Revenue from Indian fantasy sports to top US$ 3.04 billion (Rs. 25,000 crore) by FY27: Report

India is the world's fastest-growing fantasy sports market, with over 300 fantasy sports platforms (FSPs) and 180 million users. According to a recent report, revenue from the industry increased 31% to US$ 828.11 million (Rs. 6,800 crore) in FY22 and is predicted to surpass US$ 3.07 billion (Rs. 25,240 crore) by FY27 at a 33% CAGR.

According to a survey by the Federation of Indian Fantasy Sports (FIFS) and Deloitte India, the sector is valued at US$ 9.13 billion (Rs. 75,000 crore) and is expected to grow to 500 million in the next five years.

A fantasy sport is a game, commonly played on the Internet, in which participants construct imaginary or virtual teams made up of proxies for real players in a professional sport. These teams compete based on the players' statistical performance in actual games. Dream11 and MPL are two of India's gaming unicorns (companies valued at more than US$ 1 billion).

The central government has announced new guidelines for online gambling, including the establishment of various self-regulatory organisations (SRBs) to certify "permissible" real-money online games. According to industry experts, these guidelines will give the sector much-needed regulatory clarity,  further accelerating expansion.

The director-general of FIFS, Mr. Joy Bhattacharjya, stated, “The Ministry of Electronics and Information Technology (MeitY) has provided a clear regulatory framework, we expect a uniform approach across states.” He further said that “Our main aim would be to support the SRBs in terms of industry insights, and/or any technical help needed from our side. We would also hope that SRBs give opportunities to representatives of industry bodies.”

The sector attracted US$ 1.82 billion (Rs. 15,000 crore) in FDI in FY22 and is expected to attract US$ 3.04 billion (Rs. 25,000 crore) in FY23. Tax contributions were US$ 548.01 million (Rs. 4,500 crore) up till FY22 and are projected to reach US$ 3.16 billion (Rs. 26,000 crore) by FY27.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.