Govt & KRAFTON to Mentor 100s of New Gaming & AI Startups

Friday, March 27, 2026: NEW DELHI: India’s digital frontier just got a massive boost. In a move designed to turn local gamers and tech-heads into global entrepreneurs, the Department for Promotion of Industry and Internal Trade (DPIIT) officially inked a partnership with digital entertainment giant KRAFTON India today.

This isn’t just another piece of paperwork; it’s a strategic launchpad for the next generation of Indian creators. The Memorandum of Understanding (MoU) focuses on the “fun” side of tech, digital entertainment, online gaming, esports, and the high-stakes world of Artificial Intelligence.

From Pixels to Profits: New India-KRAFTON Deal to Mentor Tech Innovators

The government and KRAFTON aren’t just cheering from the sidelines. This initiative offers startups the “secret sauce” for success:

  • Direct Mentorship: Access to industry veterans who have already navigated the global market.
  • Technical Milestones: Direct help in building “Proof-of-Concept” models and getting products into the hands of real users.
  • Global Best Practices: Bridging the gap between a local idea and a world-class product.

Fueling the Creative Economy

Speaking at the signing, Shri Sanjiv, Joint Secretary at DPIIT, emphasized that this is about more than just games. “This collaboration represents an important step towards strengthening India’s digital and creative economy,” he said. He noted that these partnerships are exactly what startups need to build solutions that can compete on the world stage.

What’s Coming Next?

Keep an eye out for the Bharat Startup Grand Challenge. Under this new deal, DPIIT and KRAFTON plan to launch high-octane hackathons, workshops, and masterclasses. Whether you’re into game design, animation, or immersive VR, these events will provide the training and exposure needed to scale up fast.

Key Data Points about the sector and its scale

The Scale: There are currently 1,97,692 DPIIT-recognized startups in India (as of late 2025/early 2026).

The Market: India’s gaming market is projected to surpass $8–10 billion by 2028.

The Reach: India now boasts over 500 million gamers, making it one of the largest digital audiences on the planet.

The Support: This MoU leverages the ₹10,000 crore Fund of Funds for Startups (FFS) and the ₹945 crore Startup India Seed Fund Scheme.

The deal was finalized by Shri T. L. K. Singh (Deputy Secretary, DPIIT) and Shri Vibhor Kukreti (Head of Government Relations, KRAFTON India), signaling a clear green light for the country’s booming interactive media sector.

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