Online gaming startup Zupee has let go of around 170 employees, nearly a third of its staff, after India’s new Promotion and Regulation of Online Gaming Act, 2025 came into effect. The law puts a blanket ban on real-money online games, forcing several platforms—including Zupee—to rethink their business models.
The company said it would give priority to those laid off when new positions open up. The move comes just weeks after many real-money gaming firms were forced to halt operations under the new rules.
Support for Affected Employees
Zupee has put together a transition package to help staff who are leaving. Along with financial assistance that goes beyond the usual notice period, long-term employees will receive up to six months of support. Health insurance remains valid, and the company has also created a ₹1 crore medical fund to provide extra cover. Outplacement services and career guidance are part of the package as well.
What’s Next for Zupee?
Despite the setback, Zupee isn’t shutting down. Instead, the company says it will shift its focus to online social games rooted in Indian culture, along with broader entertainment products. With more than 150 million users, Zupee believes this new direction will help it build a stronger and more future-proof business.
A Turning Point for the Industry
The layoffs at Zupee highlight how much India’s fast-growing gaming sector is being reshaped by the new law. As money-based games disappear, companies will be looking for new ways to keep players engaged and stay in business.
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