Building upon the exciting developments from 2023, where the Indian gaming industry embraced new technologies like AI and saw significant interest from global gaming giants like PlayStation and Xbox, AnimationXpress continued exploring the gaming scenario in the country.
During 2024, market analyst Niko Partners reported that the Indian gaming industry projected a five-year CAGR (Compound Annual Growth Rate) of 11.1 per cent to US$1.4 billion by 2028. The report stated that two-thirds of Indian gamers prioritise enjoyment boosting increased spending in video games. Hardcore gamers spend 2.2x more monthly than casual gamers, with female gamers spending 8.5 per cent more than male gamers. The report highlighted that 65.4 per cent of gamers are involved in esports, with hardcore esports players spending 12 per cent more on games than non-esports participants. The report stated that 77.3 per cent of PC gamers reported in Q1 2024 that they spent more on PC games compared to the same period last year.
From expansion, acquisitions and partnerships to major trends and government support, this installment of the yearender will explore all the notable events that impacted the gaming scenario in the country throughout 2024.
Major updates, developments and acquisitions
The gaming scenario in the country witnessed massive acquisitions in 2024, with Nazara Technologies at the forefront. This year, the gaming giant acquired companies like Paper Boat Apps, gaming media house Deltias Gaming, UK-based gaming studio Fusebox Games and an additional 19.35 per cent stake in Sportskeeda’s parent company Absolute Sports.
South Korean gaming giant and BGMI developer Krafton launched its Indian gaming incubator program to foster game development talent in the country by providing funding, mentorships and resources to game developers.
Animation studio 88 Pictures launched its game development division 88Games, and is preparing to launch three major titles developed entirely in India. At IGDC 2024, 88Games showcased its debut title – Kapih.
In July 2024, animation training institutes Toonz Academy and Karma Play Academy jointly announced the launch of their one year course in video game art.
The International Alliance of Theatrical Stage Employees supported the SAG-AFTRA video game workers as they launched a strike against major game companies at Los Angeles, California in USA on 26 July. SAG-AFTRA demanded the need for fair and equitable treatment of video game workers regarding the implementation of AI in their workplaces.
Partnerships, collaborations and expansions
Hyderabad-based game developer Gamitronics brought renowned perfume brand Rasasi into its metaverse PartyNite. The perfume giant acquired virtual real estate within the metaverse, naming it as RasasiWorld. Gamitronics CEO Rajat Ojha said, “The metaverse features a phygital (physical and digital) angle where users can create a fragrance and the same is delivered to the user.”
Casual game developer and publisher Felicity Games partnered with indie studio AbhiTechGames to launch and publish the latter’s two titles namely Warbound and Laser Tanks.
Golden Studios, known for Rage Effect, forged partnerships with PlayStation, Xbox, Samsung, Huawei, and Xiaomi. One of the studio’s significant achievements was receiving a US$1.5 million development grant negotiation with Sony India and Indian esports and fan engagement platform Stan.
Lakshya Digital, which has contributed to some of 2024’s biggest AAA games like Final Fantasy 7 Rebirth, Elden Ring: Shadow of the Erdtree expansion, Palworld and Dragon Age: Veilguard, celebrated 20 years of the studio. Lakshya Digital founder and CEO Manvendra Shukul shared, “For us, a key highlight of 2024 was the addition of our Manila studio, which officially became part of the Lakshya family. We also started offering cinematics creation as a service, a step that reflects our commitment to expanding capabilities and delivering more value to our partners.”
Trends in 2024
We asked some prominent players about the trends that the Indian gaming sector saw this year. Here are some standout observations:
- While mobile gaming remains dominant, there has been promising growth in the PC and console space.
“As the industry continues to expand, we believe more players in India will embrace premium gaming experiences,” said Mad Mantra Games founder Shubham Rajanwar. - Rising innovation and accessibility are driving a transformation.
“Be it through mobile gaming, localised content, or the increasing reach of esports, the growing alignment between innovation and accessibility excites me the most,” shared Nazara Technologies CEO Nitish Mittersain. “While the Indian gaming industry witnessed remarkable growth, hybrid-casual games gained prominence for their blend of accessibility and depth,” added Felicity Games founder Anurag Choudhary. - There was a rise in competitive gaming.
“Esports saw increased participation, especially in tier-2 and tier-3 cities,” said Goldon Studios founder and CEO Karn Saxena. - There is an influx of significant investments, leading to hiring, which stands in stark contrast to the global landscape.
Highlighted Ojha, “Major investors taking India seriously is fantastic news. It’s especially encouraging to see Anuj [Tandon] leading Bitkraft’s efforts in this market—I’m confident it will push boundaries even further. It’s also great to see companies like Sony, Meta, Microsoft, and others showing genuine interest in India.” Added JetSynthesys chairman and MD Rajan Navani, “Rising investor confidence and strategic collaborations, enabling Indian companies to not only build games but also scale them to global audiences.” - 2024 saw a mix of favourable policies, technological advancements, and a burgeoning culture of innovation.
“Initiatives like the removal of Angel Tax hurdles and increased government support through platforms such as the AVGC Summit and Startup Mahakumbh are laying a strong foundation for growth,” noted Navani. - Emerging technologies like AR/VR will shape the gaming landscape in the country.
“Firstly, the widespread adoption of AI and immersive technologies like AR/VR will not just elevate the quality of gaming experiences but also create new opportunities in areas like education, fitness, and community building,” said Mittersain. - With an increasing awareness on gaming and esports as worthwhile career options for youngsters, there was a sharp focus on talent development.
“Educational institutions and industry players are now working to create specialised programs, certifications, and hands-on opportunities in game design, development, and esports management. This will ensure a robust pipeline of skilled professionals ready to meet the demands of a rapidly growing industry,” revealed Navani. - Independent developers chased after creating a large scale AAA game as their debut project.
Ojha commented, “It’s concerning to see how many people are attempting to make that big AAA game right out of the gate. I believe there’s a need for cautionary tales.”
Government support for the gaming sector
The year 2024 brought in support from the Indian government for the AVGC-XR industry. The government took notice of the effort and creativity that the industry put in and extended a hand to boost its momentum.
- Karnataka chief minister Siddaramaiah inaugurated Bengaluru GAFX, an annual conference that focuses on the gaming, animation and VFX industries.
- During March 2024, Krafton signed a Memorandum of Understanding (MoU) with the Government of Gujarat and sports infrastructure company TransStadia Technologies which was focused on growing the technology, gaming and esports ecosystem in Gujarat.
- A fun highlight from the year was when prime minister Narendra Modi held a gaming session with content creators and gamers like Payal Dhare (PayalGaming) and Animesh Agarwal (8Bit_Thug).
- The Union Cabinet chaired by Modi approved the establishment of the National Centre of Excellence (NCoE) for AVGC-XR industries as a Section 8 company.
- Telangana’s AVGC association TVAGA (Telangana VFX, Animation and Gaming Association) partnered with the state government to establish Telangana Skill University – School of Animation, Visual Effects, Gaming and Comics.
- Nazara Technologies signed an MoU with the Telangana government to establish an AI Centre of Excellence (COE).
- The state of Goa established Goa AVGC-XR association in collaboration with Info Tech corporation of Goa chairman Dr Chandrakant Shetye and FICCI AVGC-XR forum chairman Ashish Kulkarni.
2024 was a busy year for the AVGC-XR industry indeed, as everyone looks forward to an even more eventful 2025 for the creative arts industry.
This was the first of our two-part series of the Gaming Yearender 2024. You can read the second part after the jump: Gaming Yearender ’24: Tech innovations, major challenges and way forward