‘Why judgement on online gaming now?’ – Ashneer Grover criticizes GST Council’s decision

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The online gaming industry was dealt a heavy blow yesterday after the GST Council announced 28% tax rate on full face value amount. Entrepreneur Ashneer Grover of Shark Tank fame, who recently stepped into the fantasy sports space with his venture CrickPe, shared his frustration on the development.

Much like others, Grover, through his Tweet, hinted that it is the end of the online gaming industry.

A popular Twitter personality, Gabbar also commented on the matter, saying that the key issue is of inconsistency in policy-making which can potentially destroy businesses and scare away foreign investors.

Adding to Gabbar’s Tweet, Grover said that all the foreign investors in the country will take into account regulatory risks, leading to drying up of funds across the board. He further asked why the government and the public were not angry when cricketers promoted online games.

The decision comes at a crucial juncture when the real money gaming industry was expecting a huge boost. A recently released report by Redseer revealed that the fantasy gaming sector witnessed 24% revenue growth during IPL 2023 as compared to the previous edition.

Talking of CrickPe, Grover’s Third Unicorn launched the fantasy gaming app in March this year, right before the commencement of IPL 2023. The app differentiates itself from other existing ones by incentivizing the player who performs well. Grover also appeared in advertisements for the platform.