Friday , September 30 2022

The Rise Of Future Unicorns

Four gaming companies are expected to become unicorns till 2025 

The gaming sector is witnessing astonishing growth over the last few years and the pandemic has germinated it further. Earlier the reports suggested a marvellous growth, which speculated the industry to earn $2.8 billion by 2022, an increase of more than two folds in just three years. 

The report findings are substantiated by the recently released Hurun India Future Unicorns list. Four gaming companies have made it to the list out of which, four companies were founded in 2018.

The list is divided into two categories, Gazelles and Cheetahs. Gazelles are those companies that are expected to become unicorns (valuation of $1 billion) in the next two years and Cheetahs are those which will take four years. 

MPL, which was founded in 2018 by Sai Srinivas Kiran and Shubham Malhotra, has made it to the second spot in the list of Gazelles. The company has received a total funding of $230 million from investors like Sequoia Capital, Moore Strategic Ventures, SIG, Pegasus Tech Ventures, and Founders Circle and has over 76 million users in India. 

With total funding of $30 million, Games 24×7 has bagged the 30th position. The company was founded in 2006 by Bhavin Pandya and Trivikraman Thampy. 

Just two spots below, on 32nd, ranks Zupee, founded in 2018, which has received a total funding of $50 million. With this, Zupee’s founders Dilsher Singh and Siddhant Saurabh have become the youngest (25 years) start-up founders to make it on the list. 

WinZO is on the 14th spot on the list of Cheetahs and has received total funding of $110 million. The company’s Year-On-Year revenue growth has increased by 591% and it is the only company from the gaming sector that has a female entrepreneur. The company is only three years old. 

With a cumulative Valuation of $2,280 million and four achievers, the gaming sector ranks fifth among all 10 sectors to participate in the list. 

Thrilled at this development, Roland Landers, CEO, All India Gaming Federation said, “We are happy to note that 3 out of the 4 future unicorns mentioned in the Hurun reports are leading members of the All India Gaming Federation (AIGF). We believe that advancement of technology, increased data penetration within the younger population, growth of digital infrastructure, and particularly digital payments have been critical contributors to the growth witnessed in this sunrise industry. Going forward, the localisation of gaming content will be a game-changer that will lead to increased adoption of online skill gaming and active investor interest.”

Landers further states, “As the oldest online skill gaming industry body, AIGF has been at the forefront of ensuring global best practices for its member stakeholders through self-regulation by means of its ‘Skill Games Charter’ that covers all aspects of the online gaming business process including player interests and responsible gaming. We look forward to many more members of AIGF achieving scale and growth to become future unicorns.” 

Commenting on the achievements, Prateek Gupta, Founder of India Fantasy, said, “The gaming industry is a multi-billion-dollar industry and a sector where multiple players can survive. The gaming industry will entirely depend on skill-based games, which all games can be introduced to the users with the increasing interest of users in esports as well, gaming users are becoming more and more conscious nowadays. Gaming companies are working on innovation in their product whether it is related to the UI/UX, the journey of the user within the app, introducing new features, etc.”  

“Another major aspect for the companies joining the Unicorn League could be the clean legal structure and regularisations from the government which will enable and generate more confidence among the institutional investors which will ultimately lead to the rise of many small players in the niche,” added Gupta. 

About Sneha Lata

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