According to market research and consultancy firm Niko Partners, the 2022 ban on Battlegrounds Mobile India (BGMI) may have a negative effect on the growth of the Indian gaming business in 2023.
One of the well-known battle royale games, BGMI by South Korean developer Krafton, was banned in India in July of this year due to alleged safety and privacy concerns. Niko Partners predicts that the ban will cause the growth of the Indian gaming market in 2023 to be less than anticipated.
Despite the ban, the PC and mobile gaming market is set to double in terms of player count by 2026. The numbers are expected to be at 630 million in 2026 up from 396.4 million in 2022. With BGMI, the numbers could have been much higher.
The current spending by gamers is expected to be $704.5 million by the end of 2022 and by 2026 it is predicted to be $1.4 billion. While the real money gaming sector is not included in the report by Niko Partners, it is also expected to grab billions in revenue by 2026.
The report also reveals that gamers in India spend around five hours weekly playing games. With India having one of the lowest costs of accessing the internet in the world it helps in boosting the gaming community. Currently, India is the fastest growing market in Asia when it comes to number of gamers and revenue. It has the second-highest total number of gamers after China.
The reports adds that more than 98% of the gamers in India play games on their phones, as compared to PCs and consoles due to cost reasons. With the gaming industry booming, many foreign investors are also interested in investing in the Indian gaming sector.
This progressive rise in player count can also help in creating a large number of jobs in the industry with a recent report by staffing company TeamLease Digital stating that 1 lakh new jobs can be created by the end of FY23.