Why BCCI's split with Dream11 signals a reset in cricket's ad revenue

In another bad news for Harsh Jain-led Dream11, the Board of Control for Cricket in India (BCCI) has confirmed that the cricketing body will end its ₹358-crore jersey sponsorship deal with the sports-tech company. The development comes after last week, when Dream11 announced winding up of its real-money business following the government's new bill that banned any kind of money-based online gaming activity in India.

"BCCI and Dream11 are discontinuing their relationship after the Promotion and Regulation of Online Gaming Bill, 2025, was passed. BCCI will ensure not to indulge with any such organisations ahead in future," BCCI Secretary Devajit Saikia told news agency ANI. Dream11 had replaced BYJU's as team India's jersey sponsor in 2023 by signing a ₹358 crore deal for team India's lead jersey sponsor. Including ads and promotion, Dream Sports spent around ₹2,964 crore in FY23.

Let's try to understand if the ending of the partnership will affect BCCI, or it's just another deal which has ended for one of the richest cricketing organisations in the world, and how it will impact Dream11's fantasy empire, and the overall sports ad revenue space.

1. The ending of the partnership certainly affects BCCI's revenue pie, but reports suggest companies are queuing up to win the deal to become the official jersey sponsor for BCCI. Moreover, the cash-rich body would be looking to rope in the suitable candidate at the earliest, considering the Asia Cup is scheduled to start from September 9, 2025.

2. There are concerns that with the partnership with Dream11 gone, and the new bill putting a stop to the airing of ads related to online money games, BCCI's overall ad revenue pie could shrink, as Dream11 alone has been one of the biggest ad spenders in cricket. Estimates suggest all fantasy ports companies spend around ₹5,000 crore on ads and other kinds of marketing. Not only Dream11, other big RMG players like MPL, My11Circle used to invest heavily in ads, which is going to affect BCCI's ad revenue pie.

3. The departure of Dream11 and other big RMG spenders from the cricket scene means not just the national team but IPL and other domestic tournaments will also be affected due to the government's online money gaming ban, which will ultimately affect the economics of franchise cricket.

4. Dream11 parent Dream Sports -- that posted revenue of ₹6,581 crore in FY23, and was last valued at ₹68,428 crore ($8 billion) -- is also expected to see massive drop in its revenue, with the company left with other smaller verticals like Dream Set Go (sports travel), FanCode (ticketing and merchandise), Dream Game Studios (game development) and Dream Sports Foundation (non-profit), to do business. RMG, as per reports, formed 60-80% of its entire business, which means Jain's ‘fantasy’ empire could be shaken completely after the new Online Gaming Bill. Reports suggest Dream11's parent has also piloted a new app, Dream Money, to enter financial services.

5. For brands outside RMG, it may be a golden opportunity to enter the high-visibility space of cricket, which is more than just a sport in India. This means companies operating in the consumer tech or other startups may want to cash in on the opportunity presented by Dream11's exit from team India's jersey sponsorship.

All about the Online Gaming Bill

The Promotion and Regulation of Online Games Bill, 2025, received the President's approval last week, paving the way for it to become a law. It incorporates several features to formalise the thriving online gaming industry in India, while also aiming to put a hard stop on "online money games", ads and transfer of funds to the RMG entities. The new bill aims to promote e-sports and online social games. It also proposes the formation of an authority to regulate online games, including e-sports and online social games. As part of the government's crackdown on illegal platforms operating in India and abroad, the government prohibits the offering of any online money gaming services and declares it an "offence".

The new bill also prohibits advertisements that promote any person to play any online money game and declares it an offence. To make it tougher for the entities involved to move funds, the government aims to prohibit the transfer of funds, which means no banks, financial institutions, or users can transfer money that will be facilitating payment for any online money games, and declares it an offence. The government believes formal recognition and governance of e-sports will enable India to tap into the global competitive gaming ecosystem, promote sportsmanship, and open new career opportunities for youth.