India’s E-Gaming Market: A Digital Playground Set to Explode

The Indian e-gaming market is on the rise, and it’s no longer just a casual hobby for a small group of enthusiasts. In fact, the Indian e-gaming market is set to experience a whopping 25.37% CAGR during the forecast period from FY2024 to FY2031, growing from USD 1.71 billion in FY2023 to a massive USD 10.44 billion by 2031. This surge is being driven by an expanding digital landscape, fueled by increasing internet penetration, smartphone adoption, and the country's rapidly growing youth demographic. The impact of affordable data plans and the development of broadband infrastructure has brought in gaming industry opportunities in Tier-II cities, further transforming e-gaming from a niche activity to a mainstream entertainment medium.

In fact, it’s safe to say that every second internet user in India is now a gamer, and every third online transaction involves a paying gamer. This statistical evidence underscores just how deeply ingrained gaming has become in India’s digital ecosystem. With a variety of platforms available, including mobile phones, PCs, and consoles, India has firmly established itself as a prominent player in the global gaming industry. But what exactly is driving this growth, and where is the e-gaming market headed?

A Glimpse into the Future

The gaming landscape in India is undergoing a transformative phase with a variety of elements like technology innovation, gamification, animation, and the Internet of Things (IoT). With a special emphasis on skill development and promoting India’s “Make in India” initiative, the country is focused on creating a talented pool of game developers. This is critical for increasing cost-competitiveness and expanding the reach of India’s gaming ecosystem on a global scale.

Moreover, the investments in India’s gaming sector is actively attracting investments, leading to the rise of indigenous game studios. It is because of these studios, there is a rise of culturally relevant Indian games which is resonating with Indian audiences. As digital infrastructure continues to improve and mobile gaming becomes more accessible, India’s gaming market is poised for even greater expansion, presenting exciting opportunities for both domestic and international stakeholders.

A Growing Influence of Brands and Startups

One of the key drivers behind the rapid growth of India’s e-gaming market is the brand engagement through gaming platforms and innovative gaming content monetization strategies. The rise of digital payments in gaming apps, combined with in-app brand ADs and other creative advertising solutions, has made gaming an attractive avenue for brands looking to engage with young, tech-savvy consumers. Companies like United Colors of Benetton (UCB) and Toyota have jumped on the e-gaming bandwagon, using games as platforms to market their products and engage with audiences in new ways.

A notable example of this trend is Toyota’s e-Motorsport event, the TOYOTA GAZOO Racing GT Cup, held in December 2023. The event, hosted on Gran Turismo, allowed gamers to race with Toyota sports cars and was live-streamed across platforms like Twitch, Facebook, YouTube, and Twitter. This event successfully engaged the Asian audience, especially the gaming community, and further illustrates how brands are capitalizing on the potential of the e-gaming market.

In the startup game culture, India is also witnessing the rise of successful e-gaming and some Indian gaming startups to watch are Mobile Premier League (MPL), Dream Sports, and Games 24 Seven. In addition, Nazara Technologies became the first listed gaming company in India. The growth of these companies has provided a substantial boost to the Indian gaming ecosystem, creating opportunities for game developers, content creators, and investors alike.

Inclusivity: A New Era for Women in E-Gaming

India’s gaming market is also seeing a significant shift towards greater inclusivity, particularly with the increasing participation of women in e-gaming. While India's gaming market is evolving at an extraordinary pace, there’s one critical gap that needs to be addressed—women’s representation in the gaming workforce. Although 44% of gamers in India are women, they make up only 12-14% of the industry’s workforce. This imbalance is something that needs immediate attention, and it starts with rethinking how women are represented in leadership, development, and creation roles.

As Sharmilee Daru, founder and CEO of 4WD Gaming, aptly puts it, “Women in leadership roles in India isn’t just possible, it’s imminent—just like our international counterparts.” But this shift will not happen by chance; it requires a strong, active pipeline. So, what can stakeholders—developers, organizations, and governments—do to bring about this much-needed transformation?

