Is Sports Betting Legal in India?

Sports betting might be a new phenomenon in India, but it has been part of the sports culture in countries such as the USA, North America and the Europe. In USA, the betting culture is so engrained that the leagues like the NFL, MLB and the NBA, and the big-name players partners with betting organizations. It’s more or less the same in England the rest of Europe. However, in India, the question of its legality remains a topic of heated debate. That being said, sports betting has found a substantial audience in the country. But is the betting legal in India?

Also read: India’s Top 10 Sports Trends in 2024


Understanding Indian Betting Laws

If we compare Indian betting laws with other countries, they feel outdated, with different rules and regulations in some states. India’s betting organizations adheres to the Public Gambling Act of 1867. Violation of this law carries a penalty of a ₹200 fine or imprisonment for up to three months. But this law prohibits only the operation of public gambling houses or betting in establishments. It does not explicitly address online gambling or betting practices, which we see in the Indian market. In fact, most betting companies/organizations are operating under an umbrella of offering skill-based games. This has become a hot topic in the media that if the Indian government needs to take a relook at the policies around betting.


Difference Between Skill-Based Game and Chance

We are seeing a trend amongst companies who can be considered borderline betting organizations that they are offering skill-based games. One could argue that the games these companies offer are somewhat betting, but this is how they market their products – as a skill-based game. By doing this, Indian companies have found a way around the laws which clearly states that betting on games of skill is not considered gambling and is therefore legal. For example, rummy and fantasy sports platforms like Dream11 have been classified as games of skill.

On the other hand, betting on sports like predicting the outcome in a game of sports, such as cricket, or guessing what might happen in a match, let’s say in an over, is widely perceived as a game of chance, making it illegal under most state laws. But this is all about interpretation and it varies depending on the jurisdiction in a specific state.

Also Read: The Growth of Esports: Career Opportunities in the Gaming World


State-Specific Regulations on Sports Betting

India’s betting laws allows every state to regulate gambling within their territories. This is the reason why the rules around betting and skill-based games are different in most states. Though betting in India is not legal, skill-based gaming is, still, some states have banned the skill-based gaming altogether.

  • Sikkim: The state of Sikkim has its own rules and regulations around betting and skill-based games. The state even issues licenses for online sports betting platforms that are within the state.
  • Nagaland: Nagaland allows games based on online skill games but prohibits gambling.
  • Goa and Daman: Goa and Daman are amongst the few states who allow certain forms of gambling, such as casino gaming. However, sports betting remains largely unregulated.
  • Maharashtra: Maharashtra adheres to the law under the Bombay Prevention of Gambling Act, 1887, which makes sports betting illegal in the state.
  • Andhra Pradesh and Telangana: The states of Andhra Pradesh and Telangana made changes to their rules and regulations around betting, including skill games and online games.
  • Tamil Nadu: In April 2023, the government of Tamil Nadu introduced the TN Act. With this rule, the government implemented the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022 to ban online gambling and real-money online games of chance in the state of Tamil Nadu.

How International Sports Betting Companies work in India?

There’s no argument that the demand for betting in India is huge. But the rules around gambling has complicated the legal landscape around gambling in India. Though Public Gambling Act of 1867 does not explicitly address online betting, betting platforms such as Betway, 1xBet, and Bet365 attract significant Indian participation. Since there’s no direct route for these international betting companies to work in India, they work under a blanket, a kind of an umbrella where there’s no check to keep a tab on the betting activities. With no system to measure the activities, it results in significant loss in the revenue for Indian government.


Benefits of making betting legal in India

There are benefits of making betting legal in India.

  1. Better Revenue Generation: Legalizing betting can create a better stream of revenue for Indian government. Since people somehow manages to play online with International betting companies like Bet365, a lot of money goes into the black market. But regulated betting can contribute significantly to the economy.
  2. Transparency: With betting being legal, it can help in transparency and fairness, as rules can protect consumers from fraud and exploitation.
  3. Curbing Illegal Activities: As betting become legal, it reduces illegal betting activities. Rules can also stop money laundering and other betting related crimes.
  4. More Job Creation: A legalized betting industry creates employment opportunities in various sectors, including technology, customer service, and operations.

Why betting is still not legal in India?

  1. Social Concerns: The biggest reason why betting is still not legal in India is the general perception. for ages, gambling has been seen as something that becomes addiction, which can result in financial ruin for individuals and families.
  2. Ethical View: Many argue that gambling is immoral as it can form into an addiction. It is believed that people with gambling addiction can, at times, take drastic measures to indulge in betting. Also, gambling goes against the sanctity of sports.
  3. Challenges: Implementing betting laws in a country as vast as India with so much diversity poses significant challenges. Another big challenge is that many states government are from different political party than the central government.

