AHMEDABAD: Zapak Digital Entertainment, a Reliance ADA Group venture will be investing over $50 million to create 65,000 gaming seats across major cities of India in the next three years. In the first phase it will open up gaming zones in metro cities with high broadband connectivity that will provide the right gaming environment to the gamers. “Games are addictive and users tend to spend more time at internet cafes that offer games.
Our objective is to provide high speed connectivity and right gaming experience through these gaming zones,” company's chief technology officer, Sudipto Majumdar. Zapak is trying to increase its subscription in the metro regions. About 20% of the existing members of Zapak are from Delhi and NCR region , 17% from Mumbai, a 7% to 8% each from Hyderabad and Bangalore. To popularise the gaming in tier II and tier III cities, the company will come up with 20-30 seats gaming zones here.
This will also help customers to get the experience of broadband. In 2005-2006 Indian gaming industry was around Rs 150 crore. Of this Rs 100 crore was for the games played on mobile phones while Rs 50 crore on CDs and consoles, says Majumdar. Nasscom has estimated the Indian gaming industry to cross $424 million by 2010, a CAGR of nearly 72%. The same report estimates the global gaming market stood at $21 billion in 2006.
It is expected to reach $42 billion by 2010 growing at a CAGR of nearly 18%. Online and mobile gaming, represented by the ADAG companies is expected to grow at 25-30 % by 2010. Rapid adoption of the internet with 3.9 crore users currently , increasing broadband penetration, growth in internet cafes with more than 1,00,000 outlets in the offing online games market in India is hotting up.
Game operators are now promoting and educating consumers about online games including Massively Multi-Operator Games (MMOGs) which can earn more revenues in terms of subscription. “We are coming up with MMOGs with a monthly subscription.