The Disconnect: Women Are Here, But Not Leading

It’s crucial to understand as to how women are changing gaming in India.  While India boasts an impressive number of women gamers—44% of the total gaming population—this representation does not translate into leadership roles. The gaming industry globally has historically been male-dominated, with the focus primarily on design and development for a male audience. This narrow scope misses the opportunity to create a truly inclusive gaming platforms for women and diverse environment that is reflective of the Indian gaming audience behavior trends

In contrast, international markets have proven the potential of building with women in mind. Japan and Korea’s otome-genre games, specifically designed for women, are projected to generate $8.9 billion by 2030, nearly doubling in the next five years. Similarly, platforms like Pinterest and apps like Meitu have thrived by catering to female audiences, driving billions in revenue. However, when it comes to India, this opportunity for growth hasn’t fully been tapped into. As mobile gaming alone is expected to grow from $3.02 billion in 2024 to $11 billion by 2033, the need female leadership in Indian gaming, becomes all the more urgent.

The Changing Landscape: Women's Rising Influence in Gaming

There is no question that India’s gaming landscape is rapidly changing, and women are playing an increasingly important role in that transformation. As mobile gaming continues to dominate the market, and as more women dive into competitive and casual gaming, there is a palpable shift in the culture.

Interestingly, 43% of India's 500 million gamers are first-time earners, and 66% of women gamers come from non-metro regions. This democratization of gaming is not just a matter of access but also empowerment. Gaming is no longer just a male-dominated activity—it’s a skill-driven gamer lifestyle where women are actively participating, creating, and influencing the narrative.

Yet, the reality is that most gaming platforms and interactive media still feel like they were designed for men. This is where the next breakthrough in gaming lies. The industry must understand that the engagement patterns of women are different—it's not about dopamine-driven conquest mechanics but about connection, community, and care. Behavioral science tells us that women respond to "tend-and-befriend" experiences that release serotonin and oxytocin, rather than just dopamine. This insight could be the key to unlocking the next wave of successful gaming products—ones that cater to the actual needs of the diverse player base.

Mobile Gaming: The Dominant Force in India

It should come as no surprise that mobile gaming is the dominant platform in India’s e-gaming market. In FY2022, India saw an astonishing 15 billion app downloads, securing a 17% share of the global market. Growth of Mobile gaming in India is even more pronounced, with the platform accounting for a staggering 96.8% of India’s gaming companies market share.

Mobile gaming’s rise can be attributed to several factors, including the affordability of smartphones, the availability of a wide range of games (including many free-to-play titles), and the cost-effectiveness of mobile devices compared to PCs or consoles. One of the most popular mobile games in India, PUBG Mobile, became a cultural phenomenon, particularly among millennials and Gen-Z gamers. The game's success further solidifies mobile gaming as the dominant force in India's gaming sector.

What Lies Ahead? The Future of E-Gaming in India

Looking ahead, the future of India’s e-gaming market is brimming with opportunities. As Gen-Z influence on Indian gaming continues to drive market growth, mobile gaming will remain the backbone of the industry. However, impact of AR and VR on Indian gaming industry is poised to revolutionize the gaming experience, offering even more immersive and interactive environments for players.

E-sports, too, is expected to experience rapid growth, with professional gaming tournaments and leagues capturing the attention of audiences across the country. The increasing involvement of mainstream media, coupled with the future of cloud gaming services, will help further elevate e-sports to the mainstream. Additionally, social interaction, personalized gaming experiences, and innovative monetization strategies will continue to shape the future of e-gaming in India.

The integration of blockchain technologies and an increased focus on community-building will also create a more secure, reliable, and engaging environment for players. As the market continues to expand, India will remain at the forefront of global gaming, offering a dynamic and diverse ecosystem that caters to players, developers, and brands alike.

Conclusion

India’s e-gaming market is on a fast track to becoming one of the largest and most influential in the world. With a combination of a rapidly growing gaming population, the increasing participation of women and Gen-Z, and the rise of mobile gaming, the country is positioning itself as a major player in the global gaming industry. The future is bright for India’s e-gaming ecosystem, with a robust pipeline of technological innovations, business opportunities, and an ever-expanding community of passionate gamers. Whether you're a player, a developer, or a brand, the Indian e-gaming market is an arena to watch closely.

At Markets & Data, we specialize in providing innovative solutions that help businesses and women game creators make their mark in the ever-expanding gaming ecosystem. Download the report today to delve deep into challenges for women in game development, digital marketing to community building and brand strategies, or connect with our experts for a customised designed report to elevate your presence in the industry.