India’s ban on paid online games has forced one of the country’s largest gaming firms, Mobile Premier League (MPL), to announce significant layoffs. Reuters reports that the Bengaluru-based unicorn will cut nearly 60% of its Indian workforce, around 300 employees, after the new law effectively blocks revenue from its core fantasy and card gaming business.
In an email to employees on Sunday, MPL co-founder and CEO Sai Srinivas said the company had no alternative. “With a heavy heart we have decided that we will be downsizing our India team significantly,” he wrote. The email added, “India accounted for 50 percent 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.” The job losses will span several departments including marketing, operations, engineering, legal and finance. Srinivas also said MPL would provide assistance to employees during the transition, though he did not disclose exact details in his note.
This month, Prime Minister Narendra Modi’s government banned online paid games, citing concerns over financial risks and addiction, particularly among young people. The move has led to the closure of numerous gaming apps offering paid fantasy cricket, rummy, and poker.
The law came as a shock to India’s gaming industry, which was projected to reach $3.6 billion by 2029. Popular apps featuring fantasy cricket, rummy, and poker, which had seen rapid growth in recent years, have now been forced to shut down. The ban’s effects are rippling across the industry. MPL’s competitor Dream11 has also halted its fantasy cricket operations, and numerous poker and rummy platforms have gone offline.
