India’s MeitY Releases Draft Amendments Governing Online Gaming

Key insights

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New Framework

India's MeitY has introduced draft amendments to regulate the online gaming industry.

These amendments to the Information Technology Rules, 2021, aim to establish a formal regulatory framework for online gaming.

Content Restrictions

The government intends to restrict games associated with gambling, fraud, or threats to national sovereignty.

This builds on previous bans of titles like Battlegrounds Mobile India and Free Fire.

Restricted Content. The government intends to use these amendments to restrict games associated with gambling, fraud, or activities deemed a threat to national sovereignty, building on previous bans of titles like Battlegrounds…

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Summary

The Indian Ministry of Electronics and Information Technology (MeitY) has introduced draft amendments to the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, aimed at establishing a formal regulatory framework for the nation’s online gaming industry. Developed in consultation with various government agencies and industry stakeholders, the proposed regulations seek to increase oversight of digital gaming platforms, specifically targeting concerns regarding gambling, financial fraud, and the protection of minors.

The proposed amendments introduce a significant layer of administrative requirements for game developers and publishers. Key provisions include the establishment of self-governing bodies responsible for the registration and verification of online games. Developers will be required to display a compliance seal to users and must appoint a resident compliance officer in India to manage grievances and facilitate communication with law enforcement and government authorities. Furthermore, the framework mandates that these self-governing bodies report directly to the central government.

The regulatory scope focuses on mitigating risks associated with gaming addiction and financial loss, particularly for individuals under the age of 18. The rules also aim to curb products perceived as promoting gambling or play-to-earn models that may threaten national security or sovereignty. A public consultation period was established to gather feedback on these measures, concluding on January 17, 2023. This initiative represents a broader effort by the Indian government to standardize the legal environment for digital entertainment, following previous actions taken against specific mobile applications and gaming titles.