Title: Online Gaming Bill to Wipe ₹1,500 Cr-Worth IPL Ad Revenue: Analyst
The Indian Premier League (IPL) is one of the most popular and lucrative T20 cricket leagues in the world. The 2023 edition of the tournament is expected to be a huge success, with many sponsors and advertisers eager to associate themselves with the event. However, a new development could have a significant impact on the IPL’s advertising revenue. The Online Gaming Bill, proposed by the Indian government, could wipe off a staggering ₹1,500 crore worth of ad revenue, according to a leading analyst.
Karan Taurani, Executive Vice-President of Elara Capital, has predicted that the Online Gaming Bill will erase 25% of the IPL advertising revenue, worth ₹1,500 crore. He further added that nearly 80% of real-money gaming ad revenue will vanish, which will have a significant impact on digital ads and the brand value of cricketers.
The Online Gaming Bill, if passed, will ban online gaming platforms that involve real money. The bill aims to curb the increasing addiction and financial losses associated with online gaming. While the intention behind the bill is noble, it could have far-reaching consequences for the IPL and its sponsors.
One of the most significant impacts of the bill will be on fantasy platform sponsorships. Teams like Kolkata Knight Riders and Sunrisers Hyderabad, who have lucrative sponsorship deals with fantasy platforms, could lose an additional ₹10-20 crore yearly. This is a significant amount of money, and teams may struggle to find alternative sponsors to fill the void.
The impact of the bill will not be limited to the IPL alone. The online gaming industry as a whole is expected to be severely impacted. Many gaming companies have invested heavily in the Indian market, and a ban on real-money gaming could lead to significant job losses and financial losses.
The IPL has become a significant source of revenue for many cricketers, who earn a substantial amount from sponsorships and endorsements. The Online Gaming Bill could lead to a decline in brand value for cricketers, as they may struggle to find alternative sponsors. This could have a significant impact on the cricketing industry as a whole.
The Indian government’s move to ban online gaming platforms could also impact the country’s digital advertising industry. Online gaming platforms are a significant source of revenue for digital advertisers, and a ban could lead to a decline in ad revenue. This could have a ripple effect on the entire digital advertising ecosystem.
In conclusion, the Online Gaming Bill could have significant consequences for the IPL and its sponsors. The proposed ban on real-money gaming could wipe off a staggering ₹1,500 crore worth of ad revenue, impacting digital ads and the brand value of cricketers. While the bill aims to curb addiction and financial losses associated with online gaming, it is essential to consider the far-reaching consequences of such a move.
