BGMI Ban Could Hamper Growth of Indian Gaming Market in 2023: Niko Partners Report

Niko Partners claims that the ban will cause the growth of the Indian gaming market in 2023 to be less than anticipated.


According to a report released by the market research and consulting firm Niko Partners, the BGMI ban may hinder the growth of the Indian Gaming Market in 2023 as the game’s restriction in the country could negatively impact the growth of its business. South Korean developer Krafton’s hit Indian BR title, BGMI was banned in India in Late July due to safety and privacy concerns. Niko Partners claims that the ban will cause the growth of the Indian gaming market in 2023 to be less than anticipated.

Apart from the game ban, PC and mobile gaming markets in India are expected to grow to 630 million in 2026 from the current 396.4 million in 2022 in Asia. The report suggests that gamers across both platforms are estimated to spend $704.5 million in 2022, with that figure likely to increase to $1.4 billion by 2026. While the real money gaming sector is not included in the report by Niko Partners, it is also expected to grab billions in revenue by 2026.

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Indian Gaming Market May Experience Lower Growth in 2023 Due to BGMI Banbgmi ban

Following the PUBG Mobile suspension in India, Krafton introduced BGMI exclusively for the Indian region, which became heavily popular within a short span of time. Apart from the officials, several TO’s have organized numerous tournaments that have featured crores of prize pools. The game revived the esports base which was laid out by PUBG Mobile and even raised its bars.

Everything seemed nice until 28 July, the day on which the game was mysteriously removed from Google Play Store and App Store. Later it was confirmed that MeitY banned the game based on the requests made by MHA. Following its removal, BGMI fans are left dejected as there are no official and major tournaments running. Moreover, the game is not receiving any in-game updates which made them believe that the game is not coming back any sooner.

Krafton recently stated that it is continuing its efforts to resume BGMI services in India, but did not reveal any potential date for the game’s return.

As suggested in the Niko Partners report, India is the fastest-growing market in Asia both in terms of the number of players and revenue. India stands second in terms of most number of gamers following China. In India, 98% of gamers choose to play video games on their mobile phones rather than personal computers or gaming consoles, with cost being the key motivator for this move.

The research includes 10 Asian countries – China, Taipei, India, Indonesia, Japan, Korea, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. The new analysis highlights significant development potential for Asia’s gaming sector in the future years. India accounts for 50.4% of gamers in the Asia-10 market, with revenue growth projections of 21% in the next five years.

Furthermore, according to the survey, Indian gamers spend an average of 14.1 hours per week gaming on their mobile devices, giving the country the highest percentage of gamers who play for more than 5 hours each week. The fact that the United States has the world’s lowest data rates and is attempting to implement 5G adds to the country’s rising population.

In a similar vein, a recent estimate released by the technology recruiting firm TeamLease Digital stated that the gaming sector is expected to generate one lakh direct and indirect new jobs by the end of the fiscal year 2023-2024.

Despite the BGMI ban, India will witness an increase, and the negative impact will be temporary. The game industry is rapidly developing, so it will be interesting to watch what it becomes.

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