It’s a Knockout Punch, Lost 95% Revenue & 100% Profits: Dream11 CEO on Real-Money Gaming Ban
The ban on real-money gaming in India has sent shockwaves through the industry, with many companies facing significant revenue losses. One such company is Dream11, a leading fantasy sports platform, which has seen a substantial decline in its revenue and profits. In an exclusive interview with Moneycontrol, Dream11 Co-Founder and CEO Harsh Jain shared his thoughts on the ban, its impact on the company, and his optimism for the future.
A “Knockout Punch” for Dream11
Jain described the government’s ban on real-money gaming as a “knockout punch” for the company, highlighting the significant blow it has dealt to their business model. “We’re going to work on the future, but yes, 95% of our group’s revenue, and basically 100% of our profit, was coming from Dream 11’s current business model,” he said. The ban has effectively shut down the company’s primary revenue stream, leaving them to re-evaluate and adjust their strategy.
The Scale of the Losses
The magnitude of the losses suffered by Dream11 is staggering. With 95% of their revenue and 100% of their profits coming from their real-money gaming business, the company has been severely impacted by the ban. Jain’s comments suggest that the company is still grappling with the extent of the damage, but it is clear that they face a significant challenge in recovering from these losses.
But Still a “Delusional Optimist”
Despite the enormity of the losses, Jain remains optimistic about the company’s future prospects. “I’m still a delusional optimist,” he said, suggesting that he believes the company can adapt and find new ways to succeed in a rapidly changing market. This determination is admirable, and Jain’s willingness to adapt and innovate will be crucial in helping the company to recover from this setback.
A New Business Model
So, what does the future hold for Dream11? Jain is keen to emphasize that the company is not “dead” and will continue to operate in some form. However, it is unclear what shape this will take, and whether the company will be able to adapt to a new business model that is no longer focused on real-money gaming.
The Long-Term View
While the short-term impact of the ban is undoubtedly severe, Jain is taking a long-term view. “We’re not going to die,” he said, suggesting that the company will find ways to evolve and thrive. This approach is necessary in the face of a rapidly changing market, where companies must be prepared to adapt to new regulations and consumer preferences.
Conclusion
The ban on real-money gaming in India has sent shockwaves through the industry, with Dream11 facing significant revenue losses. While the losses are substantial, the company’s CEO remains optimistic about the future, suggesting that the company will find ways to adapt and innovate. As the industry continues to evolve, it will be fascinating to see how Dream11 approaches the new market and whether they can recover from this setback.
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