India Bans $23B Real-Money Gaming Industry

India has enacted the Promotion and Regulation of Online Gaming Act, 2025, banning real-money gaming, including skill-based games like fantasy cricket and gambling-style titles, with penalties of up to three years imprisonment and hefty fines. This move aims to address concerns over financial losses and mental health issues linked to such games, though critics argue it may push users toward unregulated offshore platforms and harm innovation in the gaming sector. Major platforms such as Dream11, MPL, and PokerBaazi have suspended real-money gaming services in compliance, with Dream11 also pulling out as the Indian cricket team's main sponsor, signaling significant impacts on sports advertising and sponsorships. The ban is expected to cause a temporary slump in India's advertising industry, particularly in sports, with estimated short-term ad spend losses of ₹500-600 crore and potential long-term impacts reaching ₹18,000-20,000 crore. Industry experts note that while marquee events like the IPL might not see major declines, some sports properties will experience revenue losses, and other sectors like e-commerce may fill the advertising void. The government asserts the law balances opportunities and safeguards for players, though some view it as a heavy-handed regulatory approach that could stifle the growing gaming ecosystem.