Online gaming must not get to game this market

Source: The post is based on the article “Online gaming must not get to game this market” published in the Livemint on 5th January 2023.

Syllabus: GS 3 – Changes in industrial policy and their effects on industrial growth.

Relevance: About regulation of Online Games.

News: Recently, the government released draft IT regulations for gaming.

About the Draft Rules for Online Games
Must read: Draft Rules for Online Gaming
What is the need for regulating Online Games?

The regulation is required because a) Gaming can be an addiction, just like gambling, or perhaps even alcohol, b) India’s gaming industry will be an $8.6 billion industry by 2026-27. So, the online game industry should flourish within a well-defined framework of rules, and c) With the grievance and compliance norms, online games will gain legitimacy for operating in India.

What are the challenges associated with the regulation of Online Games?

Ambiguity in definition: Online gaming betting and gaming betting advertisements have been brought under prohibition. But there is a grey area of what constitutes a game of skill, as opposed to a game of chance.

Difficult in slotting games: In the digital realm, distinctions can be even harder to make. Further, the division of roles played by skill and luck in a game can be blurry.

Extra burden on companies: There are many rules that exist at the state level, and imposing a central rule on top of it will create an additional burden for internet gaming companies.

What should be done to ensure proper regulation of Online Games?

-Create a single-market regulation: Under the regulation of Online Games, the government should create an all-India legal code.

-The government should study the social impact and efficacy of rules. This is because a peculiar mix of vulnerabilities warrants special caution in the online game market.

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