Telangana’s Capital City Hyderabad Gains Global Prominence Through Gaming Boom

Telangana transforms into a global powerhouse as Hyderabad leads India through a massive surge in the gaming and creative technology sectors

As India’s premier hub for gaming and AVGC-XR (animation, visual effects, gaming, comics, and extended reality), Hyderabad is making rapid strides in the industry and witnessing a gaming boom. A strong IT ecosystem, state incentives, and a vast talent pool power the city’s growth and have facilitated the establishment of India’s first centers of excellence, “Image in Hitec City”, along with the 1.6 million-square-foot “Image Towers” geared towards gaming and creative-tech firms.

Furthermore, India’s gaming market is projected to cross ₹10,487 crore by 2026 at a 24 per cent compounded annual growth rate, up from its current valuation of ₹6,715 crore in 2024. Also, the Centre’s “Building New India – Reform, Resilience, Transformation” report ranks Hyderabad as a top gaming hotspot, rivaling Bengaluru, Mumbai, and Chennai. This presents Telangana with the unique opportunity to increase its employment rate through the opening up of new job opportunities. In this context, Hyderabad’s over 120 engineering colleges offering specialized courses in game design, AI, AR/VR, Unity, and Unreal Engine constitute an invaluable talent pool of IT-ready graduates.

Moreover, local entrepreneurs note that the city’s commercial edge gives it an advantage in making the most of the upcoming gaming and AVGC-XR boom. Hyderabad’s IT infrastructure, cloud connectivity, and full-stack capabilities make it an ideal location for co-development targeting Southeast Asia and global markets. This would complement the smartphone penetration and cheap data access, among other factors, leading to increased revenue generation at the national level. According to CIO Bulletin, Hyderabad’s success in the gaming and VFX industry will benefit Telangana’s economy through the creation of high-paying roles and the setting up of GCCs and studios.