Paytm and AGTech have formed a joint venture to launch a mobile gaming platform for the Indian market. The new platform is called Gamepind and will offer a wide range of mobile gaming options to customers. Apart from offering Indian players a large portfolio of games, Gamepind will also offer merchants ways to market and promote products to potential shoppers. Indian based Paytm and Hong Kong based AGTech are both backed by the Alibaba Group.
New Venture Targeting $1.3 Billion Gaming Market
The mobile gaming industry in India is estimated to around $1.3 billion and is expected to grow at a rapid rate in the coming years as smartphone penetration is expected to grow simultaneously. Paytm will invest $8.8 million into the deal, while $7.2 million will come from AGTech. This will give the Indian company a 55 percent stake in the venture while AGTech will own the remaining 45 percent.
In a statement, Vijay Shekhar Sharma, founder of Paytm, said “India’s young consumers are experimenting and discovering more entertainment options on the mobile. AGTech’s expertise and experience in the global gaming market will help us accelerate our plans in gaming and bring exciting content to our users.”
A report published in 2016 ranked Indian fifth in worldwide mobile game downloads. During the last couple of years, India’s mobile users have grown significantly and so has the number of customers playing online games. Gaming analysts predict that Indian mobile gaming revenues will hit $1.1 billion by 2020.
Besides the rise of cheaper and more powerful smartphones, the other reason for the rise in mobile gaming is due to the lowering of prices for 4G networks. The expense of paying for a 4G network was once considered a major barrier for mobile gaming in India local networks have reduced those charges in recent months which have helped spur an increase in online gaming.
Teen Patti Gold Popular With Young Gamers
The Gamepind platform will be made available via the paytm app which is very popular with Indian users. Online gaming operators have in the past customized online games for the Indian market. Teen Patti Gold is one of the most popular online games in the country and is a poker variant that Indians prefer to play. Players can play Teen Patti Gold on the move and do not have to deposit any real money.