Can India’s Online Betting Industry Thrive Amid High Stakes and Rising Risks?

India’s online gambling industry isn’t just growing it’s accelerating at an unprecedented pace. From USD 0.77 billion in 2017 to USD 2.52 billion in 2023, with projections soaring to USD 3.89 billion by 2029. This isn’t just another trend, It’s a seismic shift, reshaping consumer behaviour and digital transactions. The stakes? Monumental, The risks? Even bigger. Will this be a billion-dollar gold rush or a ticking time bomb waiting to explode? 

For those who play their cards right, the payout could be massive. But here’s the reality: this isn’t just a financial gamble it’s a game of power, regulation, and technology. The online gambling industry in India is balancing on a knife’s edge, caught between surging consumer demand and a regulatory minefield. Investors who think they can sit back and ride the wave may soon find themselves drowning. 

Summary  

• Cricket dominates, accounting for 90% of all sports betting revenue, attracting over 340 million bettors during IPL and World Cup events. 
• Mobile gambling leads the market, with 70% of traffic coming from smartphones, driven by AI-powered personalization and seamless transactions. 
• Regulatory uncertainty is a major challenge, with a 28% GST pushing many users toward offshore platforms worth an estimated INR 8.2 trillion. 

The Market’s Hottest Hand and Why Cricket Is King 

Forget traditional casinos—India’s gambling boom is playing out in the palm of your hand. Cricket betting is the undisputed champion, accounting for nearly 90% of all sports betting revenue. More than 340 million people placed bets during IPL and World Cup matches, making it one of the most lucrative digital markets in the world. With the Average Revenue Per User (ARPU) projected to hit USD 284.40 in 2024, the question isn’t whether this market will grow—it’s how fast. 

The shift to mobile gambling has shattered every previous barrier. With over a billion smartphone users in 2023 and internet penetration approaching 49%, the accessibility of online betting has never been greater. AI-driven predictive models are fine-tuning player experiences, personalized promotions keeping users hooked, and seamless digital transactions are eliminating friction.

The Regulatory Wild Card is Boom or Bust? 

The Indian government shook the table in 2023 by slapping a hefty 28% GST on the industry, a move expected to divert a significant portion of users to offshore platforms worth billions. This isn’t just about taxation—it’s about control.

With some states, like Tamil Nadu and Telangana, outright banning online gambling, the industry is being forced into a chaotic legal grey zone. The next few years could determine whether this sector thrives under structured regulation or collapses under fragmented policies. 

However, history has shown that markets with ambiguity often become the breeding grounds for industry titans. The question is, who will take the lead? Companies that proactively align with regulations, champion responsible gambling, and work alongside policymakers could be the ones that cement their dominance. Those who ignore compliance may find themselves scrambling when the government inevitably tightens its grip. 

How to Stay in the Game 

This isn’t just about throwing money at a growing industry, it’s about betting smart. With a projected CAGR of 7.5% between 2023 and 2029, India’s online gambling sector is a high-reward, high-risk arena. The real winners will be those who understand the game beyond just numbers. 

Mobile-first platforms are where the real money is flowing. With 70% of all gambling traffic coming from smartphones, companies prioritizing mobile experiences will dominate. Regulatory alignment will separate the long-term players from those who crumble under legal scrutiny. AI-driven user engagement strategies, secure payment infrastructures, and global expansion plans will act as hedges against domestic volatility. 

The smartest investors won’t just chase quick returns. They will look at where the industry is going—who’s innovating, who’s adapting, and who’s thinking beyond just profit. Will we see the rise of Indian betting unicorns, or will international giants swallow the market whole? 

Final Roll—Are You Betting on the Future? 

India’s online gambling industry isn’t just another digital boom, it’s a battleground. The numbers are skyrocketing, but so are the risks. This is no longer a question of whether this industry will grow, it’s a question of who will survive. Will regulators tighten their grip and drive businesses offshore, or will we see a new era of legitimized, structured online gambling in India? 

The dice have been rolled. The cards are on the table. The only thing left to ask is—are you in, or are you watching from the sidelines while the high rollers take it all?