For over ten years, the emergence and rapid growth of real-money gaming and fantasy sports have reshaped the foundations of India’s advertising and sports sponsorship ecosystem. Platforms such as Dream11, MPL, and My11Circle not only introduced new models of fan engagement but also transformed cricket into a high-value marketplace for advertisers and brands. From high-profile Indian Premier League (IPL) campaigns to celebrity endorsements featuring top athletes and actors, fantasy sports injected billions of rupees into advertising, media rights, and grassroots sports development. What started as a niche trend quickly evolved into a mainstream industry, creating an entire ecosystem that thrived on the spending power of these platforms.
That ecosystem, however, has now been thrown into sudden disarray. The passage of the Promotion and Regulation of Online Gaming Bill, 2025, has banned all forms of money-based online games, including fantasy sports, rummy, and poker. Overnight, advertisers, sports bodies, and content creators who had come to depend on these sponsorships now find themselves facing empty budgets and frozen campaigns. With India’s online gaming market valued at $3.7 billion—86% of which came from the real-money segment—the disruption has left a massive void in sports marketing. Analysts estimate that more than Rs 4,500 crore in annual advertising revenue was linked directly to money-based gaming. Companies like Dream11 and My11Circle had already invested hundreds of crores in cricket sponsorships, ensuring that cricket dominated the Rs 16,600 crore sports ad market in 2024. The ban has effectively cut off this steady inflow, leaving broadcasters, ad agencies, and influencers grappling with shrinking revenue streams.
The implications extend beyond corporate profits. Fantasy sports were not just advertisers—they were also enablers of sports development at multiple levels. Smaller leagues, emerging sports, and grassroots talent benefited indirectly from these sponsorships, using funds to build infrastructure, train athletes, and support competitions. With this revenue lifeline cut off, there is growing concern that India’s sporting pipeline could face long-term setbacks. The impact also spills into digital ecosystems, as influencers, content creators, and esports event organizers who collaborated with real-money platforms are now forced to scale back due to budget cuts. For athletes, too, the ban represents a personal financial blow, as endorsement deals, appearance fees, and sponsorship agreements from gaming companies are expected to dry up. Consumer protection laws already hold endorsers liable for their associations, and the new bill adds potential penal consequences for promoting banned games, further dissuading partnerships.
Amid this upheaval, a new horizon is beginning to open. E-sports and social gaming, both of which remain unaffected by the ban, are being touted as promising alternatives. India’s e-sports market is projected to touch Rs 1,100 crore by 2025, with annual growth exceeding 46%, powered by mobile gaming adoption and surging digital viewership. Advertisers, searching for safe yet high-engagement platforms, are already experimenting with e-sports as a way to channel displaced budgets. Experts suggest that console and PC-based video games, such as those on PlayStation and Xbox, could gradually attract larger audiences, particularly as players shift away from banned real-money formats. This shift could diversify India’s gaming landscape, bringing it closer in line with global gaming trends.
The government, for its part, is positioning e-sports as a socially safer and economically promising alternative. Policy discussions already include plans to encourage e-sports through training academies, incentive programs, and integration with broader sporting initiatives. If supported effectively, e-sports could absorb some of the demand once monopolized by real-money platforms, creating new opportunities for advertisers, athletes, and media companies. At the same time, the financial landscape has become more complex, as banks, wallets, and payment gateways are barred from processing transactions for money-based games, cutting off the sector’s key revenue channels.
The ban represents nothing short of a seismic shift for India’s advertising and sports sponsorship ecosystem. The short-term impact will include shrinking ad spends, job losses, and reduced funding for sports bodies and individual players. Yet, disruption often paves the way for innovation. By recognizing and promoting e-sports as a legitimate competitive discipline, India has an opportunity to redirect resources into a fast-growing segment of digital entertainment. If nurtured properly, this shift could lay the foundation for a new era in sports sponsorships and digital engagement, even as the legacy of real-money gaming begins to fade.
