Online Gaming Bill: Cricket industry's revenue could be hit due to proposed ban on real money gaming
The 'Promotion and Regulation of Online Gaming Bill 2025' threatens real money gaming platforms, potentially impacting sports sponsorships, especially in cricket. While the bill aims to regulate the burgeoning online gaming industry, it distinguishes between esports and real money gaming, favoring the former. The proposed legislation could lead to decreased revenue for fantasy gaming companies and affect player endorsements.
Representational image The 'Promotion and Regulation of Online Gaming Bill 2025', which was introduced in the Lok Sabha on Wednesday, could spell the end of "real money gaming platforms", that have stakes in the sponsorship market of Indian sports, most significantly cricket. The contents of the bill, which aims to regulate one of the fastest growing industries, is music to the ears for the Esports fraternity in the country. But the multi-billion dollar fantasy gaming industry comprising companies that have spent big money in sponsorship of cricket might see a marked dip in their revenues. And as a chain reaction, it could also affect the sports sponsorship market, including individual players' sponsorship and franchise-based domestic leagues of disciplines like kabaddi and football. The Online gaming regulation bill looks to create a regulatory body that will look after four diverse segments -- Esports, educational gaming, social and casual gaming and real money gaming.
Of these, there will be restrictions on online money games, states the document which is in possession of PTI. As per "PROHIBITIONS" clause: "No person shall offer, aid, abet, induce or otherwise indulge or engage in the offering of online money game and online money gaming service. "No bank, financial institution, or any other person facilitating financial transactions or authorisation of funds shall engage in, permit, aid, abet, induce or otherwise facilitate any transaction or authorisation of funds towards payment for any online money gaming service." The "OFFENCES AND PENALTIES" clause clearly terms real money gaming as a criminal offence which could lead to jail and humongous fine for the service provider. Clause 9. (1) reads "Any person who offers online money gaming service in contravention of section 5 shall be punished with imprisonment for a term which may extend to three years or with fine which may extend to one crore rupees or with both. Clause 9. (2) reads: "Any person who makes or causes to make advertisement in any media, in contravention of section 6, shall be punished with imprisonment for a term which may extend to two years or with fine which may extend to fifty lakh rupees or with both. The government makes it clear that real money gaming is leading to a lot of social problems and it needs some kind of regulation. "....the parallel proliferation of online money games accessible through mobile phones, computers and the internet, and offering monetary returns against user deposits has led to serious social, financial, psychological and public health harms, particularly among young individuals and economically disadvantaged groups; "...such games often use manipulative design features, addictive algorithms, bots and undisclosed agents, undermining fairness, transparency and user protection, while promoting compulsive behaviour leading to financial ruin." Implications of the Bill =============== Cricket is one sport which has seen a huge influx of real money gaming with Indian team's title sponsor being Dream 11. My11Circle is the official fantasy sports partner of the money-spinning Indian Premier League.
Dream11 brought the Indian team's title rights for about USD 44 million (Rs 358 crore approx). My11Circle brought IPL fantasy gaming rights for a fee of Rs 625 crore for five years (Rs 125 crore approx annually). Add to this the country's top cricketers -- former as well as current -- have hefty personal endorsement deals with various real money gaming platforms. Noted sports lawyer Vidushpat Singhania, who has a deep understanding of the subject, explained the consequences in a nutshell. "Cricket is huge in India and there won't be any dearth of sponsors for Indian cricket and its properties. However, personal sponsorship market can shrink because of this bill. "Also fan engagement will be affected," Singhania told PTI. He, however, explained that fantasy games can still run a subscription based model. "There will be a subscription fee and say you pay Rs 100 for a gaming app and test your skills in fantasy gaming. But real money gaming which is paying and earning money, that is prohibited as per this bill." The gigantic revenue stream of all these fantasy gaming apps will certainly diminish due to the ban and hence money flowing back into the sport will decrease markedly. Joy for Esports Market ============== Esports made its debut at the Hangzhou Asian Games in 2023 and the International Olympic Committee will be conducting its first Esport Olympics in Riyadh in 2027. Sharing his thoughts on this development, Akshat Rathee, Co-founder and Managing Director of NODWIN Gaming, says, "The government's intent to recognise and promote esports, as highlighted in the recent bill, is an encouraging step towards building a structured and globally competitive ecosystem. "However, for this vision to truly materialise, it is critical that the terminology used in the bill, particularly the distinctions between esports, online gaming, online social gaming, and online money gaming be clearly defined and uniformly understood."
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Hindustan Times
a few seconds ago
- Hindustan Times
12,000 trains to be operated in Bihar during Diwali, Chhath: Ashwini Vaishnaw
Railway Minister Ashwini Vaishnaw on Wednesday announced that 12,000 trains will be operated for Bihar on the occasion of Diwali and Chhath festivals. This announcement comes after he held discussions with the Bihar NDA leaders. The railways minister said that a Vande Bharat train will be started between Purnia and Patna.(Santosh Kumar/Hindustan Times) Four Amrit Bharat trains will be launched to connect Delhi and Gaya, Saharsa to Amritsar, Chhapra to Delhi and Muzaffarpur to Hyderabad, the railway minister said, adding that a Vande Bharat train will be started between Purnia and Patna. "It was decided that 12,000 special trains will be run for the upcoming Diwali and Chhath festivals. 12,000 special trains so that passengers do not face any kind of inconvenience on these two big festivals... Those who will travel between 13th and 26th October and return between 17th November and 1st December will be given confirmed tickets, and a 20% discount will be given on the return journey. This experiment is also being done during this festival season," Vaishnaw said. In a post on X, Vaishnaw said that a special Buddha Circuit Train will be launched from Vaishali to Koderma, connecting key heritage destinations related to Lord Buddha. Earlier today, Vaishnaw said that the Promotion and Regulation of Online Gaming Bill, passed by the Lok Sabha, is a significant bill aimed at regulating online gaming, recognising its growing importance in the digital sector."The bill identifies three segments within online gaming," the minister told reporters after the passage of the Bill in the Lok Sabha. The Minister said that E-sports are rapidly gaining prominence and will receive legal recognition. Online social games, which are played without monetary stakes are also to be promoted for family and friendly interaction. "Online money games, which have become a major societal concern due to addiction and financial losses, leading to extreme cases, including suicides," the minister said. The World Health Organization has classified this as a public health issue termed "online gaming disorder", the minister said.
