A23’s challenge to India’s nascent online gaming ban saw no immediate relief in its first hearing before the Karnataka High Court. The court declined to grant a stay on the contentious Promotion and Regulation of Online Gaming Act, 2025, which is yet to be notified, setting the stage for further legal engagement.
Respondents were directed to file their responses and complete pleadings on the interim application for stay by September 8, with the matter slated for a fresh hearing that day.
The petition argues that the law infringes on constitutional rights, including the freedom to conduct business and free speech, while disproportionately targeting skill-based gaming ventures. A23 contends the legislation could devastate a thriving industry and drive players toward unregulated offshore operators. It specifically challenges the act’s criminal penalties and advertising restrictions as excessive.
This case represents a pivotal moment in the regulatory landscape for India’s online gaming sector. The court’s upcoming review will focus on balancing government regulation goals with safeguarding industry growth and individual rights, a matter poised to shape the future of digital gaming in the country.
As the legal battle unfolds, industry stakeholders are keenly watching the Karnataka HC’s deliberations for indications on the government’s approach to emerging digital markets.
