What's Happening?
Mobile Premier League (MPL), a Bengaluru-based gaming platform, is planning to lay off 60% of its Indian workforce following a government ban on online money games. The ban, enacted through the Promotion and Regulation of Online Gaming Bill, 2025, prohibits all online games involving financial stakes. This legislation aims to curb addiction and financial distress caused by such games. As a result, MPL will let go of around 300 employees from various departments, including marketing, finance, operations, engineering, and legal. The company, which previously hosted games with financial stakes, is now focusing on free-to-play offerings in Europe and paid games in the U.S. and Brazil.
Why It's Important?
The layoffs at MPL underscore the significant impact of regulatory changes on the gaming industry in India. The government's decision to ban online money games reflects a broader effort to address social and financial issues associated with gaming platforms. This move is expected to reshape the industry, affecting not only MPL but also other companies like Dream11. The shift towards free-to-play games and international markets indicates a strategic pivot for MPL as it seeks to mitigate the impact of the ban. This development highlights the challenges faced by gaming companies in navigating regulatory environments while maintaining business viability.
What's Next?
MPL's focus on free-to-play games and expansion in international markets suggests a strategic realignment to sustain its business. The company will likely explore new revenue streams and partnerships to compensate for the loss of income from its Indian operations. Additionally, the gaming industry in India may witness further consolidation as companies adapt to the new regulatory landscape. Stakeholders, including investors and employees, will be closely monitoring MPL's transition and its impact on the company's financial performance and market position.