Also Read: Revenue models in professional sports league in India


How other countries regulate Betting?
  • United Kingdom: The UK Gambling Commission oversees all forms of gambling. Since betting is legal, it ensures fair practices and consumer protection.
  • United States: The United States of America lifted the ban on sports wagering in 2018. With the rule effectively in place, it helps government in keeping a tab on the money floating in the market. It also creates space for a thriving legal betting industry.
  • Australia: Online betting is legal in Australia, but licensing rules are different in various states.
  • Canada: In August 2021, Canadian government made changes to rules around betting and gambling in the country. With the introduction of bill C-218, users can participate in single-game sports betting.

Conclusion

The legality of sports betting in India remains a complex issue. While old laws like the Public Gambling Act of 1867 prohibit gambling, they fail to address the realities of modern online betting. There’s a big demand for betting and there’ a supply as well, albeit companies work under the blanket.

Legalizing sports betting could offer numerous benefits to Indian government, including revenue generation, more regulation and reduced criminal activities. Time has come for India to make the necessary changes to its laws.

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India’s Top 10 Sports Trends in 2024

2024 was an incredible year for Indian sports and athletes. The Indian cricket team, led by Rohit Sharma, lifted the T20 World Cup to reignite the nation’s cricketing passion. At the Paris Olympics, India shone brighter than ever, achieving its best medal tally. D Gukesh etched his name in history becoming 18th World Chess Champion 18th and the youngest ever. 

From cricket to the Olympics, Indian athletes inspired fans with their unmatched feats and accomplishments. Here’s a look back at some of the historic wins and unforgettable moments as we look at the top 10 sports trends in 2024 to celebrate the spirit of Indian sports.

1. Indian Premier League

The brand of the Indian Premier League is growing by leaps and bounds and has once again emerged as the top sports trend in India. Kolkata Knight Riders claimed their third title in the 2024 IPL edition defeating Sunrisers Hyderabad in the final by 8 wickets. KKR’s all-rounder Sunil Narine bagged the Most Valuable Player award, run machine Virat Kohli scored a staggering 741 runs to win the Orange Cap award and Harshal Patel – 24 scalps for Punjab Kings – was the Purple Cap award winner. Nitish Kumar Reddy won the Emerging Player of the Year award for his breakthrough performances.

    2. T20 World Cup

    India was grappled with cricket fever in 2024. The country waited long for their second T20 world cup trophy, and also an 11-year wait since the 2013 Champions Trophy where India clinched their last ICC title. Captain Rohit Sharma leading from the front and Player of the Tournament winner Jasprit Bumrah put on memorable performances to etch their names as sports legends to look up to for ages. 

    3. Olympics 2024

    India’s campaign at the Olympics 2024 was a success as the contingent brought home six medals from the event in Paris. 22-year-old shooter Manu Bhaker stole the spotlight becoming the first Indian to win two medals at a single Olympics event. Sarabjot Singh, Indian Men’s Hockey Team, Neeraj Chopra, Swapnil Kusale, and Aman Sehrawat were the other medal winners.

    Related Upcoming Sports Events to Watch Out for in Early 2025

    4. Pro Kabaddi League

    The stature of the Pro Kabaddi League is growing each year. The highly engrossing sport of Indian origin entertained fans again with spectacular non-stop action. Haryana Steelers won their first PKL trophy in Season 11 trophy with a resounding 32-23 win over Patna Pirates. Mohammadreza Shadloui (Haryana Steelers) was awarded Most Valuable Player Best Raider was Devank Dalal (Patna Pirates) and Best Defender in Pro Kabaddi 2024 award went to Nitesh Kumar (Tamil Thalaivas). Ayan Lohchab (Patna Pirates) won the New Young Player of the Year while the Super Coach award went to charismatic Manpreet Singh (Haryana Steelers).

    5. Indian Super League

    In a cricket-crazy nation, football is not too far behind. The popularity of the Indian Super League proves it! It was another year where India’s premier football league enthralled football fanatics with performances to remember. 

    6. Women’s Premier League

    The second season of the Women’s Premier League (WPL 2024) created a buzz among fans. More so because Royal Challengers Bangalore (RCB) won their first-ever IPL trophy across men’s and women’s tournaments. RCB Women beat Delhi Capitals in the final of the 2024 WPL.

