Hike, once a celebrated Indian unicorn valued at over $1 billion, has officially shut down operations following India’s stringent crackdown on real-money gaming, as reported by TechCrunch.
The messaging-turned-gaming app, founded by Kavin Bharti Mittal in 2012, could not withstand the regulatory storm that has swept through the country’s online gaming sector.
The Rise and Fall of Hike: A Brief History
Initially launched as a messaging platform to rival WhatsApp, Hike pivoted to gaming in recent years with its app Rush, focusing on real-money gaming to capitalize on India’s booming digital entertainment market.
At its peak, Hike boasted millions of users and significant investments from global players like SoftBank, but the shift to gaming came with unforeseen risks tied to regulatory uncertainties.
India’s Real-Money Gaming Ban: A Devastating Blow
In 2025, India’s government passed a landmark bill banning real-money gaming, citing concerns over addiction, fraud, and money laundering, effectively dismantling a $23 billion industry.
This ban has not only impacted Hike but also other major players like Dream11 and MPL, many of whom have lost their unicorn status or shuttered operations, as per recent industry reports.
Economic and Social Impact of the Ban
The regulatory move is estimated to result in a loss of ₹20,000 crore in annual tax revenue and over 200,000 jobs, creating a ripple effect across tech and fintech ecosystems reliant on gaming transactions.
Critics argue that the blanket ban, enacted without sufficient stakeholder consultation, may drive users to unregulated offshore platforms, undermining the intended protective measures.
Hike’s Final Chapter and Employee Impact
As part of its closure, Hike has let go of approximately 100 employees in India, marking a somber end to a startup once hailed as a symbol of Indian innovation.
Kavin Bharti Mittal, in a statement, expressed disappointment over the regulatory environment, announcing a pivot to focus on global markets like the US, as shared in posts on X.
What Lies Ahead for India’s Gaming Sector?
The future of India’s gaming industry remains uncertain, with experts predicting a shift towards non-monetized or skill-based gaming models to navigate the new legal landscape.
While Hike’s shutdown underscores the challenges of operating in a heavily regulated market, it also highlights the need for balanced policies to foster innovation without compromising consumer safety.
Alfred Lee
