e-Gaming firms in Bengaluru to take legal recourse following ban imposed by Karnataka Assembly.
Karnataka currently houses approximately a hundred gaming firms. This is in addition to the thousands of game developers, gamers, graphic artists and several other professionals who are directly or even indirectly involved in the industry.
What is surprising is that this ban comes just a few weeks after the Madras High Court had struck down a similar ban of the state government to put a ban on online gaming. This ban can be a massive setback to the e-Gaming industry in India, which is still in its early stages.
This move by the Karnataka Assembly has come as a shock to the IT industry especially because Bengaluru has always been termed as “The Silicon Valley of India”. The city has always been India’s focal point of IT development, innovation and prowess.
Karnataka Becomes The Fourth South Indian State To Put A Ban On E-Gaming: ET NOW
While the companies have decided to challenge the ban in court, this move by the state government could see the companies moving out of the top technical development hub in the country to other places. This could see the companies to the other IT hubs in the country such as Noida, Gurugram, Hyderabad or even Pune.
Several state governments have had concerns regarding e-Gaming their main concern being that it has been promoting gambling practices. This has been festering despite several judgements passed by the different courts in the country, including the Supreme Court. In one of its judgements, the Supreme Court had approved ‘skill based’ play over ‘chance based’ ones.
About the ban enforced by the Karnataka State Government, the Internet and Mobile Association of India (IAMAI) says, “IAMAI is of the view that the bill may hurt Karnataka’s position as the country’s start-up hub and lead to the loss of jobs and revenue for the state”. It further said that the bill was drafted without taking into consideration “the various legal and constitutional positions”.
The Karnataka State Government’s decision to ban e-Gaming will be a major setback to the industry that is still in its infancy and growing. What are your thoughts on this move? Let us know in the comments below.