Nazara Partners Telangana Govt To Drive AI Innovation In Gaming & Digital Entertainment

Listed media and gaming firm Nazara Technologies has signed a memorandum of understanding (MoU) with the Telangana government to build an AI Centre of Excellence (AI CoE), focused on gaming and digital entertainment.

“This partnership will position Nazara as a leader in AI-driven gaming and digital entertainment space and Telangana as a global hub for AI innovation,” the company said in a statement.

The AI Centre will drive research, development and innovation in gaming, interactive media, gamified learning, and other digital content, utilising cutting-edge technologies such as AI, VR/AR, blockchain and Web 3.0.

Nitish Mittersain, Jt. MD & CEO, Nazara Technologies, said, “This collaboration will enable Nazara to further our mission of integrating AI and emerging technologies across our diverse portfolio, positioning us as a leader in AI-driven innovations in gaming and digital entertainment.”

Minister for Information Technology and Industries, D Sridhar Babu, said, “The Nazara AI CoE will empower startups, enhance skills, and attract cutting-edge technology investments, creating a diverse and dynamic ecosystem.”

The Nazara AI Centre of Excellence aims to foster policy development, support startups, enhance skills, and engage global expertise to empower a dynamic and inclusive community.

The development comes days after Nazara UK, a wholly owned subsidiary, acquired London-based gaming studio Fusebox Games for £21.18 Mn (approximately INR 234.55 Cr).

This aligns with Nazara’s strategy to expand its gaming portfolio and global presence through strategic acquisitions. Recently, Absolute Sports, a Nazara unit, bought the intellectual property of US-based Deltia’s Gaming for $900,000 (around INR 7.57 Cr) in an all-cash deal.

In May, it was reported that Nazara acquired the remaining 28.12% stake in Nextwave Multimedia Private Limited, the developers of the mobile cricket game franchise World Cricket Championship, for INR 21.6 Cr. This acquisition increased Nazara’s stake in Nextwave to 100%.

In FY24, Nazara’s consolidated net profit saw a 98% decline, dropping to INR 18 lakh in Q4 from INR 9.4 crore in the same quarter the previous year.