India’s Interactive Media Economy: State of Interactive Media Report 2025
- Lumikai
- Mar 23
- 2 min read
India’s interactive media economy has reached $13.8Bn, growing at 17% year-on-year, driven by 877Mn smartphone users and the steady rise of formats that are interactive, participatory, and built for mobile-first behaviour.
A year ago, micro-dramas barely registered as a category in India. Today, they are a $300Mn market. That single data point reflects a broader shift playing out across the ecosystem, as a new generation of users moves beyond passive consumption toward formats designed for how they actually use their phones.
In the fifth edition of our State of Interactive Media Report, we examine how user behaviour and importantly, monetisation is evolving across video, gaming, audio, social media, and AVFX.
Key Signals
Micro-dramas crossed $300Mn in year one with 450Mn downloads and 100Mn MAUs, projected to reach $4.5Bn by 2030.
India’s gaming market crossed $1.5Bn, with 555Mn gamers and 25% payer conversion, underscoring strong monetisation depth
1 in 3 RMG users migrated to offshore platforms after the ban, spending up to ₹10,000/month with zero regulatory oversight.
With $8.4 and $5.5 annual ARPU respectively, astro/devotion and micro learning apps demonstrate that high-intent, vertical platforms compel user monetization.
A Structural Shift
Taken together, these trends point to a broader shift in the ecosystem. Users are moving beyond passive consumption toward more interactive forms of engagement, while monetisation is increasingly being driven by depth and intent rather than scale alone. At the same time, category leaders are emerging as focused vertical platforms rather than broad, horizontal ecosystems.
Our View
We believe this marks the beginning of the next phase of India’s digital economy, where interactive media functions not just as content, but as a platform layer, one where users actively engage, transact, and participate.
For deeper insights, download the complete report above.
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