A23 files first challenge to India’s igaming ban
Indian gaming platform A23 has filed the first legal challenge against the government’s recent ban on online money-based games, marking the opening battle over a law that has caused major gambling companies to shut down their operations and raised uncertainty across the industry.
A23’s petition, filed in the Karnataka High Court in southwestern India, asserts that the ban unfairly criminalises legitimate businesses and threatens the viability of companies with millions of users.
The ban, announced last week by Prime Minister Narendra Modi’s government, bans online games involving money. Officials have argued the restrictions are necessary to curb addiction and other social harms, extending the country’s tight controls on gambling.
However, the industry has argued that many affected products, including rummy and poker, are games of skill, not chance, and should not be subject to new law.
The restrictions have forced leading platforms Dream11 and Mobile Premier League to halt their money contests, though neither is pursuing legal action. Dream11 has said the ban has wiped out most of its revenues, while MPL is shifting focus to free-to-play formats.
India’s igaming market was projected to reach US$9.1 billion by 2029, backed by global investors including Tiger Global and Peak XV Partners. The outcome of A23’s challenge will likely set the tone for how far regulators will go in reshaping one of India’s fastest-growing digital industries.
Dig deeper
Verticals:
Sectors:
Topics:
