Jaipur,
March 01, 2022.
The
recent announcement by the Chief Minister that state government is looking to
regulate the online skill gaming sector (that includes skill games like
Fantasy, Rummy, Poker, Bridge, Chessetc) has invoked an enthusiastic response
from skill gaming industry.
Speaking
at a gathering, Sameer Barde, CEO of E-Gaming Federation (EGF), an organisation
representing top online skill gaming operators in India, said, “The industry is
very upbeat that Rajasthan could become the first state in India, to introduce
a progressive regulatory regime for the online skill gaming sector, which has
been operating in a regulatory vacuum for a long time.”
Barde
added, that the sector has received a big impetus after Finance Minister,
Nirmala Sitharaman announced setting up of Animation, Visual Arts, Gaming and
Comics (AVGC) Task Force, in her budget speech last month.
Barde
added that the government recognises the employment and revenue generation
potential of this sunrise sector, which also directly benefits other crucial
sectors such as fintech, semiconductors, IT, banking etc. “With the right
support the online skill gaming sector, can propel a second software revolution
in India. It already directly employs close to 50,000 people and creates
meaningful jobs for a lot of young engineers and other professionals. Lot of
states have spoken about the need to develop gaming sector. Karnataka has launched
its own AVGC Centre, Telangana has talked about making Hyderabad a gaming hub,
and if Rajasthan can become the first major state to introduce a progressive
policy, then it will fetch a lot of investments to the state,” he said.
In the
last seven years, online skill gaming sector has received more than USD 2
billion in international investments. Companies such as Dream11, MPL,
Games24x7, Paytm Games, Junglee Games, Head Digital Works have received
investments from several top Private Equity and Venture Capital Firms. Barde
feels that this number could go up further, with Supreme Court and several High
Courts, reaffirming the status of games of skill as legitimate business
activity. “Oftentimes, people confuse games of skill with gambling. But the
courts have repeatedly held that games of skill are different from games of
chance and several Supreme Court and High decisions have over the years held
Rummy, Bridge, Poker, Chessand more recently Fantasy as games of skill,” he
said.
Coming
back to the proposed reform in Rajasthan Barde, “It was very reassuring to hear
Honourable Chief Minister Shri Ashok Gehlot Ji, when he spoke in the house
during the ongoing budget session, about regulating the sector. We are really
looking forward to it, and hope that government sets up a joint committee including
industry participants. As a self-regulator for the industry, we believe we can
add much value in bringing to the table the best international practices and
ensuring that the policy is a win-win for all stakeholders – players , industry
and the government.”