News18
a few seconds ago
- News18
Journalism will remain alive only by struggle for truth: MP CM Yadav
Agency: Bhopal, Aug 20 (PTI) Madhya Pradesh Chief Minister Mohan Yadav said on Wednesday the richness of journalism will remain alive only by struggle for the truth and called upon budding scribes to always be alert, active and aspire for moral values and preserve the democratic system. Drawing on the Ramayana and Mahabharata periods, he noted communication has always played an important role in history. Yadav was addressing the commencement of 2025-26 session of the Makhanlal Chaturvedi National Journalism University and a programme for its new students, 'Abhyudaya 2025', here. The chief minister said, 'The richness of journalism will remain alive only through struggle for the truth. 'Journalism is a form of communication and this art has been of special importance in every era. Whether it is the dialogue of Hanuman ji in the Ramayana or the Yaksha Prashna of the Mahabharata period, communication in both areas played an important role in history," he noted. Yaksha Prashna is a key episode from the Mahabharata, where a divine being, Yaksha, poses a series of philosophical questions to Yudhishthira, the eldest of the five Pandava brothers. The CM opined that communication and journalism have the ability to give a broad or subtle form to the impact of any event. 'In the present era and in the time to come, it is important for students, who are becoming proficient in journalism, to always remain alert, active and ready to maintain moral values, and also strive for the betterment of the democratic system through information and communication," Yadav averred. The chief minister observed 'Abhyudaya' in the field of journalism does not mean just beginning, but a journey of continuous awareness, search for the truth and responsibility that gives a new direction to society. He said in the field of journalism, the Makhanlal Chaturvedi Journalism University has a unique identity in the entire country. It is a matter of pride that legendary poet and writer Makhanlal Chaturvedi was born in Babai Nagar of Madhya Pradesh and he made Khandwa his 'karmabhoomi' (place of work), the CM stated. Speaking on the occasion, noted poet Kumar Vishwas said history has shown the younger generation has always struggled for the betterment of the country. He said students should have clarity regarding their goals and give top priority to neutrality and honesty. Referring to the crisis of media credibility in the era of social media, Vishwas insisted young journalists must work in the print segment for at least three years to acquire proficiency in their chosen language and hone news writing skills. Earlier, Chief Minister Yadav unveiled a statue of Chaturvedi installed in the university campus and also planted a sapling. PTI MAS RSY view comments First Published: August 21, 2025, 00:00 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy. Loading comments...
The Hindu
a few seconds ago
- The Hindu
Telangana's next-gen Life Sciences policy to help attract large scale investments
Industries and IT Minister Babu on Wednesday said the next-gen Life Sciences policy that the Telangana government plans to soon unveil will be instrumental in attracting large scale investments. It will be a cutting-edge framework designed to attract large scale investments,' he said, adding that the State is pursuing an ambitious target to scale up its life sciences economy to $250 billion by 2030 and make Telangana the life sciences capital of Asia. The State's life sciences ecosystem is valued at $80 billion and it is the only region in the world to host more than 250 U.S. Food and Drug Administration (USFDA)-approved sites. Telangana is home to over 2,000 companies operating in the Life Sciences domain, Babu said, chairing the 6th board meeting of Telangana Life Sciences Foundation here. ₹54,000 cr. investment The life sciences sector in Telangana has witnessed remarkable growth under the leadership of Chief Minister Reddy. Since December 2023, the State has attracted investments worth ₹54,000 crore in the sector, in the process positioning Hyderabad as a global leader in life sciences. The investments have been across pharmaceuticals, biotechnology, cell and gene therapy, medical devices, vaccines and digital health. Hyderabad now ranks among the world's top seven life sciences clusters and it is the only Indian city to achieve this distinction. Global giants such as Eli Lilly, Amgen, MSD, Zoetis, Evernorth and Olympus have chosen Hyderabad as their preferred hub, he said. The progress made in the last year reflects our strategic commitment to creating a future-ready, knowledge-driven ecosystem. Two lakh jobs Robust policy support, industry-friendly infrastructure and strategic partnerships are factors behind attracting the investments that will result in potential employment generation of more than 2 lakh jobs by companies in areas such as sterile injectables, biosimilars, biologics, AI/ML and advanced healthcare services. The Minister also proposed preparing a feasibility report for establishing the Telangana School of Life Sciences. Board members of the foundation, including Dr. Reddy's Laboratories chairman Satish Reddy, Laurus Labs CEO Satyanarayana Chava, Special Chief Secretary Sanjay Kumar, Telangana Industrial Infrastructure Corporation vice-chairman and managing director and Telangana Lifesciences CEO Shakthi M. Nagappan participated in the meeting, the Minister's office said in a release.
