Zupee to lay off 200 employees amid real-money gaming ban
What's the story
Zupee, a leading gaming and entertainment platform, is laying off around 200 employees. The move comes as part of the company's restructuring process in response to the government's recent ban on real-money games (RMG). This decision will affect nearly 40% of its workforce. The company had previously laid off 170 employees in September 2025.
Company statement
'We are building a future-ready business'
In light of the job cuts, Zupee said it is working to "build a resilient, future-ready business aligned with the evolving regulatory and market landscape." The company's founder Dilsher Singh Malhi acknowledged the impact of these decisions on their employees. He said, "Decisions like these are never easy. Our people have played an important role in Zupee's journey and we deeply value their contributions."
Employee assistance
Extended financial support to laid-off employees
Zupee has promised extra financial support to its employees based on their years of service, beyond the contractual notice period. The company also said that health insurance coverage for these employees will remain active for its full term, even after they leave Zupee. Additionally, a ₹1 crore medical support fund has been set up by the start-up to provide further security.
Strategic shift
What next for Zupee?
Going forward, Zupee plans to focus on core growth areas such as culturally-rooted online social games and emerging content formats. The company was founded by Malhi and Siddhant Saurabh in 2018 and initially focused on board games like Ludo, Snakes and Ladders, and Carrom. After the RMG ban, it has expanded into microdramas, esports (Zupee Studio), astrology (Neo Astro), and microlearning (SuperLearn).
Growth trajectory
Recent acquisition and funding history
In November, Zupee acquired Australian AI start-up Nucanon to launch a new AI-powered interactive storytelling vertical. The company has over 200 million registered users and was last valued at $600 million after raising $102 million in January 2022. So far, it has raised over $121 million with investors such as WestCap Group, Tomales Bay Capital, Nepean Capital, AJ Capital, Z47 (formerly Matrix Partners India), and Orios Venture Partners.