow in the coming years. This is driven by the growing availability of affordable gaming PCs and consoles and the increasing popularity of esports.

“India’s gaming market is experiencing a seismic shift, transitioning from casual gaming to more complex and immersive experiences, and it’s happening in all three key areas – casual gaming, core gaming, and esports,” said Nikhil Chandwani, Managing Partner at Lumikai. “It is now positioned to be a global player with strong home-grown companies like Krafton, NODWIN Gaming and Rooter, to name a few, and leading international players establishing deep roots in the country, all of them striving to reach and connect with a global audience.”

Here are some of the key findings of the Lumikai report:

* The Indian gaming market is expected to grow from $3.8 billion in 2022 to $9.2 billion by 2029.
* Mobile games will continue to dominate the Indian gaming market, accounting for 90% of all game revenue in 2022.
* The console and PC gaming markets are expected to grow in the coming years, driven by the growing availability of affordable gaming PCs and consoles and the increasing popularity of esports.
* The rise of esports is another major growth driver for the Indian gaming market. The esports market in India is expected to reach $2 billion by 2025.

The Lumikai report concludes that India’s gaming market has immense potential to become a global leader. With a strong ecosystem of game developers, publishers, and esports organizations, India is well-positioned to capitalize on the global growth of the gaming industry.

The report is a comprehensive overview of the Indian gaming market and its future prospects. It provides valuable insights for anyone interested in the gaming industry, including investors, developers, and publishers.

Here are some of the reasons why the Indian gaming market is poised for such tremendous growth:

• **Rising Smartphone Penetration:** With an increasing number of Indians owning smartphones and access to cheap and affordable data, the mobile gaming sector is experiencing an exponential rise. This has made it incredibly convenient for Indians to engage in casual and competitive mobile gaming.
• **Growing Population of Young Gamers:** India has a young population with a keen interest in gaming. This, coupled with rising disposable income and internet penetration, provides an excellent foundation for gaming businesses to flourish in the long term.
• **Esports Boom:** The rise of esports is further propelling the growth of the gaming market in India. With professional gamers competing for recognition and lucrative prize pools, esports has attracted a huge fan following and further encouraged the adoption of gaming by the young population.
• **Attractive Market for Investments:** The strong growth potential of the Indian gaming market has caught the eye of investors. Several domestic and international companies are pumping money into the market, fuelling its rapid expansion.
• **Favourable Government Policies:** The Indian government has also taken steps to support the growth of the gaming industry. The recent regulations to make gaming licenses easier to obtain are expected to lead to more game development and publishing activities in India.

Despite the positive outlook, there are some challenges that the Indian gaming market faces.

These include:

• **Lack of Infrastructure:** While India boasts a large mobile user base, internet penetration in rural areas is still not optimal, which may hinder the growth of online gaming. There is also a need to improve infrastructure to accommodate the increasing demands of esports.
• **Regulatory Uncertainties:** Although recent policies have been encouraging, regulatory uncertainties around gaming and advertising, especially in relation to the online gambling market, may deter some players and investments.
• **Talent Acquisition:** As the market expands, finding qualified and skilled talent, especially in areas like game development and esports, may become a significant challenge.

Despite these challenges, the Indian gaming market has the potential to become a global powerhouse. By overcoming the challenges and building a robust gaming ecosystem, India can capitalize on the growing global demand for games and entertainment.

The report by Lumikai offers a detailed analysis of the Indian gaming market and its future prospects. It is an invaluable resource for anyone who wants to understand the potential of this exciting market.