Sequoia Capital-funded Mobile Premier League (MPL) was among the initial, not many gaming startups that started hindering access to users in Karnataka on Wednesday following a restriction on online gaming.

The law, which became effective late on Tuesday, boycotts online games including wagering and betting, and “any act or gambling money, or in any case on the unknown consequence of an occasion including a game of skill”.

The Karnataka gaming boycott has escalated worries that developing state guidelines could hit the beginning of the thriving gaming sector in India, where foreign investors have pumped in a huge number of dollars later.

On Wednesday morning, MPL’s gaming application showed messages to users in Karnataka that said: “Sorry! The law in your state doesn’t allow you to play Fantasy sports”, “Fantasy games are locked” and “cash games are locked”. The gaming application offers fantasy cricket and football match-ups and permits real money wagering on them.

Karnataka, home to a portion of the world’s greatest tech organizations and India’s tech capital Bengaluru, is the most recent Indian state that has restricted such online games after Telangana and Andhra Pradesh. Tamil Nadu had likewise forced such boycotts; however, its bill was struck by the Madras high court.

An industry source had told Reuters before that these states were significant for the gaming industry and record for generally 20% of the total business for organizations.

Roland Landers, the CEO of the All India Gaming Federation, said “the industry will challenge this in court and look for a lawful plan of action”.

Two other industry sources told Reuters on Wednesday that gamers and a few organizations were planning to file court difficulties against the new Karnataka law.

The law imposes powerful fines and jail terms on violators and has been carried out while growing worries that online gaming platforms, such as gambling, are habit-forming and can cause monetary loss.

Credits: ET Telecom.com

Credits: Hindustan Times