After receiving a green signal in the Lok Sabha within 7 minutes on Wednesday, the Promotion and Regulation of Online Games Bill, 2025, was passed today in the Rajya Sabha as well. With the bill now headed for the President's approval, it seems certain that the online gaming bill will become an Act in its current shape and form.

Speaking in Rajya Sabha today, Union Minister Ashwini Vaishnaw said: "The government's objective is to promote online social and e-sports games, while it is necessary to impose strict control on online games involving money." He earlier said the bill and this exercise have been going on for over three years and that the government has been deeply engaged with the industry to assess how the harmful impact of money gaming can be prevented.

Now, with the bill on the verge of becoming a law, the question arises: what are the options for the companies affected by the new bill? Experts are saying the Online Gaming Bill’s sweeping definition of “online money games”, covering both skill-based and chance-based formats, poses a "serious constitutional challenge" under Article 19(1) (g), which protects the right to trade and occupation.

Sources in the industry say the companies are weighing all legal options, including moving to the Supreme Court against the provisions of the bill and lobbying for amendments. "Fantasy sports and other real-money gaming (RMG) operators, whose formats have been judicially recognised as skill-based and legitimate, may argue that the Bill’s failure to distinguish between skill and chance renders it overbroad and disproportionate, violating the doctrine of proportionality," Sundeep Gupta, Partner- Accounting and Business Support, Baker Tilly ASA India tells Fortune India.

On how the new bill will affect some of the biggest players, such as Dream11, MPL, Zupee and Winzo, among others, Ananay Jain, Partner- Media, AVGC, E-gaming, GCCs, Technology, Grant Thornton Bharat, told Fortune India that with the ban on RMG now seemingly imminent, these companies will have to strategise on how they can work around the bill. "I'm sure the lawyers will be working overtime for now. So, these companies have a casual gaming segment that will work undeterred. They will continue with those at least. For anything involving money, it's going to be a huge challenge because not only has the government banned it, but it is also planning to place restrictions on ads."

Adding to the chorus, the country’s leading online gaming companies and associations representing them, including the All India Gaming Federation (AIGF), E-Gaming Federation (EGF) and the Federation of India Fantasy Sports (FIFS), have already submitted a formal petition to the government, urging for balanced regulation instead of prohibition.

The Centre’s reliance on public order, health, and national security under Article 19(6) must be backed by clear evidence that skill-based games inherently cause harm, Gupta said, adding that the courts have previously struck down similar bans for lacking empirical justification and legislative nuance.

Although companies and associations representing them are in a wait-and-see mode, there are expectations that a flood of litigations will follow the bill. "Stakeholders must prepare for litigation and advocate for a differentiated regulatory framework, one that targets actual harms without compromising constitutionally protected economic freedoms or jeopardising a high-growth digital industry," says Gupta.

Beyond constitutional concerns, the bill threatens significant economic disruption. Following the development, a public outcry has erupted, with people voicing alarm over the bill’s wider economic fallout. They fear it will have a chilling effect on foreign direct investment (FDI), innovation and India’s digital growth story. The industry has also come together, with an online petition, urging the support of the masses to reject or amend the Bill.

Experts also warn the Bill’s broad and vague definitions risk pulling even social or virtual-stake games into the net of online money games has also created confusion. “The sudden ban not only destabilises thousands of livelihoods but also invites constitutional scrutiny – with respect to right to trade under Article 19(1)(g), the principle of legitimate expectations, or the Centre’s legislative capacity to legislate a domain reserved for states,” says Nikhil Narendran, Partner- Technology, Media and Telecommunications Practice, Trilegal.

Industry watchers say the bill, if implemented, could lead to the closure of several small gaming companies or suspension of operations. Some with a high war chest will pivot to non-RMG segments, while some could move operations offshore.

India’s online skill gaming sector contributes thousands of jobs, attracts foreign investment, and generates substantial tax revenue. A blanket regulatory approach risks stifling innovation, driving operators offshore, and undermining investor confidence. The RMG companies are of the view that in the long run, a blanket ban will not protect Indians but harm them. They believe it will kill jobs and drive users to illegal gambling.

India has one of the biggest gaming ecosystems in the world, with over 591 million users, second only to China, and many responsibly engage in skill-based games. The sunrise industry has been valued at $25 billion, generating $3.5 billion in revenue and contributing ₹25,000+ crore annually in taxes. It also supports around 1 lakh direct and indirect jobs. It remains to be seen how the companies navigate the current set of challenges posed by the new bill.