The Indian government is contemplating measures to tackle gaming addiction, focusing on imposing time and spending limits on online and real-money games. This approach, similar to strategies adopted in China, gained traction during recent internal discussions at the Ministry of Electronics and Information Technology regarding the Information Technology Rules of 2021.
Instead of relying on self-regulatory organizations (SROs) to certify games as permissible or non-permissible, the government sees imposing time limits as a more effective strategy. An official from the IT ministry expressed concerns about potential industry influence in gaming SROs, particularly regarding policy decisions affecting young players.
India boasts the world”s largest online gaming market, with around 570 million active gamers, of which approximately 140 million engage in paid games or transactions, according to a joint report by Winzo and the Interactive Entertainment and Innovation Council (IEIC). Market estimates indicate that Indian users downloaded over 9.5 billion gaming apps in 2023. If implemented, gaming companies would need to establish mechanisms to monitor and limit players” time and expenditure. For instance, daily spending limits could be tailored based on players” past expenditures and age, ensuring responsible gaming practices.
The IT ministry had previously mandated gaming companies to form SROs within 90 days following an amendment to the Information Technology Rules of 2021 in April 2023. However, all three proposals received were deemed industry-backed and were not accepted. The proposed SRO included entities like the Esports Players Welfare Association (EPWA), associations linked with esports and fantasy sports, and the All-India Gaming Federation.
The Government“s consideration of imposing time and spending limits on online and real-money games comes as a response to the growing concern of gaming addiction, affecting not just children and young adults but individuals of all ages. Particularly alarming is the addiction trend observed in money gambling games, where players, regardless of age, can get drawn into compulsive and excessive gaming habits.
India is the largest gaming market globally, boasting around 570 million active gamers, a substantial number, roughly 140 million, engage in paid games or transactions, as per industry estimates. This significant user base highlights the widespread impact and urgency of addressing gaming addiction comprehensively.
The move to impose limits on gaming time and expenditure aims to create a safer gaming environment, especially for vulnerable groups like children and adolescents. By establishing stricter controls, gaming companies would be required to develop mechanisms ensuring adherence to these limits, tailored based on factors such as past expenditures and age demographics.