According to EY.com, the Indian eSports market has rapidly escalated in value to INR3 billion during 2021, with forecasts expecting it to almost triple in value to INR11 billion by 2025. From an economic perspective, the eSports sector is also expected to drive sizeable revenues for the Indian economy, generating an estimated INR100 billion in the next four years.
Ashish Pherwani, Media & Entertainment Leader at EY India, described the rise of eSports in India as “spectacular”. Pherwani said that brands opted to “connect with young and empowered audiences” during the last 18 months, developing and launching engaging games of skill that are “accessible indoors” as well as on the “ubiquitous” smartphone.
Consequently, Lokesh Suji, the Director of the eSports Federation of India, made a bold statement recently suggesting that eSports has the “potential to outrun cricket in India” – so long as the Indian government acknowledges the competitive gaming industry. Suji noted a string of countries where eSports has been formally recognised as a sport and placed “under the sports framework and policies” of various governments, including South Korea, Pakistan, Denmark, Brazil, Russia, Thailand, and Malaysia. Suji revealed that the Malaysian government had recently ring-fenced a budget worth Rs 50 Crore solely for the development of its eSports scene.
Is the definition of eSports holding the industry back in India?
There is an argument to suggest that eSports covers far more than just PC and console games too. Everyone’s definition of an eSport differs at present, with some suggesting that online poker is increasingly an eSport given its allure among the Twitch streaming community and its requirements for skill and strategy at the tables. Suji believes it’s the definition of eSports that’s holding back the industry from taking flight in India. Suji criticised those who compare “eSports athletes” with those “playing fantasy sports” or card games like “rummy”. He believes this is “where the problem germinates”.
It’s a huge source of frustration for Suji and the eSports Federation of India, given the undisputed potential among gamers here. eSports was included for the first time in the 2018 Asian Games staged in Indonesia (Jakarta). It was billed as a “demonstrative event”, and India came out of nowhere to clinch the bronze medal. Suji said this alone was proof – if it were needed – that India could be “the next powerhouse for eSports”, insisting the country already has over 300 million “eSports enthusiasts”.
As the Indian government still considers eSports a form of entertainment rather than a genuine competitive sport, Indian eSports tournament organisers and athletes alike are currently hit harder in their respective pockets. Tournament organisers and the gamers themselves are forced to pay an entertainment tax set much higher than the greatly reduced sports tax, which sits at 20%. This alone could deter talented Indian eSports athletes from further committing to honing their craft and making it big as a professional.
The future opportunities for a career in competitive gaming in India
The eSports Federation of India is working hard to create a foundation for budding eSports athletes to thrive ahead of the 2022 Asian Games, where eSports has been included as a fully-fledged sporting event. As a full member of the International eSports Federation (IESF), as well as the Asian eSports Federation (AESF) and the Global eSports Federation (GEF), Suji and co. want to develop a new South Asia Championship to give their athletes greater exposure and competitive challenges ahead of the Asian Games.
The eSports Federation of India is investing heavily in coaching and training for hot prospects, with eSports academies cropping up in all towns and cities across the country – much like the rise of cricket in generations gone by. Earlier this year, the first “Olympic Virtual Series” was also held at the 2021 Tokyo Games, with five eSports events staged to help legitimise the industry. Ironically, the Tokyo Games recently closed, with India registering their best ever haul of seven medals. It could have been more if eSports was included as a legitimate sporting event.
The biggest challenge for the eSports Federation of India is to legitimise a career in eSports for parents of talented prospects. Suji insists that eSports will offer multiple career paths in the same way as long-established sports like cricket and football. Individuals that don’t make it as a fully-fledged eSports athlete can work as “tournament admins, casters, analysts, coaches and team managers”. Suji said that talented marketers and reporters could also make it big as eSports journalists. The bottom line is that for eSports to fulfil its potential in India, the industry needs to be “financially viable”, concludes Suji.
