Krafton Invests $209M to Boost Indian Gaming & AI Innovations, Unveils New Projects & Partnerships

November 4, 2025
Krafton Invests $209M to Boost Indian Gaming & AI Innovations, Unveils New Projects & Partnerships
  • To grow BGMI’s footprint in India, Krafton plans local brand collaborations, region-specific content, optimized network environments, and updates to user-generated content modes.

  • Console revenue stood at $7 million, while the Others segment reached about $13 million, driven by Neptune’s ad tech support.

  • Krafton’s strategic focus centers on strengthening leadership in India, accelerating global expansion through local partnerships and content, and building a robust esports ecosystem with substantial investments of about KRW 300 billion toward co-growth in India, including acquiring Nautilus Mobile and taking over publishing of Real Cricket 24.

  • The company has earmarked roughly KRW 100 billion to create a GPU cluster to support its AI-driven gaming initiatives.

  • Future innovations include introducing the first Co-Playable Character, PUBG Ally, in PUBG: BATTLEGROUNDS Arcade Mode in the first half of 2026, expanding AI-assisted gameplay experiences.

  • Q3 sales by division were: PC 353.9 billion won, Mobile 488.5 billion won, Console 10.2 billion won, and Other 18 billion won, with the PC segment posting the largest quarterly increase driven by the Bagg IP.

  • Esports ecosystem development and advancing technology are core pillars supporting Krafton’s sustainable global growth.

  • Krafton envisions PUBG IP evolution into PUBG 2.0 with Unreal Engine 5, enhanced modes, and richer user-generated content, while expanding mobile through diversified content and stable live services.

  • The PUBG IP strategy emphasizes leveraging existing traffic while advancing a long-term evolution toward a PUBG 2.0 platform with Unreal Engine 5 and stronger UGC.

  • KRAFTON is shifting toward an AI-first model, planning a KRW 100 billion GPU cluster and a partnership with SK Telecom to build a five‑billion‑parameter foundation model and integrated AI development system for in-game AI and CPCs, with PUBG Ally expected for PUBG: BATTLEGROUNDS Arcade Mode in H1 2026.

  • In Q3 2025, Krafton reported revenue of $605 million with operating profit of $242 million, bringing nine-month totals to $1.674 billion in revenue and $731 million in operating profit, marking the first nine months with over KRW 1 trillion in operating profit.

  • PC momentum was driven by PUBG: BATTLEGROUNDS and partnerships with aespa, G-DRAGON, and Bugatti, while mobile growth benefited from content like Transformers mode, X-Suit skins, and BGMI regional strategies including India-exclusive skins.

  • Expansion of the PUBG franchise includes upgrading the engine, expanding mobile content, and improving live services to sustain growth.

  • Krafton highlighted ongoing efforts to broaden the Bag IP franchise, create cross-title synergies, and maintain stable live services with diversified content across platforms.

  • The 131% YoY increase in the Others segment signals diversification beyond core gaming titles thanks to enhanced ad tech performance.

  • Krafton is pursuing a five-year strategy to build a Big Franchise IP, expanding development with 11 projects in production and planning to showcase Palworld Mobile at G-STAR 2025 in Busan.

  • A key milestone is the unveiling of Palworld Mobile, an open-world survival title, at G-STAR in Busan on November 13 to demonstrate production capabilities and attract users.

  • Overall Indian market leadership will be reinforced via BGMI, regional partnerships, localized content, better infrastructure, and increased UGC updates, with investments totaling roughly $209 million (KRW 300 billion) aimed at co-growth and new IP development.

  • The Others segment contributed to growth, rising 131% year over year due to strong ad tech performance from Neptune.

  • All KRW-to-USD conversions are based on a rate of 1 USD = 1,370 KRW as of November 4, 2025.

  • Krafton aims to accelerate new IP development by recruiting strong production teams and deploying 11 new projects in operation as part of a broader growth strategy beyond existing titles.

Summary based on 8 sources


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