A23 parent Head Digital Works moves K'taka HC against new online gaming law

Head Digital Works, parent company of online real-money gaming platform A23, moved the Karnataka High Court against the central government’s new online gaming law on Thursday. This makes Head Digital Works the first company to challenge the latest gaming law that aims to regulate all kinds of online games. 

The company’s move comes as most of its competitors, including Zupee, Dream11 parent Dream Sports, Pokerbaazi parent firm Moonshine Technology, and Gameskraft, have decided against opposing the law that was passed in the Parliament just a week ago. According to a report by Moneycontrol, the matter is expected to be heard on August 30.

 

New law bans real-money games

The Promotion and Regulation of Online Gaming Bill, 2025, prohibits online real-money gaming in which users deposit funds, directly or indirectly, with an expectation of earning winnings on that deposit. The government noted that these games will be treated like betting and gambling, effectively banning them across India. 

 

With this legislation, India aligns itself with global markets like the United States, the United Kingdom, and the Netherlands, where regulators have drawn clearer boundaries between gambling and sports sponsorships

Risks posed by online money games

The government argued that the rapid spread of online money games has created serious risks for individuals and their families. While digital technology has brought many benefits, these games have exploited loopholes in the law and caused deep social harm, it said.

 

Speaking in the Rajya Sabha, Union Minister for Electronics and Information Technology  Ashwini Vaishnaw said, “At least 4.5 million people are negatively affected by online money games and faced a loss of more than ₹20,000 crore.” The government said it has acted to close these gaps and protect citizens.