India’s leading gaming platform challenges new online gaming law
The first legal challenge to India’s new online gaming law has been filed by A23 owner Head Digital Works, which argues the legislation wrongly criminalises skill-based games like rummy and poker, threatening the country’s fast-growing real money gaming industry.
Head Digital Works, the parent company of the Indian online gaming platform A23, has filed a petition in the Karnataka High Court challenging India’s Promotion and Regulation of Online Gaming Law, 2025. That makes A23 the first real money gaming (RMG) operator in India to legally contest the new legislation.
The company argues the law criminalises legitimate skill-based games like rummy and poker, potentially forcing gaming businesses to close. Backed by investors such as Tiger Global and Peak XV Partners, India’s RMG industry was projected to reach $3.6 billion by 2029. The case could have nationwide implications for the sector.
Head Digital Works, owner of online gaming platform A23, described India’s Promotion and Regulation of Online Gaming Bill, 2025 as a ‘product of state paternalism’, in a court filing. They argue the law is unconstitutional when applied to skill-based games like rummy and poker.
Passed by Parliament on 21 August, the legislation has caused significant concern in India’s real-money gaming sector, threatening the future of many operators. The company urges the Karnataka High Court to overturn the law’s application to skill games, highlighting the potential negative impact on the industry’s growth and viability.
According to the Economic Times, the Indian gaming industry has experienced rapid growth, valued at USD 3.7 billion in 2024 and expected to reach USD 9.1 billion by 2029, according to the India Gaming Report 2025. With nearly USD 3 billion in foreign direct investment over five years and a user base representing 20% of the world’s gamers, India is now one of the largest gaming markets globally.
However, the new Promotion and Regulation of Online Gaming Law, 2025, has created uncertainty around this growth. Industry reactions are mixed, with some welcoming the ban while others express concern over its impact on the sector.