From online Rummy to fantasy sports to multiplayer games, iGaming is a sector with rapidly growing popularity. Though there is ambiguity in the legal landscape, the industry has navigated this with ease. Add to this, the most popular component of the iGaming Industry are online card games.
A 2024 statistic reflected that the Indian online Rummy industry stood at an estimated 1.4 billion USD. Further, this is expected to grow and reach 170 billion USD by 2030. To add, the online poker market will likely grow with a 16.9% CAGR by 2030.
The changes in technology, consumer response, and the legal landscape has eased the way for the iGaming platforms. Allowing them to offer the experience of being a part of live events to their users, technology is the biggest driver for this sector.
Factors Driving Growth
The Indian iGaming industry is flourishing due to the below reasons:
1. Developments in Technology
With better graphics, interface, and AR/VR, gaming has become a more immersive experience for users. Further, AI and ML provides a personalized experience with player profiles, tutorials, gameplay, and more.
2. Increasing smartphone and internet penetration
Today, over 52% of Indians have internet access. This has led to an increase in the number of visitors on the online gaming platforms.
3. Growth of digital payment systems
The online payment landscape in India has grown by miles. With tokenization of payment processes, online transactions are far safer. Further, the use of blockchain adds a layer of safety to online payment systems.
4. Shift in gaming culture and acceptance of online gaming
Both online Rummy and poker are recognised as games of skill by the Supreme Court. This offers legal protection to the operators in the form of exemption from laws such as the Public Gambling Act of 1867.
Popular iGaming Segments in India
The top sectors associated with iGaming in India are:
1. Fantasy sports
These are usually a replica of live games like football, cricket, and others. Participants can make a team with their favourite players and compete. Usually, these are played with tokens, which act as the reward for winning.
2. Online card games (Rummy, Poker, Teen Patti)
Online Rummy with its multiple versions is quickly gaining hold of the Indian online gaming market. This is closely followed by online Poker. Made popular by their offline versions, online Rummy and poker are a draw for both beginners and pros. These games of skill require an analytical mind that can develop quick strategies for a win.
3. E-sports and casual gaming
Either single or multiplayer games, these are available both on consoles as well as on handheld devices. Instead of choosing players and forming a team, players directly have to compete against each other. Players can either opt for free games or ones that involve tokens based on their preference.
Regulatory Landscape
A recent judgement by the Allahabad High Court has reiterated the fact that online gaming involving online Rummy, poker, fantasy sports, etcetera are completely legal. The main reason stated was that online games are games of skill. Thus, there is no reason to bar online Rummy and fantasy gaming platforms from operating.
Currently, the entire Indian online gaming landscape at the national level falls under the ambit of the Public Gambling Act 1867. While this act does place restrictions on transactional games of chance, it does not have any mention of fantasy sports, online Rummy, online poker, or others.
At the regional level the following states do not allow iGaming:
- Assam: The Assam Game & Betting Act, 1970
- Telangana: Telangana State Gaming (Amendment)
- Odisha: Odisha (Prevention of) Gambling Act, 1955
- Gujarat: Ordinance and High Court Judgment in Gujarat, 2017
- Andhra Pradesh: Andhra Pradesh Gaming (Amendment) Act, 1974
However, some states such as West Bengal and Karnataka have allowed iGaming. Further, in some states like Sikkim and Nagaland operators have to seek permission in the form of a gaming license to operate.
Though iGaming is a subject of the state list, very few states have explicit laws to regulate them. Thus, the ruling of the Supreme Court allowing operators to offer online Rummy, and other options, stands true in the country.
Technological Advancements
This can be understood in the below terms:
1. AI and machine learning in gaming platforms
With AI being incorporated, the platform becomes more interactive. Further, this opens a new level of personalised interfaces, custom suggestions, interactive tutorials, just to name a few. Further, by tracking each player profile, the platform can also keep a check on suspicious behaviour. This, in turn, will boost user security.
2. Better Graphics and User Experience with AR/VR
Platforms with AR/VR offer a life-like experience. Thus, players get to experience the thrill of being at a live game from the comfort of their homes.
To add, better graphics can be a draw for gamers, making them choose one platform over the other.
3. Cloud gaming and 5G’s impact
Cloud gaming allows real time access to online gaming portals without any need for downloads, no matter your physical location. When this receives the benefits of fast internet connectivity with 5G, the experience becomes seamless. Thus, being able to join live games from anywhere increases the client traffic.
Economic Contributions of the Online Gaming Market
In 2023, the Indian Online Gaming Sector was valued at 16,428 crore INR. Prior to this, a contribution of 2000 crore INR (2020-21) was made by the Online Gaming Sector to the Public Exchequer. Further, a TDS amount of 1080 crore INR was generated from 2023-24.
One notable statistic is that the online gaming industry grew with 28% CAGR between 2020 to 2023. Further, projections show that the industry has the potential to rise to 33243 crore INR by 2028 (CAGR of 15%).
To add, just the iGaming market is targeted to grow 4.94% in revenue from 2025-29. The current user penetration of the iGaming Market in India is a low 1.5% (2025). However, with the vast population, this accounts for a large number of users. Further, estimates say that this figure will reach 25.6 million users by 2029.
Challenges in the Market
Laws related to iGaming are ambiguous in nature. The prime reason is the large number of sports that fall under the ambit of iGaming. These include but are not limited to online Rummy, poker, card games, live player games, fantasy sports, and more.
While the Indian government places restrictions on monetary transactions, there is nothing in the laws that stop platforms from facilitating a game of skill. The legal recognition of online Rummy and poker as a game of skill has been a step in the direction of growth.
However, to keep their operations smooth, the iGaming platforms need to stay appraised of the legal norms. Thus, these platforms need to keep track of all changing legal norms.
To Conclude: Future of India’s iGaming Industry
With the growing number of users and market popularity, the iGaming industry is on the rise. Whether it is online Rummy, poker, fantasy sports, or multiplayer games, AR/VR plug-ins and AI provides a personalized experience.
Further, increased internet penetration has opened up the industry to more clients. To add, legal recognition as Games of Skill, has paved the way for the credibility of these platforms.
With better interfaces, immersive gaming experience, and more, various players can try their hand at iGaming for a rewarding experience.
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