The Indian fantasy sports and gambling market has been rising at a phenomenal pace. There is an increasingly digital-savvy, young population, with cheap data packs and smartphones in almost every hand, which has overhauled the manner in which games are played. Real-money gaming is no longer the exception – it is now mainstream entertainment. Experts put the value of India's online gaming industry at almost three billion dollars last year, and projections are that it could hit a high of six billion by 2033. Alongside this surge, interest in new titles like the Aviator game in India shows just how quickly the gaming culture is evolving.
Sports betting is an even more important piece of the equation. Cricket drives most of the action, but football and kabaddi have a very loyal following too. The total market for gambling last year was nearly seven billion dollars and will be more than sixteen billion by 2033. That kind of steady 7–8% annual growth suggests the sector is just scratching the surface of what can be done. With over 600 million users of smartphones and convenient payment options like UPI and e-wallets, digital platforms are as accessible as it has ever been.
Demographics clarify the narrative. An overwhelming proportion of players are below the age of 40. Players in the age group of 25 to 40 make nearly 60% of fantasy sports consumers. Region-wise, use is scattered on the map, though North India stands out with approximately 40% of overall fantasy sports usage — a testament to the game's country-wide popularity.
Market Segments and What Drives Them
India's gambling culture is not homogeneous. It operates across a spectrum of types of play:
- Sports betting – The largest category. Cricket is most dominant, but football and kabaddi are rising. Fantasy platforms have poured fuel on this fire, engaging more people into the realm of sports-betting.
- Internet gambling and poker – Offshore casinos are legally allowed only in states like Goa and Sikkim. Yet online poker, rummy, and slots are going insidiously nationwide, typically under the "games of skill" exception.
- Lotteries – State lotteries remain hugely popular, and their transition online is pushing them outside traditional agents.
- Fantasy sports – Sites like Dream11, founded around cricket leagues like the IPL, have revolutionized the way fans interact with the game. Dream11 itself has over 150 million registered users, and fantasy cricket is now part of mainstream culture.
The force is coming from a variety of angles. Middle-class earnings are increasing, so more money available for leisure. Low-cost smartphones and inexpensive data enable millions to log in to betting and fantasy sites at all hours. Payment mechanisms such as UPI and digital wallets provide instant deposit and withdrawal.
There is also a cultural factor. Gambling references appear in ancient texts like the Mahabharata, and games like playing rummy or cards on Diwali have a sense of tradition to them. This cultural familiarity gives online versions like rummy and fantasy cricket an acceptability they might not otherwise possess.
The Regulatory Picture
Indian gaming legislation is complex, and opportunity as well as risk. The central federal law is the aging Public Gambling Act, which leaves much discretion in the hands of states to make their own policy.
Goa, Sikkim, and Nagaland legalized certain forms, such as casinos or online poker, by approving licensing schemes. Sikkim even experimented with a controlled online gambling system.
Most states, however, have level prohibitions. But games of "skill" — a category courts occasionally resort to in defending rummy, poker, and fantasy sports — usually slip through. That loophole has kept fantasy sports alive in much of the country.
Since there is no federal statute regulating online wagering, foreign bookmaking websites and unlicensed sites filled the gap, targeting Indian players with minimal regulation. That deregulated growth raised alarm.
Recent events include several states attempting to prohibit online rummy and fantasy sports on addiction grounds. Tamil Nadu and Andhra Pradesh have taken this route. In the meanwhile, the Supreme Court is hearing a case that might force a national response to illegal betting apps and determine the role of fantasy games.
Yet another drastic change came about when the central government slapped a 28% GST on online gaming entry fees. Trade bodies warn that the high tax would throttle growth. Operators are already recalibrating their models, and most are waiting to observe how the market reacts in the next couple of years.
Even in the midst of the chaos, there is a feeling that new laws and a systematized licensing system could stem the illegal operators and yield higher tax revenues. The majority of experts expect India to end up following more transparent rules as the industry matures.
Looking Ahead
India's fantasy sports and gaming industry is at a crossroads. If the regulators provide clarity of purpose, the next decade can see hockey-stick growth. Projections show that the whole gambling business can reach about $8.6 billion this year and go beyond $16 billion by 2033. Fantasy sports can see growth at nearly 20% per annum and reach almost five billion dollars by 2030.
It will be fueled by technology in the future — think AI-driven personalization, or AR/VR game experiences that enhance the sense of presence. Engagement from the audience is already so advanced. Fantasy sports users, for example, view up to 80% more sports-related content than non-users, proving how such platforms boost fan engagement.
Regulation will be the determining factor. The federal online gambling law may legalize the industry, encourage increased investment, and bring it into the mainstream. Stringent limits or brutal taxes, however, could put the brakes on.
For certain, the coming years will experience a tug and push between innovation and control. But the broader trend is in one direction: the mainstreaming of internet betting and fantasy sports as an integral part of Indian entertainment.
