Gameskraft Lays Off Over 400 Employees After Online Gaming Ban

Bengaluru-based real-money gaming firm Gameskraft Technologies has announced the layoff of more than 400 employees, accounting for over half its workforce, as it grapples with the implications of India’s new regulatory regime for online gaming, as per the news reports. 

Scope of Layoffs and Driving Factors

The latest round of job cuts follows earlier layoffs of around 120 employees and comes amid the enactment of the Promotion and Regulation of Online Gaming Act, 2025, which targets real-money gaming platforms offering monetary prizes. 

Gameskraft stated that the regulatory shift rendered many of its core verticals unviable. The company, once employing around 600 staff, now reportedly has fewer than 100 employees. 

Impact on the Business and Worker Support Measures

As the business model faces structural disruption, Gameskraft also highlighted transitional support for affected employees, including severance pay based on tenure, medical coverage extensions until March 2026, and re-employment assistance.  

The broader industry has also seen major job losses; staffing firms estimate over 2,000 workers in the sector are seeking new roles post-ban. 

Read More: Massive Tech Layoffs in 2025: Over 1 Lakh Jobs Lost Amid AI and Cost Cuts!

Conclusion

Gameskraft’s large-scale restructuring reflects the immediate impact of regulatory overhaul in the online gaming sector. The company’s ability to adapt its business model will be closely watched by investors, employees and the industry at large.

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