Hike, once touted as India’s homegrown challenger to WhatsApp and later a real-money gaming (RMG) platform, has announced it is ceasing all operations. The move comes in the wake of the Indian government’s sweeping ban on money-based online games under the Promotion and Regulation of Online Gaming Act, 2025.
The announcement was made by founder Kavin Bharti Mittal, son of Airtel chairman Sunil Bharti Mittal, on Saturday, September 13. “We could raise the capital, but the real question is: is it worth it? For the first time in 13 years, my answer is no. Not for me, not for my team, and not for our investors,” Mittal wrote in a blog post, calling the closure a “hard outcome” but one that leaves the company with “invaluable learnings” and a stronger conviction for the future.
From Messaging Pioneer to Gaming Challenger
Founded in 2012, Hike began as a youth-focused instant messaging app aimed at rivaling Meta-owned WhatsApp. At its peak, the platform attracted more than 40 million monthly active users and was ranked as the 35th most loved consumer brand in India. The company reached unicorn status in 2016 with a $1.4 billion valuation, backed by marquee investors such as Tiger Global, SoftBank, and Tencent.
However, Hike Messenger was officially shut down in 2021. “The global effects were too strong (unless India banned Western companies),” Mittal had said at the time. A year later, the company pivoted to gaming with the launch of Rush, a casual real-money gaming platform offering titles like carrom and ludo, where users could win cash prizes.
Over four years, Rush amassed over 10 million users and generated $500 million in gross revenue. But the regulatory environment ultimately clipped its wings. “RMG was never the destination. It was a way to test unit economics and traction in India… In hindsight, starting in India locked us into the model and regulatory headwinds,” Mittal admitted.
India’s Crackdown on RMG
The new Online Gaming Act, which took effect last month, bans all categories of real-money games—whether based on skill or chance—citing concerns over addiction, social fallout, and national security. At the same time, it carves out recognition for esports and subscription-based social games without wagering elements.
The legislation has forced several industry leaders including Dream11, Winzo, and Zupee to shutter their RMG operations in India, while exploring adjacent businesses such as financial services and short-form entertainment. Some companies have redirected efforts toward overseas markets like the United States, where regulations remain more permissive.
Hike too had begun expanding to the US nine months ago, where its operations were “off to a strong start.” Yet, Mittal explained that scaling globally would require “a full recap, a reset that is not the best use of capital or time.”
Looking Ahead
Reflecting on Hike’s 13-year journey, Mittal shared lessons for entrepreneurs: avoid winner-take-all markets, build for upcoming tech cycles, and seek regulatory clarity early. He also highlighted AI and clean energy as areas ripe with opportunity, while noting that gaming and Web3 could eventually evolve into a “Nation-type model” globally.
“Crypto regulation is still developing worldwide, and we don’t want to repeat India, where we hoped for clarity that never came,” Mittal said.
For now, Hike’s chapter as both a messaging disruptor and RMG player has closed—an exit shaped not by lack of demand, but by India’s decisive regulatory turn.
