According to an estimate, the typical Indian gamer is a male from the top eight metros, has an average

age of 26 and belongs to the affluent section. The average gamer has been playing on an average since
18-months now. The average person plays games three times a week and his usual gaming sessions last
an hour in length. He also spends less than Rs 150 per month on gaming,

The top four metros especially account for 59 per cent of these gamers which indicates that availability
of games and reach to target audience is still limited. The proportion of college-going students gaming
on any platform has increased from 20 to 32 per cent. Online and off-line mobile games will constitute
about 24 per cent of the gaming market this year and racing, sports games and shooting games make up
for the top three genres for gaming in India

The Indian gaming industry is expected to grow 32 per cent at Rs 3,100 crore by 2014, a top industry official said.

"Indian gaming industry is expected to grow at a Compounded Annual Growth Rate (CAGR) of 32 per cent to Rs
3,100 crore by 2014 with factors such as a young population, rising disposable incomes, increasing wireless users
and proliferation of developers and publishers," Maya Academy of Advanced Cinematics (MAAC) Business Head
Kumar Warrier told PTI here.

MAAC is a leading player in high-end 3D animation in India

The size of the Indian gaming industry was estimated at around Rs 790 crore in 2009, compared to Rs 650 crore in
2008, implying a growth of 22 per cent during the period.

While addressing a special seminar for students and professionals seeking a career in the gaming industry here,
Matthey Jaffery of Electronic Arts, UK, said, "the increasing telecom bases and the expected roll-out of 3G services
are likely to provide efficient high-speed data networks to mobile gamers. The telecom subscriber base is expected to
increase to 725 million by 2013 with a mobile penetration of 60 per cent."

The console gaming industry in India is expected to grow at a CAGR of 19 per cent from Rs 580 crore in 2009 to Rs
1,160 crore by 2014 on the back of increasing disposable income and favourable demographics, India's largest
Gaming company Gameshastra's Vijaya Raghavan, said

Brands from sectors like FMCG, insurance, banking and telecom, are already making regular
appearances in online games these days, making online gaming a lucrative medium for Indian
brands whose target audiences are teenagers and youth. In-game advertising is not a new
phenomenon in India, but now the volume of in-game advertisements has increased significantly.

According to Alok Kejriwal, Co-Founder and CEO, Games2win, “Gaming will contribute pretty
much about 20 per cent of Internet spends in India by 2012 and is moving beyond the age group
of 18-25 years to 10-80 years because there will be games for all age groups.”

Gaming is a part of the entertainment industry and what differentiates gaming from other forms
of entertainment is the interactivity that it offers, an what’s more, it is also highly addictive.

According to a FICCI- KPMG report, the Indian media and entertainment industry is projected to grow at
a CAGR (Compound Annual Growth Rate) of 12.5 per cent to reach the size of Rs 1,052 billion by 2013,
while the Indian gaming industry is expected to grow at a CAGR of 33.3 per cent by 2013, which is also
the highest as compared to the other forms of mediums. And with 3G rollout in India expected soon, the
gaming industry will only grow at a faster pace.

The size of the Indian gaming industry was estimated at around INR 7.9 billion in 2009, compared to
INR 6.5 billion in 2008, implying a growth of 22 percent during the period. The industry is expected to
grow at a CAGR of 32 percent between 2009 and 2014 to reach INR 31.9 billion by 2014.

Mobile Gaming
Global gaming companies opened India offices or entered into distribution agreements with Indian
gaming companies. For instance, in April 2009, Indiagames Ltd. tied up with EA, Disney and THQ to
distribute their games in India.

 The stunted growth of the gaming industry can be attributed to the following factors.
 Limited awareness about gaming products
 Poor gaming experience due to lack of infrastructure
 Continued disagreement between game publishers and telecom operators on the revenue
share arrangement

Drivers of growth
Increasing telecom bases and arrival of 3G: The expected rollout of 3G services is likely to
provide efficient high speed data networks to mobile gamers. The telecom subscriber base expected to
increase to 725 million by 2013 with a mobile penetration of 60 percent.

Console Gaming
The console gaming industry in India is expected to grow at a CAGR of 19 percent from INR 5.8 billion
in 2009 to INR 11.6 billion by 2014 on the back of increasing disposable income and favourable
demographics.

Localised content
Games with a local flavour such as Hanuman and Kabaddi on PS2 have also become popular among
Indians.

Regulatory Hurdles
The high customs duties and indirect taxes have made legitimate console hardware and software
approximately 40 percent more expensive than grey market imports.

EmergingBusinessmodel
Console gaming companies are moving away from a product to a services oriented model enabling
users to not only play games off the console but also watch movies, upload photos and so on. Till such
time as the consumer is educated about the shift by console gaming companies from a product to a
services model console gaming is likely to remain more of an urban phenomenon.

PC/OnlineGaming
With over 85 million PC literate users in 2009 as compared to 65 million PC users in 2008, the PC
gaming market too has been growing at a steady pace. In 2009, increased usage of social networks in
India and awareness created by online gaming companies through the distribution of large number of
games offered across different genres enabled an increased level of user conversions leading to a 30
percent growth for this segment in 2009.

Gamingmodes
Advertisement supported online games have been an important source of revenue for online gaming
companies in India. Companies like Zapak have established a chain of gaming cafes across the
country and hosted gaming tournaments in metro cities to give a multi player experience. However
poor infrastructure for high speed internet and low PC penetration, it is difficult to graduate to
advanced multiplayer gaming modes.