Dream Sports, a prominent Indian sports technology company, signed a memorandum of understanding (MoU) with global tech giant Microsoft during the first edition of the World Audio Visual & Entertainment Summit (WAVES) 2025 in Mumbai. This agreement initiated a landmark collaboration aimed at publishing Microsoft’s gaming titles in India and enhancing the domestic gaming experience through artificial intelligence (AI) solutions.
The two companies committed to co-developing and delivering immersive, AI-powered gaming experiences tailored for Indian users. Dream Sports, which boasts a massive user base of 250 million, will bring its extensive reach and market insights to the table. Microsoft, in turn, will contribute its technological excellence and cutting-edge AI expertise. Together, they intend to transform how Indian gamers engage with interactive entertainment.
By leveraging Microsoft’s robust gaming infrastructure and Dream Sports’ deep connection with Indian consumers, the partnership aims to cater to the country’s rapidly evolving gaming ecosystem. The focus lies not only on deploying international content but also on localising gaming experiences to reflect Indian tastes, languages, and preferences. This collaboration will support the development of culturally relevant content that resonates with India’s diverse gaming community.
India’s Gaming Market: A Hotbed of Opportunity
India currently stands as one of the world’s fastest-growing gaming markets. According to the ‘Leveling Up: State of India Interactive’ report, the country reached a market size of USD 3.8 billion in FY24, fueled by approximately 600 million active gamers. Several factors contributed to this explosive growth—most notably, increased smartphone usage, widespread internet availability, and enhanced digital literacy, even in rural regions.
Smartphone penetration has surged in India, with affordable devices and data plans enabling millions of new users to come online. The mobile-first nature of the Indian market has made mobile gaming the dominant segment, attracting investments, new developers, and global gaming companies. The rising participation of public institutions, private enterprises, and academic initiatives has also nurtured a supportive environment for game development, esports, and content creation.
Dream Sports and Microsoft plan to tap into this fertile ground. Their alliance will focus on meeting the unique needs of Indian gamers, 66 per cent of whom now hail from non-metro areas. Additionally, with 44 per cent of the gaming audience comprising women, the companies recognise the importance of inclusive, diverse, and accessible game design.
AI-Driven Personalisation and Enhanced Interactivity
The collaboration places AI at the heart of the gaming experience. Dream Sports and Microsoft will develop tools that personalise gameplay, recommend content, and adjust in-game experiences based on user behaviour. By embedding AI capabilities into games, they will create adaptive storylines, real-time matchmaking, smarter NPCs (non-player characters), and enhanced voice recognition systems tailored for Indian languages.
Microsoft will offer its Azure cloud services, machine learning models, and AI research frameworks to drive innovation. Dream Sports will integrate these technologies into its platforms to offer seamless, lag-free experiences across devices and networks. The companies will also co-invest in AI-based safety systems that monitor user activity to prevent toxicity and ensure healthy community interactions.
Moreover, the alliance will prioritise voice-based controls and interactive narratives to align with India’s oral-first digital culture. Many Indian users prefer voice interaction over text, particularly in rural areas where literacy levels vary. The partnership will therefore explore natural language processing (NLP) for Indian languages and dialects to make gaming more intuitive and locally resonant.
Developer Empowerment and Ecosystem Growth
Beyond player experience, Dream Sports and Microsoft plan to support Indian game developers and studios. They will launch initiatives to train developers in advanced gaming technologies, including AI, augmented reality (AR), and virtual reality (VR). This collaboration will include boot camps, hackathons, mentorship programs, and access to Microsoft’s developer toolkits and cloud infrastructure.
By empowering local talent, the companies aim to elevate India’s position on the global gaming map. They will create ecosystems where indie developers, educational institutions, and gaming startups can thrive. This support will include guidance on monetisation models, in-app purchases, advertisement integration, and user engagement strategies.
Dream Sports’ familiarity with India’s sports and fantasy gaming culture offers additional opportunities to blend traditional Indian sports, like kabaddi and cricket, into immersive digital experiences. These hybrid games will create new genres and encourage content localisation.
Building Infrastructure for the Future of Gaming
The partnership will not only focus on software and content. Both companies expressed their intent to invest in future-ready infrastructure that can sustain long-term innovation. This includes cloud-based gaming platforms, AI-enhanced testing environments, and scalable multiplayer frameworks.
Microsoft and Dream Sports will explore avenues to develop smart gaming hubs in urban and semi-urban locations. These hubs will offer access to high-performance devices, VR/AR kits, and training resources. They will also encourage community gaming and grassroots-level esports development.
The alliance envisions India as a testing ground for future technologies. With its young population and digitally engaged youth, India provides a perfect environment to trial experimental concepts like AI dungeon masters, location-based gaming, and context-aware gameplay. Both companies will gather user feedback and iterate on innovations, ensuring real-time evolution based on actual usage patterns.
Long-Term Vision and Strategic Outlook
Dream Sports and Microsoft view this partnership as the first step in a broader, long-term collaboration. Their mutual goal lies in scaling India’s gaming ecosystem sustainably and inclusively. The strategic agreement goes beyond short-term commercial interests; it aims to shape the future of interactive entertainment in one of the world’s most vibrant digital economies.
The companies will jointly evaluate opportunities for expansion into esports, content streaming, and cross-platform gaming. With India’s Gen Z population emerging as key consumers, the timing of this initiative aligns perfectly with shifts in digital behavior, entertainment consumption, and social gaming trends.
As they move forward, Dream Sports and Microsoft will likely involve more Indian creators, artists, and developers to co-create experiences that speak to the heart of Indian gaming culture. This vision supports not only user growth but also national objectives related to digital skill-building, job creation, and technological self-reliance.
Conclusion
Dream Sports and Microsoft have launched a powerful alliance that promises to redefine India’s gaming experience through AI innovation and deep localisation. Their partnership aligns with market trends, addresses user needs, and empowers the broader gaming ecosystem. With a shared commitment to technology, inclusion, and creativity, they are poised to usher in a new era for Indian gamers—one that combines global excellence with homegrown insights.
This collaboration marks more than a business deal. It represents a strategic, future-focused initiative to nurture India’s potential as a global gaming powerhouse.
