Indian online “gaming” company Head Digital Works (A23) became the first in the industry to move against the latest Promotion and Regulation of Online Gaming (PROG) Act, 2025. The makers of A23 Rummy Online and A23 Poker Online apps moved the Karnataka High Court, according to Reuters, backing the industry’s claims that these “games” rely on skill and not gambling.
The High Court heard the plea on Thursday before Justice B.M. Shyam Prasad, who directed the matter to be listed for hearing on August 30.
A23’s website is even categorised as “Gambling” by internet security providers such as Fortinet. THE WEEK earlier reported how the actual video game market welcomed the PROG Act.
According to the A23 apps page on Google Play Store, the description of the offering by the company, which has 1 crore+ downloads, reads: “trusted by 6 crore+ players, offers Indian rummy, fantasy sports, and more games on our safe and secure app. Play and win real cash prizes today.”
The real money “gaming” industry was on track to hit $3.6 billion in India by 2029, and the latest move by the Centre led to a rude awakening for the industry that is backed by major VC giants such as Peak XV Partners and Tiger Global.
A23, in the court filing, stated that the law “criminalises the legitimate business of playing online games of skill, which would result in the closure of various gaming companies overnight,” according to Reuters.
A23 even went on to blame the new law, put in place to protect the vulnerable from gambling, due to the contested use of the word “gaming”, calling it a “product of state paternalism”.
While A23 has gone on the offensive, other giants such as Dream11 and MPL are standing down, not pursuing a legal battle against the law.
The PROG Act prohibits only “online money games”. Legitimate video games, such as Esports and other “online social games” are exempt, since most of them only offer a subscription fee for entry. Unlike “online money games” that operate through wagering and betting—which, in an ideal world, is called “gambling”.