Mobile Premier League, Other Online Gaming Apps Block Access in Karnataka as Ban Takes Effect

Sequoia Capital-funded Cellular Premier League (MPL) was among the many first few gaming startups that started blocking entry to customers within the Indian state of Karnataka on Wednesday following a ban on on-line gaming.

The legislation, which got here into impact late on Tuesday, bans on-line video games involving betting and wagering, and “any act or risking cash, or in any other case on the unknown results of an occasion together with on a sport of talent.”

The newest ban has intensified considerations that rising state rules might hit the nascent however booming gaming sector in India, the place international buyers have pumped in hundreds of thousands of {dollars} in current months.

On Wednesday morning, MPL’s gaming app confirmed messages to customers in Karnataka that stated: “Sorry! The legislation in your state doesn’t allow you to play Fantasy sports activities,” “Fantasy video games are locked,” and “money video games are locked.”

The gaming app affords fantasy cricket and soccer video games and permits real-money wagering on them.

Dream11, one in every of India’s hottest gaming apps backed by Tiger Global, was nonetheless operational, however Paytm First Games was not.

Dream11 declined to remark, whereas MPL and Paytm didn’t instantly reply.

Karnataka, house to a few of the world’s greatest tech firms and India’s tech capital Bengaluru, is the newest Indian state that has banned such on-line video games after Telangana and Andhra Pradesh. Tamil Nadu had additionally imposed such bans, however its invoice was struck down by its excessive courtroom.

An business supply had advised Reuters earlier that these states have been necessary for the gaming enterprise and account for roughly 20 % of the overall enterprise for firms.

Roland Landers, the chief government of the All India Gaming Federation, stated “the business will problem this in courtroom and search authorized recourse.”

Two different business sources advised Reuters on Wednesday that avid gamers and a few firms have been planning to file courtroom challenges towards the brand new Karnataka legislation.

The legislation imposes hefty fines and jail phrases on violaters and has been applied amid rising considerations that on-line gaming platforms, like playing, are addictive and may trigger monetary hurt.

© Thomson Reuters 2021

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