KRAFTON to Deepen Bet on India's Booming Gaming Market; Eyes Talent, Ecosystem Expansion

South Korean gaming giant KRAFTON -- the name behind popular esports title Battlegrounds Mobile India (BGMI) -- sees India as one of its most critical markets, with the country ranking among the top five globally for KRAFTON's revenue and within the top-three in terms of user numbers.

KRAFTON India CEO Sean (Hyunil) Sohn, in an interview to PTI, underscored the company's long-term commitment to India, emphasising that the company is not just here to launch a handful of games but to invest in the broader gaming ecosystem and nurture local talent.

"India is within the top five (global markets) in terms of revenue size for KRAFTON, and in terms of number of users, India is in the top three. So it's one of the major markets for KRAFTON.

"Gaming industry in India is one of the fastest growing markets... that excites us quite a bit, and that's why we are here for the very long term. We are not here to launch one or two games, we are here to grow the ecosystem together... we want to develop the talent pool so that we can grow the market, and also make gaming in India, for the global markets," he said.

Sohn said he is most excited by the rapid mainstreaming of gaming among India's youth, noting that a surge in new gamers over the past 5-6 years as mobile gaming has taken off.

KRAFTON has already infused over USD 200 million in India since 2021. It has committed an additional USD 200 million to be invested over the next few years.

"We have been investing in India -- more than USD 200 million now -- we are actually deploying in the same pace... we are seeing (that) lots of Indian users are paying for content on digital platforms, and at the same time we are seeing more innovation in fintech, healthtech and many other areas, so we are actually looking at those new areas at the same time," he said.

Earlier this year, KRAFTON led a USD 53 million (Rs 450 crore) funding round in payments company Cashfree Payments. The company has also invested in audio content platform Kuku FM.

"We want to build the ecosystem together and also grow with the ecosystem, that's why we don't just invest in gaming or digital contents platform, we want to invest in the ecosystem around it," Sohn noted.

He said KRAFTON is focused on developing India's gaming talent pool.

There are ample career opportunities in the gaming sector, he noted, drawing a stark difference between India and mature gaming markets like South Korea, which, despite a much smaller population, boasts over 120,000-140,000 game developers compared to India's estimated 50,000.

"There is a lot of room to grow and improve... we should give proper education and training for younger generation to start their career," he said.

While the company makes its merchandise for its fans, Sohn clarified that the company has no immediate plans to expand into broader commerce.

Instead, the focus remains on ecosystem development and supporting the government's evolving understanding of gaming as a legitimate business and career opportunity.

KRAFTON is soon to open its R&D unit in India, and plans to add 15-20 staff to its existing headcount of about 100 (in India).