Gameskraft lays off 120 employees amid RMG ban

Bengaluru-based online gaming company Gameskraft has laid off 120 employees, citing the impact of the recently enacted Online Gaming Bill, 2025.

A statement issued by the company noted that the current regulatory landscape has forced them to completely stop their business and has left them with no choice but to initiate a company-wide restructuring.

The Promotion and Regulation of Online Gaming Bill, signed into law by President Droupadi Murmu in August, bans all online real-money gaming platforms.

Operators found violating the law face up to three years in jail and fines of up to Rs 1 crore. Advertising such platforms can lead to two years’ imprisonment and penalties of up to Rs 50 lakh.

The gaming company said it will meet all commitments to affected employees, including leave encashment based on full salary.

The layoffs come amid broader industry disruption following the passage of the bill. According to the reports, insiders had earlier warned that the ban could lead to over 20,000 job losses and the closure of more than 300 companies.

India’s gaming market, valued at $3.8 billion, is projected to grow to $9.2 billion by 2029, according to venture capital firm Lumikai. The sector currently employs more than 130,000 skilled workers.