It’s a Knockout Punch, Lost 95% Revenue & 100% Profits: Dream11 CEO on Real Money-Gaming Ban
The Indian government’s sudden ban on real-money gaming, including fantasy sports platforms, has sent shockwaves through the industry. Among the most affected is Dream11, a pioneer in the fantasy sports space, which has been a dominant player in the market. In an exclusive interview with Moneycontrol, Dream11 Co-Founder and CEO Harsh Jain opened up about the impact of the ban on the company’s business.
“It’s a knockout punch,” Jain said, referring to the ban. “We’re still trying to come to terms with it.” However, despite the devastating blow, Jain remains optimistic about the future of the company. “I’m still a delusional optimist,” he said with a chuckle.
Dream11’s business model, which has been the backbone of the company’s growth, has been severely impacted by the ban. “We’re going to work on the future,” Jain said. “But yes, 95% of our group’s revenue…and basically 100% of our profit was coming from Dream 11’s current business model.” This doesn’t mean that Dream11 is “dead”, Jain added. Instead, the company is exploring new opportunities to stay afloat.
The ban, which was imposed by the Ministry of Information and Broadcasting in November 2021, prohibits the creation, operation, and hosting of online fantasy sports platforms that involve real money. The move was taken to ensure that the country’s youth are not lured into gambling, which can lead to addiction and other social problems.
Dream11, which was founded in 2008, has been a pioneer in the fantasy sports space. The company has grown exponentially over the years, attracting millions of users and generating significant revenue. However, the ban has forced the company to rethink its business strategy and find new ways to stay relevant.
Jain acknowledged that the ban has been a significant setback for the company. “We did not see it coming,” he said. “We were not prepared for it.” However, he added that the company is working hard to adapt to the new reality.
One of the strategies that Dream11 is exploring is the creation of a new business model that is compliant with the government’s regulations. According to Jain, the company is working on developing a new platform that will allow users to play fantasy sports without involving real money.
“We’re working on a new platform that will allow users to play fantasy sports without real money,” Jain said. “We’re trying to create a platform that is fun and engaging, but not addictive or harmful.” The new platform is expected to be launched in the coming months.
Dream11 is also exploring other opportunities, such as partnerships with sports leagues and teams. According to Jain, the company is in talks with several sports leagues and teams to create new content and experiences for fans.
“We’re working with sports leagues and teams to create new content and experiences for fans,” Jain said. “We’re trying to create a platform that is not just about fantasy sports, but also about sports and entertainment.”
Despite the challenges posed by the ban, Jain remains optimistic about the future of the company. “We’re still a strong and viable business,” he said. “We’re just going to adapt to the new reality and find new ways to grow.”
In conclusion, the ban on real-money gaming has dealt a significant blow to Dream11’s business. However, the company is working hard to adapt to the new reality and find new ways to stay relevant. With its strong brand and loyal user base, Dream11 is well-positioned to bounce back and continue to grow in the future.
