Online Gaming Bill sparks sharp divide: Jobs, revenue at risk vs. youth protection

The Union Government today is set to introduce the Promotion and Regulation of Online Gaming Bill, 2025 in the Lok Sabha. The proposed legislation seeks to regulate e-sports, educational and social gaming, while imposing a blanket ban on online money games that involve monetary stakes. It also prohibits advertisements of such prohibited games.

The Bil will be introduced by IT Minister Ashwini Vaishnaw, proposes the establishment of a central regulatory authority to provide policy support, oversee compliance, and promote innovation. As per the financial memorandum, the authority will require an initial capital expenditure of around ₹50 crore, followed by an annual recurring cost of ₹20 crore from the Consolidated Fund of India.

The move has triggered sharp reactions across the political, business, and healthcare spectrum. Here’s a look at the most prominent responses:

Karti Chidambaram: Calls It a “Knee-Jerk Reaction”

Karti Chidambaram said:

"The proposed online gaming bill, The Promotion and Regulation of Online Gaming Bill, 2025 is being introduced without industry consultation, is a knee-jerk reaction that could prove counterproductive. It risks creating significant national security concerns by driving financial transactions offshore and pushing users toward the dark web."

He added:

"The bill threatens to eliminate 400,000 jobs, erase ₹20,000 crore in GST and TDS revenue (2024 data), and wipe out $6 billion in investments, while stifling future funding opportunities for game developers and related sectors."

And urged:

"The government should refer the bill to a select committee and hold public hearings to ensure a balanced and informed approach."

Priyanka Chaturvedi: Points to Loopholes and Cricket Sponsorships

On her official X handle, Shiv Sena (UBT) MP Priyanka Chaturvedi wrote:

"Many of these Online Money Games apps/ promoters have been rogues in their conduct and made brazen attempts to influence favourable opinion. They have made huge money because of a policy loopholes, having offices registered outside of India, have money to throw around to big names to endorse their games, btw one of them is a lead sponsor of the Indian cricket team (again BCCI functions as a republic with its own rules & zero accountability within The Indian Republic)."

Preetha Reddy: Welcomes Bill as a Protective Step

Preetha Reddy, Executive Vice Chairperson, Apollo Hospitals, said:

"The new Online Gaming Bill is more than regulation, it is protection. Online money games have left children and youth vulnerable to exploitation and serious mental health risks. This step puts wellbeing first, ensuring our future generations grow with balance and dignity."

India’s online gaming federations have appealed to Union Home Minister Amit Shah to intervene against the proposed The Promotion and Regulation of Online Gaming Bill, 2025, warning that a blanket ban on real-money games, including skill-based platforms, could devastate the industry and fuel the growth of illegal gambling networks.

In a joint representation (a copy of which is with Storyboard18), the All India Gaming Federation (AIGF), E-Gaming Federation (EGF), and Federation of Indian Fantasy Sports (FIFS) said the industry has become a key contributor to India’s digital economy, with an enterprise valuation of over ₹2 lakh crore, revenues of ₹31,000 crore, and annual tax contributions exceeding ₹20,000 crore. The sector, which employs more than two lakh people, is projected to grow at 20% CAGR and double its size by 2028.

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