Gaming platform WinZO is turning to micro dramas and subscriptions to navigate the government's blanket ban on real-money games (RMG) in the country, Moneycontrol has learnt.
WinZO has confirmed this development to Moneycontrol hours after publication. The company is also expanding its international footprint, making its debut in the United States.
This move comes nearly two years after its foray into Brazil, aimed at diversifying operations following the government's introduction of 28 percent goods and services tax (GST) regime on real-money gaming apps.
The company is piloting a new feature, called WinZO TV, that offers bite-sized drama shows to its 250 million users.
The feature currently offers three shows in the romance and fantasy genres, dubbed from foreign languages. The first few episodes are available for free, with subsequent episodes priced at Rs 2 each. The app also notes that two more shows are in the pipeline. While promoted as WinZO TV across the app, the feature is expected to be rebranded as Zo TV.
"We are excited to introduce ZO TV, our new short video format, which further diversifies our content offerings and strengthens WinZO’s position as a global hub and one stop destination for interactive entertainment," Saumya Singh Rathore and Paavan Nanda, Co-Founders of WinZO, said in a statement.
Micro dramas, short serialised dramas of one to two minutes designed for mobile viewing, are rapidly gaining popularity in India. This surge has spurred the launch of more than a dozen apps from companies such as Kuku FM, Pocket FM, ShareChat, and Eloelo aiming to capitalise on the trend.
Artificial intelligence (AI) entertainment startup Dashverse recently raised $13 million funding to focus on its micro drama app DashReels and Frameo.AI, a generative video studio that allows creators to produce high-quality micro drama series.
US launch
With the launch in the United States, WinZO notes that it is now live in three of the world’s top four gaming markets, with a combined market size of $65–70 billion and more than 20 billion annual mobile game downloads.
"The launch of WinZO in the United States is a proud milestone for us and for India’s digital entertainment ecosystem. Our vision has always been to empower Indian game developers to reach global audiences. Entering the U.S., the world’s largest and most influential gaming market, is a decisive step towards that mission," the co-founders said.
The move will enable Indian game developers, building culturally relevant games, to attract a new set of audiences in one of the most mature and lucrative gaming markets, the company said.
Gamepass launch plans
WinZO is also set to roll out Gamepass, a new subscription service that will offer users access to unlimited games on the platform. The company revealed this plan in a video message to its users, which also teased new games and features. However, it didn't share any specific details on the service or its pricing.
Several other RMG applications, which have been offering free titles on their platforms since the ban on RMG apps, are also considering taking the subscription route or opt for an ad-supported model, sources tell Moneycontrol.
India's gaming law, which received Presidential assent on August 22, prohibits online money games, which are games where a user makes a deposit, directly or indirectly, with the expectation of earning winnings on that deposit.
Started by Paavan Nanda and Saumya Singh Rathore, WinZO offers over 100 games in 15 Indian languages developed by third-party game developers from around the world on its platform.
WinZO has raised a total of $100 million across multiple financing rounds from investors such as Griffin Gaming Partners, Maker’s Fund, Courtside, and Kalaari Capital until now.
In May, the company stated that its revenue from operations surged 70 percent to Rs 1,055.2 crore for the financial year 2024, from Rs 619.4 crore in FY23.
The company also saw its adjusted profit after tax more than double to Rs 315 crore for FY24, from Rs 125 crore profit in FY23.
This number, however, excludes the impact of an additional expense of Rs 999 crore on account of fair value treatment of CCPS (Compulsorily Convertible Preference Shares) as a liability, instead of equity as mandated by IndAS accounting methodology.
WinZO transitioned its accounting methodology from IGAAP (Indian Generally Accepted Accounting Principles) to IndAS (Indian Accounting Standards) in FY23. If the impact is included, the company has incurred a loss of Rs 684 crore for FY24.
Dream Sports, the parent company of fantasy sports major Dream11, is also piloting a personal money management app called Dream Money, which allows people to invest in gold and fixed deposits, as well as track their spending, Moneycontrol reported on August 23.
Note: The story has been updated to include WinZO's comments.
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