    Related Top 10 Indian Athletes Who Made History in 2024

    7. Copa América

    Copa América was another trend that established football as incredibly popular in India. In the final, Argentina defeat Colombia 1-0 to secure their record-breaking 16th title. The Copa America trophy solidified Argentina’s legacy as a football powerhouse as they won third successive major tournament win, after 2021 Copa América and the 2022 FIFA World Cup.

    8. Duleep Trophy

    The 2024 edition of the Duleep Trophy was a star-studded affair as a lot of regular Indian players graced the tournament, and the excitement for the first-class cricket tournament went sky-high. Shubman Gill, Yashasvi Jaiswal, Rishabh Pant, and KL Rahul were some of the notable names to play in the tournament this year.

    9. The UEFA European Football Championship

    The UEFA Champions League final is one of the most-watched sports events in the world. The UEFA Champions League final between Real Madrid and Borussia Dortmund on 1 June 2024 at Wembley Stadium in London lived up to the hype. Real Madrid secured a 2-0 victory in the final, to extend their trophy tally to 15 titles.

    10. Under-19 Cricket World Cup

    Indian cricket fans look up the Under-19 Cricket World Cup as the stepping stone for top-flight cricket. The reason is simple: the tournament has unearthed some of the biggest cricket superstars like Virat Kohli and Yuvraj Singh. It was a major heartbreak for India Colts in the finals as Australia defeated India in the final by 79 runs to win their fourth Under-19 Cricket World Cup title.

    However, there were a lot of exciting young talents on display in the 2024 edition from across the globe that the fans would keep an eye on. Musheer Khan, Saumy Pandey, Uday Saharan, and Sachin Dhas were some of the notable performers from the Indian contingent.

    As 2024 comes to a close, sports fans can look back on a year filled with great performances and memorable sporting events. Here’s looking forward to another great year in sports.

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    Sports Tech Innovations That Shaped Indian Sports in 2024

    When it comes to sports and technology, it’s a winning combination! From performance-driven cutting-edge gadgets to advanced data analytics, 2024 has witnessed plethora of technological advancements in sports. These tools and technology help athletes unlock their best performance and also transform the sports experience for fans. 

    Tech Innovations Driving Sports in India

    According to the ‘Think Sports: Unlocking India’s $130B Sports Potential’ report by Google and Deloitte, India’s sports ecosystem will witness remarkable growth and reach $130 billion by 2030. A 14% CAGR is double India’s GDP growth, and the majority of it can be attributed to ever-improving sports technologies.  

    From AI-backed tools that enhance athlete scouting and training to digital analytics that have expanded access to sports resources, technology is at the forefront of the Indian sports industry. Thanks to the growing collaborations between government, businesses, investors, stakeholders and fans, India’s sports ecosystem continues to move upwards solidifying its global sporting presence.

    In IPL, we have seen how Royal Challengers Bengaluru (RCB) integrated AI and data analytics into their training and real-time match performance to enhance player performance. IIT Madras’ Centre of Excellence in Sports Science and Analytics (CESSA) has developed several AI-driven programs, like “Player Impact Score” for ESPNcricinfo, that analyze player performances more intricately than the established metrics.

    Likewise, CESSA has been collaborating with sports tech startups in chess, boxing, badminton, tennis, and wrestling, and further plans to work alongside 200 such organizations over the course of five years. 

    In boxing, innovations like the SmartBoxer system which monitors boxers’ movements and punches, have proved to be a game changer. 

    In digital chess, anti-cheating tools have been put in place with technological changes to bring integrity. 

    Let’s explore which sports tech innovations are pushing the limits.

    Related How Technology Can Solve Communication Gaps In Sports Teams

    1. Wearable Tech

    Athletes and teams are embracing smartwatches, biometric sensors, and fitness bands. These wearable tech sports gadgets help in monitoring health, fitness, blood oxygen levels, hydration, muscle activity, measure training, fatigue tracking, and recovery. The wearable tech is helping create personalized programs to reduce injury risks and boost performance.

    2. Smart Gear 

    The sports equipment is integrated technologies that adapt to athletes’ needs. Adidas and Wilson are making smarter soccer Balls, custom tennis rackets, and smart running shoes to help athletes hone skills and improve performance.

    Related Top Sports Tech Startups in India

    3. AI’s Sports Revolution

    Artificial Intelligence (AI) is leading sports technology baton. AI has made sports exciting, safer, and smarter. AI-powered models analyze player data to spot injuries before they happen, predict slumps or breakouts, and help in building winning game plans.

    With the help of AI, now teams are able to break down game footage to their advantage, track players better, give real-time insights to the think-tank, and provide performance reviews that are on point.

