The fallout from India’s new Online Gaming Bill 2025 has begun, with Dream Sports, the parent company of fantasy gaming giant Dream11, reportedly set to shut down its real money gaming (RMG) operations. According to sources cited by Entrackr, the decision was communicated to employees during an internal town hall on August 20, just a day after the bill was passed in both the Lok Sabha and Rajya Sabha. This move marks a seismic shift for the company, as RMG contributes to over 67% of its annual revenues.
Dream Sports has already started suspending its real money gaming offerings. It has paused all 'Pay to Play' contests on its recently launched app, Dream Picks, and suspended its casual RMG app, Dream Play. A notice on the apps assured users that their account balances are secure and can be withdrawn through the main Dream11 platform. Sources suggest that the company also plans to suspend paid contests on its flagship Dream11 app once the law is officially notified following the President's assent.
The impact is not limited to Dream Sports. Other major RMG operators, including Gameskraft and Probo, have also begun to halt their real money services in India. Gameskraft’s rummy app, RummyCulture, has suspended "add cash and gameplay services," while opinion trading platform Probo has also immediately ceased its RMG operations. The broader advertising industry is bracing for a significant blow, with experts estimating a potential revenue loss of ₹4,500 crore as gaming platforms, which are major advertisers for sports leagues and prime-time television, pull back their spending.
According to internal communications, Dream Sports CEO Harsh Jain reportedly informed employees that there is "no legal pathway to continue operations once the law takes effect." The company is now reportedly pivoting to other business verticals, including FanCode, DreamSetGo, and Dream Game Studios, and will explore new game formats for overseas markets, similar to the strategy adopted by Mobile Premier League (MPL). This sudden strategic pivot is expected to trigger "severe cost-cutting measures, including mass layoffs, as the RMG business employed the majority of the firm’s workforce."
For Dream Sports, founded in 2008 and boasting over 280 million registered users, this development presents a near-existential crisis. Historically, over 90% of its revenues have come from Dream11's paid fantasy contests. We are seeing the far-reaching and immediate consequence of the new online gaming bill on an industry that was projected to be a multi-billion-dollar market.
