India’s gaming industry powers up with surge in digital entertainment

Lea Hogg March 25, 2024

SiGMA news

India’s gaming industry powers up with surge in digital entertainment

India’s gaming industry is experiencing an unprecedented boom, becoming a powerhouse in the global digital entertainment arena. With a staggering user base of 568 million gamers and over 9.5 billion gaming app downloads in 2023, India is not just playing games; it’s setting records.

At the heart of this growth is the mobile-first phenomenon. Mobile gaming accounts for 90 percent of the industry in India, dwarfing the figures of 37 percent and 62 percent in the US and China, respectively. This shift is driven by the widespread availability of affordable smartphones and the increasing penetration of high-speed internet, even in rural areas.

Mobile revolution, monetization and growth

The gaming landscape in India is diversifying. The introduction of vernacular languages and Indian themes in games is tapping into the non-English speaking population, further expanding the market. This inclusivity is not just about language; it’s about reflecting the rich tapestry of Indian culture in the digital world.

It is also worth noting that women constitute approximately 40 percent of the gaming populace in India, showcasing a significant shift from just three years ago when only one in five gamers was a woman. This demographic leans towards casual and hypercasual gaming experiences, indicating a broader acceptance and integration of gaming into daily life. About 20 percent of Indian gamers are paying users, with a preference for pay-to-play, casual, and core games. In-app purchases are projected to grow at a 35 percent CAGR, highlighting the potential for revenue generation within the sector.

As the gaming industry flourishes, Artificial Intelligence (AI) in India is no doubt playing a pivotal role. AI is not only enhancing gaming experiences with smarter, more responsive gameplay but also powering up the development process. Through research and innovation, AI is enabling personalized content, predictive analytics for user behavior, and efficient game testing. India’s gaming industry, powered by AI, is poised for continued growth, transforming the country into a global gaming hub. The fusion of technology, culture, and innovation is creating a digital playground where the possibilities are as limitless as the imagination.