Online Gaming Regulations in Spotlight: Government Plans Tighter Rules to Curb Addiction and Betting

Centre Moves to Tighten Online Gaming Oversight

The Indian government is preparing to introduce stricter rules for the online gaming sector, targeting addiction, illegal betting, and child safety concerns as usage among youth continues to surge.

Officials at the Ministry of Electronics and Information Technology (MeitY) confirmed that a new regulatory framework is under review, aimed at closing loopholes in existing self-regulation mechanisms.

“We are committed to a safe digital environment that protects young users and ensures responsible gaming,” said a senior official involved in the policy draft.


Addiction and Betting Drive Policy Momentum

The move comes amid mounting public concern over gaming addiction, impulsive in-app betting, and reports of financial distress among young players. A string of high-profile cases involving illegal gaming apps and underage users has intensified calls for a national policy framework.

States like Tamil Nadu, Karnataka, and Telangana have already enacted their own laws to curb online gambling, but enforcement remains inconsistent.

Industry bodies such as the All India Gaming Federation (AIGF) have urged the Centre to differentiate between skill-based gaming and chance-based betting, warning that excessive restrictions could stifle innovation in India’s growing $3.5-billion gaming market.


Part of Broader Digital Sovereignty Push

Officials say the upcoming rules are part of India’s wider digital sovereignty agenda, which seeks to assert national control over data, platforms, and online ecosystems.

The government is also working on mandatory age verification, spending limits, and AI-based monitoring to flag addictive behavior — in line with recent Digital India Act (DIA) proposals.

“This isn’t just about gaming — it’s about setting responsible standards across the digital economy,” said a MeitY policy adviser.


Industry Awaits Clarity

Gaming startups and esports platforms have expressed cautious optimism, saying they support regulation that encourages transparency and player protection but hope for consultation-led policymaking to avoid overreach.

“We welcome rules that promote safety, but the line between gaming and gambling must be clear,” said Roland Landers, CEO of AIGF.

Industry observers note that the upcoming framework could reshape how platforms handle user data, advertising, and reward mechanisms — potentially making India’s gaming laws among the most comprehensive globally.


A Fast-Growing Sector Under Scrutiny

With more than 450 million gamers and one of the fastest-growing mobile gaming markets worldwide, India’s online gaming industry stands at a crossroads between innovation and regulation.

Analysts say the new policy push signals a shift from laissez-faire digital growth to controlled digital governance, mirroring global trends seen in the EU and China.

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