“Gaming and E-Sports Set to Skyrocket Over the Next Decade, Says Zerodha Co-Founder Nikhil Kamath
Nikhil Kamath, co-founder of Zerodha, predicts a significant surge in the gaming and e-sports industry over the next ten years, emphasizing the rapid growth among younger demographics. Kamath’s stake in Nazara Technologies is set to increase to 3.5 percent, reflecting his confidence in the sector’s potential.
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Nikhil Kamath, the co-founder of Zerodha, a prominent online trading platform, foresees a remarkable expansion in the gaming and e-sports landscape over the next decade. Kamath’s prediction comes as his stake in Nazara Technologies, a leading player in the gaming industry, is poised to rise from 1 percent to 3.5 percent.
Nazara Technologies’ board recently approved the issuance of shares worth Rs 100 crore to Kamath’s companies, solidifying his commitment to the burgeoning gaming sector. In an interview with CNBC TV-18, Kamath expressed his intention to further increase his stake in the company.
Kamath highlighted the extraordinary growth rate in gaming, particularly among individuals below the age of 20, both in India and worldwide. He anticipates that gaming and e-sports will outpace traditional content industries in terms of growth.
Nazara Technologies holds a dominant position in India’s gaming landscape, making it a logical choice for Kamath’s investment. He clarified that this investment is primarily a personal one and not linked to Zerodha, India’s leading stockbroker.
Regarding the future of e-sports, Kamath expects continued rapid expansion, driven by increasing internet penetration. He emphasized the need to support Indian companies like Nazara Technologies, which are pioneering innovative approaches to e-sports and gaming. Kamath expressed hope that these Indian companies would one day compete on a global scale with larger international players.
The growth potential in India’s gaming industry is evident, with online gaming revenues surging from $2 billion in FY21 to $2.6 billion in FY22, according to a report by Lumikai. Projections indicate a compound annual growth rate of 27 percent, reaching $8.6 billion in FY27. Additionally, the number of esports players in India increased fourfold from 150,000 in 2021 to 600,000 in 2022, with expectations to reach 1.5 million by 2027, according to a report by Lumikai and Amazon Web Services.
E-sports is on track to become a Rs 1,100 crore industry by 2025, marking a significant four-fold increase from Rs 250 crore in 2021, as reported by Ernst & Young (EY).
Nikhil Kamath’s investment in Nazara Technologies underscores the remarkable potential and rapid growth anticipated in the gaming and e-sports sector, positioning it as a significant player in India’s digital landscape.
Sources By Agencies
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