Betway has been forced to withdraw from India in the wake of several rulings by the country’s government against international bookmakers.
Online betting company and esports sponsor Betway has withdrawn completely from India, as per an email sent to bettors on Oct. 1. In the email, Betway informed customers that the company had “regrettably elected to cease trading” in India.
The cease in trading comes after two blows to the company’s operation over the past nine months. In February, Betway, along with 1xBet, Parimatch, and several other betting companies, had their apps banned in India by the country’s Ministry of Home Affairs.
Then, in July, India’s government stated it would impose a 28% tax on all funds that online gaming companies collect from their customers, which affected Betway. As a result, Betway has decided to withdraw from the country.
Apart from bettors in India, Betway’s departure from India may affect some of its esports sponsors. India is a huge market for betting companies, and losing it would represent a significant blow to revenue.
Betway continues to be a major sponsor in the esports scene. Betway renewed its sponsorship with tournament organizer BLAST in February, continuing a four-year partnership. In May, Betway began a partnership with DreamHack. In June, the company sponsored Beyond the Summer: CS_Summit 6. All these sponsorships have made the betting company one of the most prominent tournament sponsors in all of esports.
Betway has also been a significant sponsor of esports teams across the globe. In March, Betway renewed a sponsorship with Ninjas in Pyjamas, one of its longest-term sponsorship deals. The company's blog also shows past sponsorship of several other teams, including Furia, MIBR, BIG, beastcoast, and others.
In a time when esports teams are increasingly looking to secure more reliable revenue, news that a major sponsor has taken a blow to its bottom line is worrying. As previously noted, esports teams often attribute a significant amount of their revenue to sponsors, which now frequently include betting sponsors. Betway's loss of a major market is not welcome news.
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