Studios in India that are working on complex games that require heavy capital are seeing an increase in interest from investors, as per a report by the Economic Times.
Twenty-seven gaming as well as gaming-related firms saw an investment of more than $83 billion since November 2022.
Studios in India that are working on complex games that require heavy capital are seeing an increase in interest from investors, as per a report by the Economic Times.
As of now, this investment vertical is heavily dominated by international players. Games like Battlegrounds Mobile India, Call of Duty, and Fortnite are all midcore and hardcore games from international publishers such as Epic Games, Riot Games, and Krafton. Lightfury and Mayhem Studios are some of the Indian studios that aim to provide such games that require high development. As per data obtained from Tracxn, twenty-seven gaming as well as gaming-related firms saw an investment of more than $83 billion since November 2022.
As per Redseer Strategy Consultants, there has been a growing base for hardcore gamers in India. “Hardcore gamers are not only more aware of different streaming platforms but use them more than casual gamers for live streaming. They spend a considerable amount of time watching other streamers play for entertainment, improving their own game, learning new techniques, having discussions with peers, or enjoying their favorite streamer’s gameplay,” says the report.
Rise in funding
2024 saw several companies such as Circle of Games, LightFury Games, HitWicket, 5th Scape, and Liquid Nitro Games raise funding from several institutional investors such as The Hashgraph Association, Nexus Venture Partners, Blume Ventures, Gema Capital, and MIXI.
Circle of Games raised $1 million in funding on April 17 from Nazara Technologies and the Hashgraph Association. Similarly, in a seed fundraising round headed by Blume Ventures, Mixi, and Gemba Capital, LightFury Games raised $8.5 million. In the round were additional investors like Gaurav Munjal, CEO of Unacademy, and Kunal Shah, creator of Cred.
While the gaming industry as a whole is seeing expansion, one area that has been a source of hurdle for companies has been the lack of talent. A report by Bain & Company says, “Talent shortages are perennial, with gaming job postings growing by about 40% over the past three years. The rise of AI and its potential effect on the workforce further complicates the issue.”
The report adds that to support the industry’s growth, companies will need to hire more talent from other industries. An example of the same is how Mayhem Studios had to train practically every employee on how to utilize Unreal Engine, a sophisticated 3D production engine, in order to produce high-profile games like Fortnite and BGMI, as per the Economic Times report.