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With the latest NCLT (National Company Law Tribunal) approval for the acquisition of experiential gaming and entertainment company Smaaash Entertainment via a corporate insolvency process
for ₹126 crore, India's only listed gaming & entertainment major Nazara Technologies is sticking to its core 'portfolio strategy' by expanding its footprint in experiential entertainment
alongside esports, mobile gaming, and edutainment.
The company is following the Tencent playbook in India, and claims it's well on its way to being a similar force in the country. Nitish Mittersain, Founder & Jt MD, Nazara Technologies
believes despite structural issues like low monetisation per user, fragmented consumer base, the lack of deep capital for gaming IPs, and cultural ecosystem, India is catching up fast,
thanks to the success of mid-core and narrative titles, growing vernacular content, and government recognition. "We’re still 5-7 years away from creating a global-scale IP like Genshin
Impact or Call of Duty, but the ecosystem is forming. Nazara’s goal is to help accelerate that process through capital, publishing, and strategic acquisitions. Nazara is well on its way to
being the Tencent of India," he tells Fortune India. China-based Tencent is one of the world’s largest gaming companies by revenue, with interests spanning across gaming, social media,
investments, AI and fintech.
The diversified approach across gaming, esports, ad-tech, and early learning has paid off well so far. "From the very beginning, we believed India’s gaming market would not follow a
single-format evolution. Unlike mature gaming markets that developed around strong console or PC IPs, India leapfrogged directly into mobile, bringing with it a wide range of player
profiles, monetisation challenges, and consumption patterns," he adds.
Rather than betting on a single genre or business model, Nazara has always participated in multiple slices of the value chain and stays adaptable in a fragmented, fast-evolving market.
For example, the acquisition of casual gaming allowed it to access a broad base of mobile-first users, while Kiddopia (early learning) tapped into a high-LTV, globally monetisable niche.
NODWIN Gaming's acquisition helped it build audience engagement and IPs with younger demographics, says Mittersain.
Chasing a single blockbuster IP is high-risk, high-reward. But the economics in India have traditionally been low ARPU, high engagement, and Nazara has mastered the art. "Building a
sustainable business here often means creating repeatable monetisation engines, not one-hit wonders. That’s why we’ve chosen a multi-IP, multi-niche strategy. By backing multiple
formats—like simulation, narrative, early learning, and sports games, we reduce dependency on any single title or trend," says the Nazara Jt MD.
It also showcases the vastness of India's large gaming and entertainment market. "A Tier 1 parent downloading Kiddopia is a different user than someone watching a BGMI esports tournament.
Each segment has a different lifetime value, engagement cycle, and platform affinity," says Mittersain.
While the approach may differ from some of the established markets, Nazara is satisfied with "building an ecosystem", which monetises through a combination of IAPs, subscriptions, brand
sponsorships, adtech, and licensing. "This is a more resilient and scalable approach in India’s complex digital landscape."
Despite this, the company believes the next big wave is coming in India soon. "India has long been seen as an outsourcing hub for global gaming companies. But today, we're at an inflection
point. With rising product talent, better access to capital, and maturing user design sensibilities, Indian studios are starting to create original IPs that can compete globally."
Notably, Nazara is already breaking the barriers with offerings like Kiddopia, Animal Jam, and Fusebox Games, which are allowing it to tap the global user base. "The next 5–10 years will see
Indian developers not only powering global games but owning global IPs. That’s the leap we’re preparing for."
The gaming and e-sports platform had recorded a 53.6% decline in net profit at ₹13.68 crore for the October-December quarter of FY25 compared to ₹29.52 crore in the year-ago period. Its
revenue, however, surged 67% to ₹534.7 crore YoY.