Online gaming firm Gameskraft has laid off 120 employees across teams as it halted operations following the implementation of the Promotion and Regulation of Online Gaming Act, 2025.<\/p>\n
The workforce reduction also comes as the company has filed a police complaint against its former group CFO, Ramesh Prabhu, who allegedly siphoned funds amounting to Rs 270.4 crore over nearly five years.<\/p>\n
According to the first information report (FIR) filed at Bengaluru\u2019s Marathahalli police station, Prabhu admitted in an email on March 5 that he had misused company funds for personal equity and derivatives trading, leading to estimated losses of over Rs 250 crore. ET has reviewed a copy of the FIR. <\/p>\n
The Bengaluru-based company said the new legislation has significantly disrupted the real-money gaming sector, forcing it to restructure operations. <\/p>\n
\u201cThis has been one of the most difficult decisions in Gameskraft\u2019s journey,\u2019\u2019 said Prithvi Singh, the company\u2019s founder and CEO. \u201cWhile this step is driven entirely by the external environment and the need to adapt to a new reality, it in no way reflects on the talent or dedication (of the employees),\u2019\u2019 he added.<\/p>\n
Impacted employees will continue to receive medical insurance until March 2026, along with wellness services, outplacement support, and priority consideration for future roles.<\/p>\n
As the business continues to evolve in response to external realities, it noted that further structural changes may be required, the statement added.<\/p>\n
ET reported on September 16 that Gameskraft was planning to lay off most of its 700 employees after October 31, following an advance payout of three months\u2019 salary in June.<\/p>\n
Gameskraft joins a growing list of gaming companies that have cut staff in recent weeks amid the fallout of the ban. These include Mobile Premier League (MPL), Head Digital, Games24x7, Zupee, and PokerBaazi.<\/p>\n
Following the union cabinet\u2019s decision to clear the new law last month, gaming federations had written to home minister Amit Shah, flagging that up to 2,00,000 jobs could be at risk.<\/p>\n
Several other real-money gaming firms have already exited India. Hike, operator of RMG platform Rush, shut down earlier this month. Winzo wound up its RMG business in India last month and entered the US with micro-dramas, while Flutter Entertainment-owned Junglee Games ceased operations on August 25, calling the regulations \u201cdisappointing\u2019\u2019.<\/p>\n
In an interview with ET on August 26, Dream Sports co-founder and CEO Harsh Jain acknowledged that staff could be affected, but stressed the company\u2019s commitment to retaining talent as long as possible. \u201cWe may need some cuts, but talent will be the last thing to go,\u201d Jain had said.<\/p>\n","protected":false},"excerpt":{"rendered":"
Online gaming firm Gameskraft has laid off 120 employees across teams as it halted operations following the implementation of the Promotion and Regulation of Online Gaming Act, 2025. The workforce reduction also comes as the company has filed a police complaint against its former group CFO, Ramesh Prabhu, who allegedly siphoned funds amounting to Rs 270.4 crore over nearly five years. According to the first information report (FIR) filed at Bengaluru\u2019s Marathahalli police station, Prabhu admitted in an email on March 5 that he had misused company funds for personal equity and derivatives trading, leading to estimated losses of over […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-962686","post","type-post","status-publish","format-standard","hentry","category-it-2"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/962686","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=962686"}],"version-history":[{"count":0,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/962686\/revisions"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=962686"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=962686"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=962686"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}