Power-Up: How Central India is Forging a Niche in India’s $9 Billion Gaming Industry

Introduction

India’s digital entertainment landscape is undergoing a seismic shift, and the gaming industry is at its epicenter. What was once a niche hobby is now a mainstream economic powerhouse, projected to surge from $3.7 billion in 2024 to an astounding $9.1 billion by 2029. While metros like Bengaluru and Pune have traditionally dominated the narrative, a new frontier is emerging from the heart of the nation. Central India, with cities like Indore and Bhopal, is quietly gearing up to claim its stake in this digital gold rush. Bolstered by strategic government policies, a burgeoning talent pool, and an entrepreneurial spirit, the region is transforming into a vibrant hub for GameTech innovation. This isn’t just about playing games; it’s about building them, and Central India is ready to press start.

What’s Happening: The National Gaming Boom

The statistics behind India’s gaming revolution are staggering. The nation is home to 591 million gamers, representing about 20% of the global total. This explosive growth is fueled by the trifecta of affordable smartphones, low-cost data, and a youth-dominated demographic. Mobile gaming is the undisputed champion, accounting for over 90% of the market. This mobile-first reality has democratized access, allowing developers to reach millions of users directly. The industry has not gone unnoticed by investors, attracting over $3 billion in Foreign Direct Investment (FDI) and creating employment for 130,000 skilled professionals. Reports from EY and Lumikai corroborate this hyper-growth trajectory, highlighting a compound annual growth rate (CAGR) of 28% between FY20 and FY23, a pace that significantly outstrips global counterparts like China and the US.

Why It Matters: A New Economic Engine for Central India

This national trend presents a monumental opportunity for Tier-2 cities. For founders in Central India, the GameTech sector offers a chance to build global products from their hometowns, bypassing the high operational costs of metro cities. For investors, it represents a high-growth, relatively untapped market with immense potential for value creation. For mentors and ecosystem builders like TiE, it’s an opportunity to nurture a new generation of creative-tech entrepreneurs. The rise of GameTech stimulates ancillary sectors as well, driving demand for skills in AI, cloud computing, digital marketing, and fintech for in-app purchases. This creates a virtuous cycle of innovation and employment, positioning the region as a hub for high-value job creation and economic diversification.

How Startups Can Respond: Leveraging the MP AVGC-XR Policy

The game-changer for entrepreneurs in the region is the recently launched Madhya Pradesh AVGC-XR Policy 2025. This visionary policy is designed to attract ₹2,000 crore in investment and generate over 20,000 jobs by creating an irresistible ecosystem for Animation, Visual Effects, Gaming, Comics, and Extended Reality (AVGC-XR) companies. For startups, this policy is a treasure map to resources and growth. The government’s commitment translates into tangible financial and operational support, drastically lowering the barriers to entry and scaling.

Here’s a breakdown of the key incentives startups can leverage:

Startups should align their business plans to maximize these benefits. This means meticulously documenting capital expenditures, formalizing employment contracts, and prioritizing the creation and registration of intellectual property. Aspiring founders can connect with TiE Indore for mentorship on navigating these policies and preparing their ventures for success. Explore our mentorship programs to get started.

The Local Lens: Indore and Bhopal as Emerging Hubs

The seeds of a gaming ecosystem are already sprouting in Central India. Indore is home to at least 14 gaming startups, including fantasy sports platform FSL11 and online gaming portal EvoGames. The city’s robust IT infrastructure, centered around the Crystal IT Park and Electronics Complex, provides a solid foundation. Educational institutions like IIT Indore and SGSITS are cultivating a pipeline of tech talent crucial for the industry. In Bhopal, companies like Praadis Education are integrating gamification into learning, showcasing the diverse applications of gaming technology. The government’s plan to establish AVGC-XR labs in fine arts colleges and a 20-acre AVGC Media Park will further accelerate this growth, creating a centralized hub for innovation and collaboration. This local focus is critical; it shows that building a successful GameTech in Central India is not just a dream, but an achievable reality.

“अब खेल केवल मनोरंजन नहीं, एक बहुत बड़ा उद्योग है। (Now, gaming is not just entertainment, it’s a massive industry.)”

Takeaways: A TiE Mentoring Perspective

From a TiE mentoring standpoint, the rise of GameTech in Central India is an exciting development. Here are three practical actions for aspiring entrepreneurs:

1. Focus on a Niche: The gaming market is vast. Instead of competing with giants, find your niche. This could be hyper-casual games for a specific demographic, educational games with a local curriculum focus, or culturally-themed content that resonates with the 600 million Indians who prefer regional languages.
2. Build a Community, Not Just a Game: The most successful games have strong communities. Engage with players from day one, use social media to build a following, and incorporate feedback into your development cycle. A loyal community is your best marketing asset.
3. Think Mobile-First and Global-Ready: Develop for the platform where 90% of your users are: mobile. However, design with global scalability in mind. A successful game in India can find a massive audience in other emerging markets across Southeast Asia, Africa, and Latin America. Leverage platforms like the Startup India Hub for global connections.

Conclusion: The Next Level Awaits

India’s journey to becoming a global gaming superpower is well underway. The narrative is no longer confined to the traditional tech corridors. With proactive government support through the MP AVGC-XR policy, a growing talent pool, and a vibrant startup culture, Central India is perfectly positioned to write its own chapter in this success story. For the entrepreneurs of Indore, Bhopal, Jabalpur, and Gwalior, the opportunity is immense. It’s a chance to blend creativity with technology, to build businesses that entertain and employ, and to place the heart of India firmly on the global gaming map. The next level is loading—it’s time to play.