ETtechUnlike China, where companies grew in a more protected environment, Indian gaming companies face a tougher challenge, Salone Sehgal, founding general partner at Indian gaming-focused venture capital fund Lumikai, said on Saturday.
“Our companies have to build while competing with big tech…So we are much more capital-efficient, much more persistent, and much more tenacious, simply because we are up against a much larger incumbent—and we have to take that on a day basis,” Sehgal said on the last day of the second edition of Startup Mahakumbh.
According to Sehgal, Indian users have a clear understanding of what products and experiences from the global West look like, which makes earning their loyalty an even harder challenge.
The Delhi-NCR-based venture firm launched its second fund targeting $50 million in 2023. It has backed startups like Loco, Elo Elo, Mayhem Studios and Bombay Play.
Sehgal also pointed out that gaming markets in the West are becoming increasingly saturated.
“Global gaming is growing at a single-digit rate of 2 to 3 percent in international markets. In contrast, India is witnessing a year-on-year growth of 20 percent,” Sehgal said.
“If you want to see where the next billion users are going to come from in the world, it is going to be from a market like India,” she added.
Sehgal further said that gaming is among the most lucrative and high-liquidity sectors in the market.
“India has already delivered exits to early-stage investors over the past seven years. Early-stage investors in gaming alone have made 100x returns,” she said.
India's online gaming industry is projected to more than double, reaching $9.1 billion by 2029, with real-money games accounting for the majority of the market, as per a joint report by real-money gaming platform Winzo Games and IEIC.
According to the report, India’s online gaming industry could generate up to $63 billion in value for investors.
“Our companies have to build while competing with big tech…So we are much more capital-efficient, much more persistent, and much more tenacious, simply because we are up against a much larger incumbent—and we have to take that on a day basis,” Sehgal said on the last day of the second edition of Startup Mahakumbh.
According to Sehgal, Indian users have a clear understanding of what products and experiences from the global West look like, which makes earning their loyalty an even harder challenge.
The Delhi-NCR-based venture firm launched its second fund targeting $50 million in 2023. It has backed startups like Loco, Elo Elo, Mayhem Studios and Bombay Play.
Sehgal also pointed out that gaming markets in the West are becoming increasingly saturated.
“Global gaming is growing at a single-digit rate of 2 to 3 percent in international markets. In contrast, India is witnessing a year-on-year growth of 20 percent,” Sehgal said.
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“If you want to see where the next billion users are going to come from in the world, it is going to be from a market like India,” she added.
Sehgal further said that gaming is among the most lucrative and high-liquidity sectors in the market.
“India has already delivered exits to early-stage investors over the past seven years. Early-stage investors in gaming alone have made 100x returns,” she said.
India's online gaming industry is projected to more than double, reaching $9.1 billion by 2029, with real-money games accounting for the majority of the market, as per a joint report by real-money gaming platform Winzo Games and IEIC.
According to the report, India’s online gaming industry could generate up to $63 billion in value for investors.