    In individual sports and games, AI’s customized training plans have been helping athletes boost performance, prevent injuries, and recover faster. The training simulations help players practice and hone their skills without physical wear and tear.

    4. Fair Play 

    Nobody likes bad calls or loopholes in rules. Technology is helping referees get it right, management brings integrity to the table and makes the game fairer for everyone.

    5. Enhanced Sports Experience

    Not just athletes and teams, technologies like Virtual Reality (VR), Augmented Reality (AR), smarter stadiums and multiple camera viewing has brought fans closer to the action. The action has become immersive for fans like never before. They can dive deeper into the action with live stats and info, interactive overlays, jersey try-ons, and more.

    Related Upcoming Sports Events to Watch Out for in Early 2025

    6. Big Data and Analytics

    The use of data and analytics has been ever-increasing in sports. Most teams deploy advanced analytics to stay ahead of their counterparts. 

    Be it player performance metrics, exploiting opponents’ weaknesses, refining strategies, streamlining scheduling, resource allocation, and more, there is so much that data analytics is organizing.

    The technology in sports has become an integral part over the years. As sports technology evolves, the future of sports looks more competitive and exciting than ever!

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    Upcoming Sports Events to Watch Out for in Early 2025

    2024 was an incredible year for sports fans, and the action will amplify multifold in 2025. As we welcome 2025, sports fans can’t keep calm as the sports calendar seems exciting for the next year. Let’s look at the upcoming sports events in early 2025 that will set the tone for the rest of the year for the non-stop sporting action and celebrate the relentless spirit of sports. 

    Upcoming Sports Events in Early 2025

    DateSportEventVenue
    Dec 28 – Feb 1HockeyHockey India LeagueRourkela, Ranchi
    Jan 7-12BadmintonMalaysia OpenMalaysia
    Jan 12-26TennisAustralian OpenMelbourne
    Jan 14-19BadmintonIndia OpenNew Delhi
    Jan 18-Feb 2CricketICC U19 Women’s World CupMalaysia
    Feb-MarCricketICC Champions TrophyPakistan-UAE
    Feb 21-Mar 16CricketWomen’s Premier LeagueIndia
    Mar-MayCricketIndian Premier LeagueIndia
    May 2-4MotorsportMiami Grand PrixMiami
    May 23-25MotorsportMonaco Grand PrixMonte Carlo
    May 25-June 8TennisRoland GarrosParis
    May 29-June 2MotorsportSpanish Grand PrixBarcelona
    31-MayFootballUEFA Champions League FinalGermany
    Jun 12-15GolfUS Open GolfPittsburgh
    Jun 15-Jul 13FootballClub World CupUSA
    Jun 20-Jul 13TennisWimbledonLondon

    Top 10 Sports Calendar Events in Early 2025

    1. Australian Open (Tennis)

    The first Grand Slam of the year will mark its 120th edition. The key contenders will be record holder Novak Djokovic and rising star Carlos Alcaraz.

    Dates: January 12–26

    Location: Melbourne, Australia

    2. South Asian Games (Multi-Sports)

    Over 2,600 athletes from seven South Asian nations will fight it out for supremacy in 37 different disciplines and events.

    Dates: February 1–12

    Location: Lahore, Pakistan

    Related Top 10 Indian Athletes Who Made History in 2024

    3. ICC Champions Trophy (Cricket)

    One of the biggest and buzzing events in the cricket calendar 2025 is the ICC Champions Trophy. The event will be played in a hybrid model and make a return after an eight-year hiatus.

    Dates: February 19–March 9

    Locations: Pakistan and UAE

    4. Indian Premier League (Cricket)

    There is no cricket tournament as big as this one. With a major shuffle is squads ahead of the 2025 edition, fans would be excited to see how things go.

    Dates: Mar 25 – May 25

    Location: India

    5. Masters Tournament (Golf)

    This will be the first major golf tournament in 2025, slated to take place at the prestigious Augusta National Golf Club.

    Dates: April 10–13

    Location: Augusta, Georgia, USA

    6. WrestleMania 41 (Professional Wrestling)

    WWE fans can’t wait for the marquee event and will be hooked to match-ups like John Cena’s career finale.

    Dates: April 19–20

    Location: Las Vegas, Nevada, USA

    7. PGA Championship (Golf)

    Golf enthusiasts will be keen to witness the coveted PGA Championship in May 2025. The tournament will take place at Quail Hollow Golf & Country Club.

