In a landmark decision, the Indian government has officially acknowledged electronic sports (esports) as a part of multi-sports events and placed it under the purview of the Union Ministry of Youth Affairs and Sports. This move underscores the enormous significance of esports, putting it on equal footing with traditional offline spectacular sports. Notably, this recognition comes at a time when esports enjoys global acclaim, with its inclusion in prestigious events like the Commonwealth Games and the Asian Games. As a testament to its growing influence, the International Olympic Committee has slated the inaugural Olympic Esports Week for 2023. It is a different matter that the legitimacy of esports as a true sporting competition remains in question.
In the light of the broad-basing of esports, The Pioneer’s Tanisha Saxena delves into various aspects of the global phenomenon with inputs from snatches of conversations with players, software developers, and gaming organizations, providing an overview of this dynamic industry.
Esports, once considered a niche interest, has rapidly emerged as a global phenomenon, captivating audiences and players alike with its adrenaline-pumping competitions and multimillion-dollar prize pools. Indians, known for their passion for traditional sports like cricket and hockey, are now primed to ride the global esports wave, going by the rising popularity of multiplayer competitions transcending borders.
Technology and youth culture
With the proliferation of high-speed internet, affordable smartphones, and the advent of streaming platforms like Twitch and YouTube Gaming, Indian youth are getting involved in the immersive world of competitive gaming. Esports provides an enticing avenue for tech-savvy individuals to showcase their skills and passion for gaming, transcending geographical barriers and connecting with players from diverse backgrounds.
“From a tech expert’s perspective, the integration of technology with youth culture has created a dynamic ecosystem within the gaming industry,” observes Dr. Ananya, a tech analyst. “The proliferation of high-speed internet and affordable smartphones has not only facilitated access to gaming platforms but has also spurred innovation in gaming hardware and software.”
She elaborates: “Platforms like Twitch and YouTube Gaming have revolutionized the way we consume gaming content, offering interactive experiences and fostering community engagement. This has led to a surge in competitive gaming, with Indian youth leveraging their technical prowess to excel on the global stage.”
Dr. Ananya wraps up her view saying: “The convergence of technology and youth culture presents immense opportunities for innovation and collaboration within the gaming industry. As we continue to witness this transformative shift, it is imperative to recognize the significant impact it has on shaping the future of entertainment and digital culture.”
Rapid growth and investment
India’s esports ecosystem has experienced exponential growth, fueled by substantial investments from both domestic and international stakeholders. Esports organizations, tournaments, and leagues have mushroomed involving players and others across the country, fostering a competitive environment conducive to talent development. Notable investments from corporate giants and venture capitalists have injected significant capital into the industry, paving the way for professionalization and infrastructure development.
Parth Chadha, Co-Founder & CEO, STAN, highlights: “The years 2023 and 2024 have marked a significant shift towards maximizing community engagement in esports, with a growing emphasis on creating immersive experiences beyond the screen. The essence of nurturing engagement in esports communities lies at the heart of building strong bonds with players, driving player satisfaction and brand loyalty. Communities like these are incredibly supportive for gamers & non-gamers alike.”
‘Yes, you can play’ has become a rallying cry! Recent statistics suggest a substantial increase in community participation, indicating a shift towards more interactive and inclusive esports events. These gaming events also help to bring the people together. Tournaments can also provide a space for gamers to meet and socialize with each other, often creating a strong bond of friendship.
The diverse player base in esports also promotes inclusion of different communities. Today, esports has a much more diverse player base, with a lot of women and people from marginalized communities participating in different gamers and events. And this diversity is also reflected in the games which also feature characters and storyline that resonate with different players. Furthermore, there has been a growing trend of female participation that can be seen across various genres and different esports platforms, which is also broadening the player base and promoting inclusivity within the gaming community.
Underlining the importance of fostering connections and relationships within the gaming sphere, Chadha adds: “Esports has evolved into a billion dollar industry today. The prize pools have touched 1 cr in CSGO BGMI.
It has been estimated that in 2025 there will be more than 318 million esports enthusiasts worldwide, marking a significant jump from the 215.2 million recorded in 2020.
Significantly, esports has become a major field of academic study, with universities offering degree programs and extracurricular opportunities in related fields.
Esports can also become a tool for social change. We can also see a lot of partnerships and collaborations happening between gaming companies and various social organizations to raise awareness and funds for different causes. While gaming and esports were always viewed as solitary activities, that is no longer the case now. Today, they are a powerful tool to build communities and promote inclusion. Be it online forums or in-person events, esports has been providing opportunities to people from different walks of life to connect with, learn from, and support one another.”
According to one study, “The Esports market in India is poised for significant growth, with revenue forecast to reach US $124.8 million in 2024 and a steady annual growth rate of 7.44% projected until 2028. Esports betting stands out as the largest segment, while the United States leads globally in revenue. With an expected increase in users and penetration rate, alongside average revenue per user of US$1.01, India’s esports market demonstrates substantial potential. This growth is attributed to digitalization, increased smartphone usage, and rising gaming awareness, accelerated further by the COVID-19 pandemic.”
The legal framework having a
bearing on esports
Rahul Dubey, tech law expert, explains, “In India, the legal landscape surrounding gaming hinges on the distinction between chance-based and skill-based activities. While chance-based games are subject to stringent regulations under laws like The Public Gambling Act of 1867, skill-based games occupy a distinct space within the legal framework. Skill-based competitions, characterized by strategic thinking and expertise, are deemed legal and offer avenues for entertainment, competition, and economic opportunities. Games such as chess, rummy, poker (in certain jurisdictions), fantasy sports, and esports competitions exemplify this category, emphasizing skill and knowledge over random chance. Within this realm, players can engage in activities that not only entertain but also contribute to personal development and community engagement, all while operating within the boundaries of Indian law.”
State governments play a pivotal role in regulating gaming activities, with each state enacting its own laws and regulations. Some states, like Sikkim and Nagaland, have introduced specific pieces of legislation to regulate online gaming and promote skill-based competitions. However, others, such as Tamil Nadu, have imposed bans on certain forms of online gaming. These diverse regulatory approaches underscore the need for a cohesive framework to address the evolving landscape of esports in India.
The legal status of esports varies globally, with some nations formally recognizing it as a legitimate sport while others maintain ambiguity. Dubey says: “In India, the burgeoning esports industry has garnered significant attention due to its rapid growth and economic impact. On December 27, 2022, India officially acknowledged esports as a multi-sport event, prompting amendments to the Government of India (Allocation of Business) Rules 1961. The Ministry of Youth Affairs and Sports reclassified esports under the umbrella of “multisport events,” integrating it with traditional sports disciplines. Notable esports titles such as PUBG, BGMI, Call of Duty, DOTA 2, Tekken 7, and FIFA have gained immense popularity in India. Consequently, esports now falls within the purview of the Ministry of Sports and Youth Affairs, ensuring its recognition and significance alongside traditional sports like cricket, hockey, and football.”
