Pixel P&L: Delhi’s New AVGC-XR Plans, Valve’s $800M Lawsuit

Welcome to another Pixel P&L edition. This issue takes 5 minutes to read. If you only have one, here are the 5 most important things:

• Delhi announces AVGC-XR center to boost gaming and animation jobs.

• Valve must face a £656 million UK lawsuit over Steam's 30% fee structure.

• Capcom's nine-month profit jumps 69% as catalog sales drive revenue growth.

• Trackmania joins the Esports Nations Cup lineup for November 2026 in Riyadh.

• Japan reports $36.9 billion in content piracy damages, with gaming losses hitting $3.2 billion.

Let's get into it.

Delhi to Open AVGC-XR Center to Boost Gaming, Animation Jobs

Delhi will open a dedicated center for animation, visual effects, gaming, comics, and extended reality, Chief Minister Rekha Gupta announced Sunday at a Republic Day ceremony.

The facility will operate as a regional institute under the National Centre of Excellence for immersive technologies, which the federal government approved for Mumbai in 2024. Delhi officials said they are drafting an AVGC-XR policy and examining frameworks from states including Maharashtra.

"The creative talent of Delhi need not migrate to other places," Gupta said, predicting the capital would become a "job capital through AVGC" and draw foreign studios.

The center aims to generate employment and retain local creative professionals in gaming and visual effects. In October, Delhi's tourism department partnered with Netflix for a public screening of animated series Kurukshetra, with officials saying more collaborations are planned.

Delhi joins several Indian states competing to attract investment in digital content production and gaming development.

Valve Must Face $826 Million UK Lawsuit Over Steam Fees

Valve will face trial in a £656 million ($826 million) lawsuit claiming its Steam platform overcharges UK consumers, London's Competition Appeal Tribunal ruled, rejecting the company's dismissal request.

Vicki Shotbolt, CEO of Parent Zone, filed the case in June 2024 on behalf of 14 million UK Steam users. She argues Valve's 30% revenue share on all Steam sales drives up prices and that requiring add-on purchases through Steam locks users into the platform.

Damages are estimated at £22 to £44 per consumer. Shotbolt has raised £18.6 million to fund the case, though Valve challenged her financing arrangements.

"Valve is rigging the market and taking advantage of UK gamers," Shotbolt said when filing.

Valve faces similar U.S. litigation. Wolfire Studios sued in April 2021 over the 30% cut, calling it "extraordinarily high." That case was dismissed but refiled in May 2022. Dark Catt Studios filed separately in June 2021, and both cases were combined in July 2022 before gaining class action status in November 2024.

⚡️Quick Bytes

Capcom Nine-Month Profit Jumps 69% on Catalog Sales

Capcom reported net income of ¥38.8 billion ($251.9 million) for the nine months ended December 31, up 68.6% year-over-year, as catalog sales of Resident Evil and Street Fighter titles drove revenue. Operating income rose 75.1% to ¥54.3 billion ($352.6 million). Digital content sales increased 25.4% to ¥73.4 billion ($477.3 million), with Monster Hunter Wilds reaching 11 million units since its February 2025 launch. Street Fighter 6 surpassed six million units following its Nintendo Switch 2 release.

Trackmania Added to Inaugural Esports Nations Cup

Trackmania will feature at the Esports Nations Cup, organizers announced, becoming the second confirmed title for the November 19-22, 2026 event in Riyadh. Thirty-two national teams will compete in the arcade racing game's Cup Mode across group stages and single-elimination playoffs. Sixteen players qualify through Trackmania's Elite Cup Ranking, with additional spots from regional qualifiers across six regions and wildcard entries. The tournament follows Trackmania's Esports World Cup debut in July.

Japan Reports $36.9 Billion in Content Piracy Damages for 2025

Online piracy of Japanese content caused ¥5.7 trillion ($36.9 billion) in damages in 2025, nearly triple the ¥2 trillion ($12.9 billion) reported in 2022, Japan's Ministry of Economy, Trade and Industry said. Including newly surveyed character merchandise piracy, total damages reached ¥10.4 trillion ($67.4 billion). Publishing suffered ¥2.6 trillion ($16.9 billion) in losses, followed by film at ¥2.3 trillion ($14.9 billion) and video games at ¥500 billion ($3.2 billion). METI said it will focus on directing users toward legal platforms.

⚔️Side Quest

🤣Laugh:

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💡Did You Know

A Shiba Inu named Peanut Butter became the first dog to hold a speedrun record on July 13, 2023, completing Nintendo's 1985 game Gyromite in 25 minutes and 29 seconds. His owner, Twitch streamer JSR, spent years training the Las Vegas-based dog to use a custom controller with oversized buttons, rewarding him with string cheese and chicken. PB controlled the game's main character, Professor Hector, while JSR provided instructions. The accomplished gamer has raised over $30,000 for charity through his speedrunning videos.

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