Online Gaming in India Expected to Reach CAGR of 47% by End of Fiscal Year 2022
A report from investment bank Maple Capital Advisors has stated the Indian online gaming market is growing at a compound annual growth rate (CAGR) of 22% with a growth of 41% annually predicted.
The rise in digital infrastructure, smartphone use, and growth in quality and variety of engaging gaming content are put forward as three reasons behind this rapid expansion.
Other major findings in the report include:
- By 2024, the gaming industry in India is set to be worth US$3.75 billion.
- India's online gaming industry has attracted $350 million in investments from venture capital firms between 2014-2020.
- India is the second-largest market worldwide for app downloads.
- Fantasy sports operators have increased by seven-fold from 2016-2018, whereas the number of users has grown by over 25 times from June 2016 to February 2019.
- Mobile gaming has an 85% share of online gaming in India.
- As of December 2019, there were over 400 gaming start-ups in India and more than half a billion smartphone users.
As we have previously reported, the coronavirus lockdown saw visits to online gaming websites and apps rise by 24% and engagement (playing time) rose by 21% between the weeks of February 10-16, 2020 and March 16-22, 2020, according to Maple Capital analysis.
Platforms such as Games2Win, WinZo Games, Hitwicket, Gamerji and Rummy recorded a tremendous increase in daily users base as well as time spent. But fantasy sports apps suffered a dip in revenue and engagement due to the lack of live sport.
