According to a new report from venture capital firm Sequoia and management consulting company BCG, mobile gaming revenue will reach $5bn in 2025.
India.- A report entitled “India’s $5bn market opportunity” from venture capital firm Sequoia Capital and management consulting firm BCG has suggested that the Indian mobile gaming industry will see revenue increase from $1.5bn in 2020 to $5bn in 2025.
According to the report, 80 per cent of the $1.5bn generated by mobile games last year came from in-app purchases and real money gaming (RMG). There are currently more than 300 million gamers in the country, and revenue from all gaming was up 500 per cent from 2016 to 2020.
The report also reveals the Covid-19 pandemic accelerated gaming adoption dramatically in the last year. Nearly 90 per cent of the country’s gamers play only on their smartphones. China and the United States are still larger markets, but the Indian gaming industry is growing faster at a compound annual growth rate (CAGR) of 38 per cent.
In July, PwC launched a report etitled “Entertainment & Media Outlook 2021‑2025” that said video games and esports revenue reached INR 11,250 crores in 2020 and will hit INR 24,212 crores in 2025.
In June, Maple Capital Advisors’ report “Indian Gaming – At an inflexion point” analysed the growth of the online gambling sector in India during the Covid-19 pandemic. The report revealed that investments in the online gambling sector passed US$500m in the period, exceeding what was invested in the previous five years.
According to analysts, India, which has over 15 per cent of global gaming traffic, is strongly positioned as a gaming market and is increasing of interest to global majors.