A New Law Just Turned India’s Online Gaming World Upside Down
In a move that’s shaken up India’s booming gaming industry, Mobile Premier League (MPL)—one of the country’s biggest online gaming companies—is set to lay off 60% of its Indian workforce. That’s roughly 300 out of 500 employees, across departments like marketing, engineering, legal, finance, and operations.
What triggered such a massive decision? The answer lies in a sweeping new law passed by the Indian government—the Promotion and Regulation of Online Gaming Act, 2025.
The Law That Changed Everything
What’s in the New Law?
In August 2025, the Indian government enacted a law that bans all online games involving real money, regardless of whether they are games of skill or chance. That means everything from fantasy cricket to poker and quiz apps with cash rewards are now off-limits.
According to Union Minister statements, the law was designed to reduce gaming addiction, prevent financial stress among families, and bring social responsibility to the digital entertainment space.
Why It’s a Big Deal
Until now, real-money gaming was a gold mine. It brought in billions, attracted global investors, and created thousands of jobs. MPL, in particular, generated around $100 million in revenue from India last year—half of its total income. The law instantly shut down this entire stream.
MPL’s Response: Downsizing and Damage Control
In an internal email to employees, MPL’s co-founder and CEO Sai Srinivas said:
“India accounted for 50% of M-League’s revenues and this change would mean that we would no longer be making any revenue from India in the near future. We will be downsizing our India team significantly.”
He also emphasized the company’s commitment to support those impacted by the layoffs, but the scale of the decision shows how severe the revenue loss is.
Who’s Affected?
The layoffs will touch nearly every department at MPL’s India office:
- Marketing
- Engineering
- Finance
- Operations
- Legal
Employees who helped grow the platform into a $2.3 billion-valued company are now part of one of the industry’s biggest post-ban shakeups.
MPL’s Game Plan: Pivoting to Survive
No More Real-Money Games in India
With the ban in place, MPL will stop offering paid games in India. These games, which once formed the core of its business model, are now legally off the table.
Free-to-Play Games Are the New Focus
MPL is shifting gears to free-to-play games, where users don’t wager money but can still enjoy competitive formats and entertainment. These games are usually monetized through ads, sponsorships, or in-game purchases.
It’s a significant shift—and a risky one, considering the monetization model is far less lucrative than real-money gaming.
Looking Abroad: MPL’s Global Expansion
All Eyes on the United States and Brazil
With India out of the picture for now, MPL is putting its focus on markets like the U.S. and Brazil, where real-money games are still legal in many jurisdictions. The company already has a presence in these regions and plans to expand aggressively.
The U.S. in particular has a strong fantasy sports ecosystem, while Brazil has a fast-growing mobile gaming user base. Both markets offer a path forward as MPL tries to recover lost revenue.
A Ripple Effect Across India’s Gaming Industry
MPL is not alone in feeling the heat.
Other Big Players Hit Hard
Following the new law, several other top companies have also pulled the plug on real-money gaming in India:
- Dream11
- PokerBaazi
- Zupee
- Probo
These companies have either shut down their paid games or paused operations indefinitely.
Legal Pushback Begins
Gaming firm A23 has already launched a legal challenge against the new legislation. They argue that banning skill-based games with financial stakes violates constitutional protections and ignores the differences between games of skill and games of chance.
Whether this legal battle gains traction remains to be seen, but for now, the law stands—and so do its consequences.
A Billion-Dollar Industry, Frozen Overnight
The timing of the ban couldn’t be more disruptive. Just last year, analysts projected India’s real-money gaming sector would grow to $3.6 billion by 2029. The industry was attracting major global investors, including the likes of Tiger Global, and had become one of the fastest-growing tech sectors in the country.
That momentum has now hit a wall.
What’s Next for MPL—and the Industry?
The next few months will be critical for MPL and its peers. The immediate priority is to:
- Stabilize business through international growth
- Transition to sustainable free-to-play models
- Retain remaining staff and morale
- Navigate legal and regulatory uncertainty
For the thousands of employees, players, and investors who’ve backed the online gaming wave in India, the road ahead is uncertain—but not without possibility.
If the legal challenges succeed or if future governments soften the restrictions, companies like MPL might return stronger. But until then, it’s survival mode.
A Turning Point for Indian Gaming
MPL’s massive layoffs and strategic pivot mark a turning point for India’s digital gaming ecosystem. What was once a thriving, billion-dollar opportunity is now a cautionary tale of what can happen when regulation moves faster than innovation.
The ban has forced startups, investors, and tech giants to rethink their India strategies—and left thousands of livelihoods hanging in the balance.
Whether MPL can rebuild abroad or real-money gaming makes a comeback in India remains to be seen. But one thing’s for sure: the game has changed.