The digital gaming industry has witnessed tremendous growth in India as a result of its ‘mobile-first’ population. The accelerated growth within the fantasy sports industry, commonly referred to as a ‘sunrise sector’ coupled with relatively slow regulatory developments, has led to the creation of a fair share of barriers and pain points for consumers and other stakeholders alike.
The primary issue at the centre of this regulatory tussle is whether fantasy sports are ‘skill-based’ or ‘chance-based.’ The Supreme Court, on August 8, dismissed a petition seeking a ban on a fantasy sports app. The Court deemed fantasy sports as an industry that isn’t in consonance with mere gambling but requires skill and decision-making equitable to other sports and, therefore, legitimate in the eyes of the law. In examining international practices, the Report is mindful of the fact that India’s culture varies significantly from countries that are far more open to embracing pay-to-play gaming, such as the United Kingdom. India, however, can develop a regulatory model that may influence the legislative approach of other countries, particularly those within Asia who are faced with similar challenges as India’s policy-makers. The economic potential of this industry, in addition to the knock-on effect of innovation and increased sports engagement, provides several opportunities for growth.
