Summary
Prime Minister Narendra Modi’s federal government this month prohibited online paid video games, mentioning monetary and dependency threats specifically amongst youth, resulting in a shutdown of numerous video gaming apps using paid dream cricket, rummy and poker video games.
Online video gaming app Mobile Premier League (MPL )will sack about 60 % of its regional labor force as part of a significant scaling down after the federal government prohibited paid video games, stated a business source with understanding of the strategy, in the very first such response to the brand-new law prohibiting real-money video games.
Prime Minister Narendra Modi’s federal government this month prohibited online paid video games, pointing out monetary and dependency dangers specifically amongst youth, resulting in a shutdown of numerous video gaming apps using paid dream cricket, rummy and poker video games.
The law surprised the market backed by equity capital companies such as Tiger Global and Peak XV Partners that was set to deserve $3.6 billion by 2029. MPL and competing Dream11 ended up being popular recently by using paid dream cricket video games that permit winners to get monetary rewards.
The market states the video games count on ability and for that reason are not betting, which was currently extremely limited in India.
As MPL concentrates on free-to-play video games and strengthens its service in the United States market, the business source stated on Sunday it would release approximately 300 of its 500 India personnel in departments like marketing, financing, operations, engineering and legal.
In an internal personnel e-mail sent out on Sunday that was seen by Reuters, MPL CEO Sai Srinivas composed “with a heavy heart we have decided that we will be downsizing our India Team significantly.” He did not define the variety of task cuts in the e-mail.
“We are committed to providing those impacted with every possible support during this transition period … 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,” he included.
MPL decreased to comment to Reuters’ questions.
Backed by Peak XV Partners, previously referred to as Sequoia Capital India, MPL was valued at $2.3 billion in 2021, Pitchbook information programs. It likewise has free-to-play offerings in Europe and paid video games in United States and Brazil.
The business source stated that MPL’s India earnings in 2015 was approximately $100 million. MPL’s competitor, Dream11, valued at $8 billion, has actually likewise stopped its dream cricket offering. Numerous other apps using paid poker and rummy card video games have actually likewise stopped.
In an initially, A23 challenged the federal government’s restriction recently, however MPL and Dream11 have actually chosen not to pursue legal obstacles.
(Originally released on Aug 31, 2025)