Real money gaming's loss is Esports gain as Tesla, Bisleri, Red Bull rush to sponsor tournaments

Rohit Agarwal credits two factors that have unlocked a higher interest by brands. One is the brand-safety clarity as esports will not be considered as money-gaming anymore, and the second being the scale of India’s online gaming market, at 488 million in 2024.

"We are seeing more briefs for league and tournament sponsorships, creator-led content, and programmatic in-game media. The intent is shifting from test budgets to seasonal lines," he said.

Krafton, the maker of one of India's most popular esports game BGMI (Battlegrounds Mobile India) is seeing sponsorship commitments expand not only in scale but also in ambition.

Also Read: Airtel's arena, Samsung's stage: Gaming levels up in mobile, telco brand playbooks

Moneycontrol had earlier reported that top telecom brands like Airtel and Samsung were increasing their focus and advertising spend on esports, but now a wider category of brands are stepping up after the regulatory clarity.

Why Brands’ Interest in Esports Matters? 

For years, esports existed in the shadow of online money games, which created hesitation among brands, pointed out Akshat Rathee, Co-founder and Managing Director of NODWIN Gaming. With the Act now providing clear recognition of esports as a legitimate competitive sport, conversations have not only increased but conversions are moving faster. "The shift has been immediate," said Rathee.

With esports decoupled from money-gaming risk, Rohit Agarwal of Alpha Zegus expects over 20-30 percent higher ticket sizes over the next 12 months.

Today, national-level tournament packages typically range between Rs 50 lakh-Rs 3 crore including title, broadcast and content rights, with Rs 10-40 lakh for associate tiers.

Rohit Agarwal added that the early mover categories which may bet big on esports include smartphones and other peripheral categories, FMCG/foods & beverages, fintech, auto two-wheelers, and telcos. "They were hesitant when esports sat in a grey zone; the Act de-risks long-term associations and lets them plan multi-season deals."

Despite initial days of the new law, the response from brands has been encouraging, said Rohit N Jagasia, Founder, Revenant Esports, who added that many brands have stayed away from real money gaming so far, but the clarity has created a regulatory space for esports.

Also Read: More brands entering gaming space, FY26 will be a 'growth year', says S8UL's Animesh Agarwal

Esports is a high growth category, and Jagasia expects a 15-20 percent rise in brand sponsorships versus last year, in the short to near term. "As things evolve and marketers become confident, we may see an uplift of 25 percent and above as new deals are negotiated."

Rohit Agarwal said he sees growth in the next 6-12 months with festive and cricket windows accelerating decisions.

Zooming in on the Opportunity

With a player base of nearly 500 million, esports is an untapped market for brands and offers a huge opportunity for marketers, added Jagasia.

India’s gaming market grew to about $3.8 billion in FY24 and is projected to reach to about $9.2 billion by FY29, according to Rohit Agarwal. Esports is growing by a 18-19 percent CAGR (Compound Annual Growth rate) and sponsorship remains the largest revenue stream. "That’s exactly the profile CMOs (Chief Marketing Officer) need to justify bigger bets."

Agarwal added that sponsorship/advertising typically contributes the biggest slice to about 44-60 percent, hence estimates $90-125 million in brands spending last year. With esports growing at 18-19 percent, esports industry revenue are expected to be anywhere between $245-250 million this year and around $290-300 million by 2026. Brand-driven revenue is expected to reach $110-150 million in 2025 and $130-180 million in 2026.

Top Investing Brands

Two categories are seeing picking up - FMCG and beverages – which are targetting GenZs (those born in the late 1990s to early 2010s), said Jagasia. He also expects brand sponsorship ticket sizes to rise gradually with deal values already having almost doubled in the past 18 months. "On an average, we expect a 25-35 percent increase in the near term."

NODWIN’s Akshat Rathee is seeing stronger commitments from automobile, FMCG, lifestyle and BFSI sectors, which were earlier cautious, but are now actively exploring esports as part of their core media mix. The female fan base for esports too has risen to 28 percent in 2025, drawing interest from lifestyle and fashion brands in particular, Rathee added.

This year, Krafton's flagship tournaments - the Battlegrounds Mobile India Series (BGIS 2025) and the Battlegrounds Mobile India Pro Series (BMPS 2025) – have a strong brand endorsement from the likes of Realme, KIA and Monster Energy.

Esports is also being embraced by both endemic and non-endemic categories, said a Krafton India spokesperson. "We have seen a growing appetite for deeper brand integrations that go beyond traditional sponsorship. Partnerships with Jio, Mahindra, and Sting are examples where the brand experience has been woven directly into the game, from themed vehicles and in-game assets to co-created activations."

Companies like CyberPowerPC India, makers of gaming computers, are partnering with esports organisations like Orangutan Esports to train more players. "Our immediate priority is not just to sponsor events but to build meaningful experiences for gamers," said Vishal Parekh, Chief Operating Officer, CyberPowerPC India.

The PC computer maker has powered Orangutan's ApeCity training facility. "Going forward, we’ll continue investing in experience zones, community campaigns," Parekh added.

Where are Brands Investing? 

For Free Fire MAX India Cup 2025, already live with a national roadmap, Rohit Agarwal of Alpha Zegus expects strong FMCG, handset and fintech interest.

"You’ll also see robust sponsorship demand around large domestic IPs (Intellectual Properties) like Skyesports’ 2025 championship slate and Tier-1 CS2 events. The 2025 calendar is stacked with publisher-backed mobile circuits and third-party arena shows; 2026 will compound that," said Agarwal.

The number of brands investing in esports is set to rise from 68 in 2024 to 75 in 2025, according to a FICCI-EY Report 2025 released in March.

It is no longer about short-term campaigns, as the brands are now asking about multi-year commitments, which is a very positive sign for the ecosystem, said Akshat Rathee, Co-founder and Managing Director of NODWIN Gaming. Rathee is counting on new titles like Asphalt and Mobile Legends, and potential breakouts from a slate of Indian games like Indus, UGW, Road to Valor, and FAU-G Domination.

Rathee said the fourth season of BGMS saw a surge in brands’ interest in esports, with a line-up of partners including OnePlus as Title Sponsor and Official Smartphone Partner, Android as Co-Title Sponsor, and TVS Motor Company entering its third consecutive year. The tournament also featured a mix of global and Indian brands like Red Bull, Duolingo English Test, Swiggy, and Bisleri.

Opportunities Ahead

DreamHack India and VCSA are marquee opportunities this year, according to Rathee. "In 2025 alone, the prize pool across major tournaments is projected to rise from Rs 187 million in 2024 to Rs 250 million, driven by the competitive return of Free Fire Max and the addition of new titles," he added.

As formats add live finals, broadcast upgrades and creator shoulder-content, top tier brands will push higher, Rohit Agarwal said, adding that the Online Gaming Act has promoted esports while restricting money-based play. “…this is what global sponsors and companies for FDI (Foreign Direct Investment) look for before scaling investments."

As GenZ and Gen Alpha increasingly define the consumer landscape, esports is no longer experimental, said the Krafton spokesperson. "It is emerging as a critical, mainstream media touchpoint for brands looking to build cultural relevance."