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India’s MPL Cuts 60% Staff After Paid Gaming Ban Impact

Explore how India’s Online Gaming Bill 2025 forced MPL to downsize massively, reshaping the paid gaming landscape and signaling a new era for online gaming in India.

Valeria Orlova's avatar
Valeria OrlovaStaff
5 min read

Key Takeaways

  • MPL to cut 60% of India staff due to paid gaming ban
  • Online Gaming Bill 2025 bans real-money gaming apps in India
  • Industry faces multi-billion dollar disruption and job losses
  • MPL shifts focus to free-to-play and international markets
  • Regulatory move aims to curb addiction and illegal betting
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MPL Staff Layoffs After Gaming Ban

India’s online gaming scene has hit a turbulent patch with the government’s sweeping Online Gaming Bill 2025. This law bans paid gaming apps that allow real-money contests, shaking the foundations of platforms like Mobile Premier League (MPL). Known for its fantasy cricket and cash prize tournaments, MPL now faces a stark reality: laying off 60% of its local workforce.

The bill’s intent is clear—protect youth from addiction and clamp down on illegal betting. But for an industry once projected to reach $3.6 billion by 2029, the sudden halt feels like a seismic jolt. MPL’s decision to downsize and pivot internationally marks a critical turning point.

This article unpacks the Online Gaming Bill’s impact on MPL, explores the broader industry fallout, and examines what lies ahead for India’s digital gaming future.

Understanding the Paid Gaming Ban

The Online Gaming Bill 2025 is a game-changer, literally. It bans online games that involve real-money transactions, targeting platforms that offer paid contests where users can win cash prizes. This includes popular fantasy sports apps like MPL, Dream11, and My11Circle. The government’s rationale? Protecting young users from addiction and financial risks tied to betting.

This law doesn’t just tweak rules—it redraws the entire playing field. Paid gaming, once a booming sector backed by venture capital giants like Tiger Global and Peak XV Partners, now faces a near-total shutdown in India. The bill blurs the line between games of skill and chance, banning both if money is involved. For companies built on real-money contests, this spells a fundamental business crisis.

Think of it as a sudden red card in a high-stakes match. The industry, which was projected to hit $3.6 billion by 2029, must now rethink its strategy or risk being sidelined. The ban’s ripple effects extend beyond companies to thousands of employees and investors, shaking confidence in one of India’s fastest-growing digital sectors.

MPL’s Workforce Downsizing

MPL’s response to the ban has been swift and severe. The company announced it will lay off about 60% of its India-based staff—roughly 300 of 500 employees—across marketing, finance, operations, engineering, and legal teams. This is one of the largest layoffs in the sector’s history, reflecting the scale of disruption.

In an internal email, MPL’s CEO Sai Srinivas expressed the heavy heart behind the decision, acknowledging that India accounted for half of MPL’s revenues. With paid gaming banned, MPL expects no near-term revenue from India, forcing a drastic cost-cutting move.

This downsizing isn’t just numbers on a page—it’s hundreds of livelihoods impacted overnight. For employees, the uncertainty is palpable. For the company, it’s a pivot point, shifting focus to free-to-play games and expanding in markets like the U.S. and Brazil. MPL’s choice not to legally challenge the ban signals acceptance of the new regulatory reality, prioritizing compliance over confrontation.

Industry-Wide Fallout and Job Losses

MPL isn’t alone in feeling the pinch. The Online Gaming Bill 2025 has banned multiple major platforms, including Dream11 and My11Circle, forcing many to halt their paid fantasy sports and card games. Analysts estimate the ban could erase up to $15 billion in value from India’s online gaming market.

This sudden contraction threatens thousands of jobs, from tech developers to marketing professionals. The sector’s rapid growth had attracted significant venture capital, but the new regulatory risks are prompting investors to rethink their bets. The once vibrant ecosystem faces a stark reset, with startups and established players alike scrambling to adapt or exit.

The emotional toll is real. For many, the gaming industry was a beacon of innovation and opportunity. Now, the sting of layoffs and halted projects casts a shadow over the digital entertainment landscape. Yet, this shake-up also forces a hard look at sustainable business models and regulatory compliance.

Government’s Protective Intent

The government frames the Online Gaming Bill 2025 as a necessary shield for consumers, especially youth vulnerable to addiction and financial harm. By banning real-money gaming, it aims to curb illegal betting and bring transparency to online financial transactions.

This regulatory clampdown reflects a broader concern about the social costs of unregulated digital betting. The government’s stance is clear: safeguarding public interest takes precedence over industry growth. Critics argue the law is heavy-handed, blurring skill and chance distinctions and risking innovation.

Still, the policy underscores a vital truth—digital entertainment isn’t just fun and games when real money is involved. The government’s move invites the industry to innovate within safer, regulated boundaries, balancing growth with social responsibility.

Navigating MPL’s New Future

With paid gaming off the table in India, MPL is charting a new course. The company is focusing on free-to-play games and expanding its footprint in international markets like the U.S. and Brazil, where paid games remain legal. This pivot demands reimagining product offerings and revenue streams.

MPL’s shift highlights a broader industry trend—adapting to regulatory realities by exploring non-monetized formats or global expansion. However, these paths require significant investment and strategic overhaul. The company’s decision not to contest the ban legally suggests a pragmatic acceptance of the new landscape.

For the Indian gaming sector, the road ahead is uncertain but not closed. Innovation within compliance and dialogue between policymakers and industry players will shape the future. MPL’s experience serves as a cautionary tale and a beacon for resilience in a rapidly evolving market.

Long Story Short

MPL’s massive layoffs underscore the profound impact of India’s Online Gaming Bill 2025 on the paid gaming ecosystem. The ban on real-money contests has forced a painful recalibration, with hundreds of jobs lost and a once-booming market abruptly stalled. Yet, this disruption also opens doors for innovation in free-to-play formats and global expansion. For players, employees, and investors, the message is clear: the gaming landscape in India is no longer business as usual. Navigating this new terrain demands agility, compliance, and fresh strategies. While the government’s focus on consumer protection is commendable, the industry’s future hinges on finding balance between regulation and growth. As MPL and others adapt, the story of India’s online gaming sector will continue to evolve—shaped by legal frameworks, market forces, and the enduring appetite for digital entertainment.

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Core considerations

India’s Online Gaming Bill 2025 isn’t just a regulatory tweak—it’s a seismic shift that demands industry reinvention. The ban on paid gaming challenges assumptions about skill versus chance, forcing companies like MPL to downsize drastically. While protecting consumers is crucial, the law’s broad brush risks stifling innovation and jobs in a booming sector. Investors and startups must now navigate heightened uncertainty, balancing compliance with growth ambitions.

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Our take

If you’re part of India’s gaming ecosystem, brace for change but don’t lose hope. MPL’s layoffs are painful but highlight the need to innovate beyond paid contests. Free-to-play models and global expansion offer lifelines, but require fresh thinking and patience. For employees, upskilling and flexibility will be key. The industry’s future depends on balancing regulation with creativity—there’s room to play, just with new rules.

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