India’s gaming industry is poised for significant expansion, with revenue projected to reach $4.5 billion by 2025 and employment opportunities expected to grow to 250,000 jobs, according to a survey by the All India Game Developers Forum (AIGDF). The report highlights a total of $2.78 billion in investments between FY20 and FY24 YTD, reflecting the sector’s rapid growth and increasing global relevance.
The global video gaming market, valued at $199.74 billion in 2022, is projected to grow to $307.19 billion by 2029 at a compound annual growth rate of 6.3 percent. India is emerging as a key player in this expansion, with the domestic gaming sector expected to triple in value to $3.9 billion by 2025.
The report notes that game development is no longer limited to metro cities, with Tier-2 hubs such as Ahmedabad, Kochi, Surat, and Rajkot witnessing growth due to lower operational costs and a rising pool of skilled professionals. Developers are increasingly integrating AI, blockchain, and immersive technologies to remain competitive in the global market.
Industry experts highlight the sector’s potential but also point to several challenges. Many developers are calling for greater access to venture capital and government-backed funding to help studios scale. Regulatory uncertainties related to intellectual property rights, data protection, and monetisation models remain concerns. Additionally, a shortage of specialised talent in areas such as backend development and game engineering is proving to be a barrier to sustained growth. Despite these hurdles, the survey underscores optimism within the industry. Experts suggest that with the right policy support, international partnerships, and investment in skilling programs, India’s gaming sector could establish itself as a global leader in the coming years.