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Cricket (Sport)

India's Online Gaming Ban: A Consequential Blow to the Cricket Ecosystem

Strategic Insights

— 2 min read

The Indian government's Online Gaming Bill, which bans real-money gaming, is set to significantly impact the cricket ecosystem, including the Indian Premier League (IPL), the richest cricket tournament globally. The ban will particularly affect the up-and-coming cricket leagues scattered worldwide that were bankrolled by gaming companies. Dream11's withdrawal of its sponsorship of India's national team jersey is a testament to the devastating consequences of the ban. The policy will leave a vacant hole in the cricket economy, affecting not only the players but also the leagues and the game itself.

Key Takeaways:

  • The Online Gaming Bill will impact the cricket ecosystem, affecting the Indian Premier League (IPL) and up-and-coming cricket leagues bankrolled by gaming companies.
  • Dream11's withdrawal of its sponsorship of India's national team jersey is a consequence of the ban, which will leave a vacant hole in the cricket economy.
  • Indian cricketers are expected to collectively lose between 150-200 crore Indian rupees due to the ban on online gaming.
  • Players like Virat Kohli, Rohit Sharma, and MS Dhoni will lose out on endorsement income, with Kohli losing up to 10-12 crores annually from his deal with MPL.
  • Younger players will be the most affected, losing out on substantial portions of their endorsement deals, with some losing up to a third of their endorsements.
  • The IPL won't struggle to replace the reported 125 crore rupees lost annually in their deal with My11 Circle, but smaller leagues may face a significant impact.
  • The online gaming ban will also affect the advertising world, with reports estimating a 7-8% hit on the market, valued at INR 8,000 to 10,000 crore annually.
  • The digital advertising market, which holds 15-20% of the online advertisement market, is expected to decline significantly.

Statistics:

  • India's cricketers are expected to lose between 150-200 crore Indian rupees due to the ban on online gaming.
  • Virat Kohli will lose up to 10-12 crores annually from his deal with MPL.
  • The European Cricket Network has suspended operations due to the ban on online gaming.
  • The IPL will lose around 125 crore rupees annually in their deal with My11 Circle.
  • The online gaming market contributes around 7-8% to the INR 8,000 to 10,000 crore annual market.
  • The digital advertising market, which holds 15-20% of the online advertisement market, is expected to decline significantly.

Sources:

  • "Indian cricket team's new jersey sponsorship deal with Dream11 has ended" by Cricbuzz
  • "India's online gaming ban: A blow to cricket, and its celebrities" by Hindustan Times
  • "India's online gaming ban may impact cricket leagues, players" by ESPN Cricinfo
  • "Online gaming ban to hit cricket's biggest stars, leagues" by Business Standard

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