Google Play Store to allow real-money games in India
What's the story
Google intends to authorize a wide range of real-money games on the Play Store, subject to approval by self-regulatory bodies, once the new regulatory framework is established in the country. The move is likely to boost skill-based gaming companies, which are currently struggling under the government's recent 28% GST levy on the real-money gaming segment. Starting October 1, the GST Council will impose a 28% tax on the full face value of bets placed on online gaming and casinos.
Details
Pilot program will conclude later this month
Last year, Google launched a pilot program in India, allowing the distribution of Daily Fantasy Sports (DFS) and Rummy apps to provide a safe and enjoyable user experience. The pilot is set to end on September 28. After September 28, no new apps will be accepted into the pilot program. However, existing apps participating in the program will be granted a grace period to remain on the Google Play Store until January 15, 2024.
Insights
Government's regulatory framework
In April, the Ministry of Electronics and Information Technology (MeitY) introduced amendments to the IT Act 2021, with a specific focus on gaming-related regulations. These amendments empower multiple self-regulatory organizations (SROs) to assess and determine whether a real-money game, involving the transfer of money, is permitted to operate in India.
Insights
Google's commitment to compliance
A Google spokesperson said in a statement, "We intend to enable distribution on Google Play for all Self Regulatory Bodies (SRB) verified online real money games that comply with our policies. We are closely tracking all developments in this regard to determine next steps and timelines." As regulatory bodies and self-regulatory organizations work together to establish clear guidelines, this move is expected to provide more opportunities for skill-based gaming companies and enhance the gaming experience for users in the country.