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Before Pandemic Boom, Paytm First Games Loss Grew 224% In FY20

If the potential of online gaming wasn’t evident before, 2020 surely drove the realisation home, with many hailing it as the sunrise sector. The bevy of offerings, ranging from online games of skill such as rummy, poker and fantasy sports, to casual video games to esports titles, meant that India’s online gaming players offered something for everyone. This at a time many were hunting for engaging apps on their smartphone to kill time amid the Covid-19 lockdown.
A prelude to this growth can be seen by studying the financial performance of one of the players, Paytm First Games. In the fiscal year ended March 31, 2020 (FY20), the company, a subsidiary of One97 Communications, which owns and operates digital payments giant Paytm, recorded a revenue of INR 19.4 Cr, an increase of 55% year-on-year (YoY) from INR 12.5 Cr in FY19. ....

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2020: The year gaming industry came out of age

THE PUBG BAN
One of the big events that impacted Indian gamers was the ban of PUBG. The app was banned under Section 69A of IT Act. PUBG mobile s parent PUBG Corporation has now severed its ties with Tencent and is trying to make a comeback in a new avatar, but is yet to get the green light.
GAMING IS A SERIOUS BUSINESS
Historically an under-financed sector in India saw a coming-of-age year in 2020. We saw the entry of RIL with Jio making an undisclosed Series A investment in AR gaming startup Krikey. We even saw India s first gaming-focused VC fund, Lumikai that will back 20 early-stage companies. Add Paytm First Games earmarked 10-cr corpus to invest in local gaming studios and the prospects are looking great. ....

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