Startup Originals Team
A major policy change has rocked India’s booming online gaming market, forcing Mobile Premier League (MPL), one of the country’s largest gaming platforms, to announce a sweeping round of layoffs impacting a majority of its staff.
Government Ban Sparks Layoffs:
The recently enacted Promotion and Regulation of Online Gaming Act, 2025, prohibits all online games with monetary stakes, whether skill- or chance-based. Passed in August, the law aims to address addiction and financial distress related to paid gaming, but its sudden effect has immediately disrupted the sector.
Impact on MPL and Staff:
MPL is set to cut around 300 of its 500 jobs in India, affecting employees across marketing, finance, operations, engineering, and legal roles. In an internal email, CEO Sai Srinivas shared that the company will no longer generate revenue from India, and is committed to supporting affected employees through the transition process.
Business Shift and Future Plans:
MPL, previously valued at $2.3 billion and earning about $100 million yearly from India, will now focus on expanding free-to-play titles within the country and pursuing growth in international markets like the US, Europe, and Brazil. The regulatory shift has also forced other top gaming firms, including Dream11 and WinZO, to halt or modify their Indian operations.
Industry Outlook:
This government intervention marks the sharpest disruption yet for India’s online gaming sector, which had been projected to reach $3.6 billion by 2029. Companies now face immense pressure to adapt their models and find new ways to grow beyond the domestic market, underlining the need for agility and innovation.
