In 2025, the country’s games market generated $1.04 billion in revenue for the first time, exceeding the $1 billion mark, with 14.8% year-on-year growth. The growth was driven largely by increased spending on mobile games, as well as broader digital adoption and rising disposable incomes among certain consumer segments.
The Indian gaming market crossed a major revenue milestone last year, it is reportedly.
Gaming revenue in India is expected to reach nearly $1.2 billion in 2026 and grow to $1.77 billion in 2030, indicating a five-year CAGR of 11.2%, according to a report by Niko Partners. The number of players is also expected to rise from 511 million in 2025 to over 550 million in 2026 and over 700 million by 2030. India is home to 511 million active players in 2025, the report claims. Female participation has also increased from 43% of players in 2023 to 49% in 2026. Average revenue per user (ARPU) reached $2.04 in 2025 and is expected to increase to $2.52 by 2030. In June 2026, 62.8% of mobile game revenue was from non-battle royale mobile titles, up from 53.2% in June 2023. The report found that 84.6% of Indian players have used UPI-based payment methods, compared with 31.5% who have used credit cards. The report also found that 31.5% of Indian players prefer purchasing in-game content outside traditional app stores.
Its findings indicate that players “are becoming more cautious about how AI is being used by both developers and players.” Despite the size of the player base, monetisation remains in its early stages. The report attributes the rise in gaming revenue mainly to increased spending on mobile games, supported by wider digital adoption and rising disposable incomes among certain consumer segments. The report found that Indian players are increasingly exploring genres outside of battle royale and casual games on mobile, PC and console platforms. User-generated content platforms are also gaining attention among younger players. Games and platforms such as Roblox and Minecraft have seen increased popularity, while roleplay content based on *Grand Theft Auto* has also become popular on livestreaming platforms. The report also points to increased engagement with legacy PC titles and growing participation in esports as trends that could influence India’s gaming market over the coming years. Payment behaviour is another factor shaping India’s gaming market. These purchases include web stores, third-party stores and top-up cards. As per the report, Indian players’ attitudes toward generative AI are shifting.
The firm identified economic concerns, particularly those surrounding AI’s impact on employment, as a key factor behind the change in sentiment. The report predicts that government support, rising esports participation, broader genre preferences and opportunities to target specialised player segments will shape India’s games market over the next five years. Get the latest technology news and updates. Download the TOI App.