    Dates: May 15–18

    Location: North Carolina, USA

    Related The Unheard Stories of Para-Athletes in Indian Sports

    8. French Open (Tennis)

    In the second grand slam of the year, fans will be emotional since the ‘King of Clay’ Rafael Nadal has retired. At the same time, they would keenly watch the event for the crowning of the new King.

    Dates: May 25–June 8

    Location: Paris, France

    9. UEFA Champions League Final (Football)

    The UEFA Champions League Final is the biggest event in top-flight European club football and one of the most watched football events across the globe.

    Date: 31-May

    Location: Germany

    10. ICC World Test Championship Final (Cricket)

    All eyes of cricket fans will be on the third edition of WTC. The World Test Championship Final will be played at Lord’s Cricket Ground.

    Dates: June 11–15

    Location: London, England

    Related Sports Quotas In India: Opportunities And Challenges

    Indian Athletics Sports Calendar 2025

    Indian athletics has a jam-packed calendar for sports enthusiasts to look forward to. There is 59th National Cross-Country Championships in January to set the tone for the year. Then, there is first Indian Grand Prix (IGP) in Bengaluru to make motorsports enthusiasts excited. In the world events,  World Athletics Championships, Asian Athletics Championships, World Athletics Relays and Asian Race Walking Championships are the events wherein Indian atheletes can make their mark on global stage.

    Key Domestic Events

    • The first major domestic track and field competition in 2025, Indian Open Meets, will be held in April.
    • The inaugural Indian Open World Athletics Bronze Level Continental Tour will start on 10 August 2025.
    • The National Inter-District Athletics Meet (NIDJAM) will be held in February.
    • The Indian Open Throws and Jumps Competitions will be held, along with the first Indian Grand Prix (IGP) in Bengaluru in March
    • The second Indian Grand Prix will take place in Thiruvananthapuram, in May 2025.
    • The Senior National Federation Cup will be held in April.
    • The National Inter-State Senior Athletics Championships will be held in August 2025.
    • The National Open Athletics Championships are scheduled to take place in September 2025.
    • The National Youth Championships will also take place in March.

    Related The Rise and Fall of Formula 1 in India: Reasons Behind F1’s Abrupt Departure in 2014

    International Events for Indian Athletes

    1. World Athletics Championships to be held in Tokyo, Japan, from 13 September 2025.
    2. Asian Athletics Championships to take place in May 2025 in South Korea.
    3. World Athletics Relays to be scheduled in May, in China.

    Complete Calendar

    DateEventVenue
    January 1259th National Cross-Country ChampionshipsUttar Pradesh
    January 19Mumbai MarathonMumbai, Maharashtra
    February TBDNIDJAM (20th National Inter District Junior Athletics Meet)Hyderabad, Telangana
    February 23National MarathonNew Delhi
    March 18-20National Youth ChampionshipsPatna, Bihar
    March 20Fourth Indian Open Throws CompetitionReliance Academy, Mumbai
    March 22Fourth Indian Open Jumps CompetitionAnju Bobby Foundation, Bengaluru
    March 24Sixth Indian Open 400m CompetitionThiruvananthapuram, Kerala
    March 28Indian Grand Prix 1Bengaluru, Karnataka
    April 1Indian Open Athletics MeetingsSangrur, Punjab
    April 5Indian Open Athletics MeetingsAhmedabad, Gujarat
    April 10Indian Open Athletics MeetingsRanchi, Jharkhand
    April 15Indian Open Athletics MeetingsChennai, Tamil Nadu
    April 1912th Indian Open Race Walking CompetitionChandigarh
    April 21Indian Open Athletics MeetingsChennai, Tamil Nadu
    April 21-24National Federation Cup Senior Athletics ChampionshipsPanchkula, Haryana
    April 27World 10kBengaluru, Karnataka
    April 30National Relay CarnivalChandigarh
    May 2Indian Grand Prix 2Thiruvananthapuram, Kerala
    May 27-29Junior Federation CupBhopal, Madhya Pradesh
    June 10-25Senior State ChampionshipsNA
    July 12Indian Open Athletics MeetingsPune (ASI), Maharashtra
    July 19Indian Open Athletics MeetingsPatna, Bihar
    July 27Indian Open Athletics MeetingsHimachal Pradesh
    July 28Indian Open Athletics MeetingsBengaluru, Karnataka
    August 7Fourth National Javelin Day CompetitionAll states and UT
    August 10First Indian Open World Athletics Bronze Level Continental TourBhubaneswar, Odisha
    August 20-2464th National Inter State Senior Athletics ChampionshipsChennai, Tamil Nadu
    September 9-11State Meets (Juniors) South ZonePuducherry
    September 14-16North ZoneUttar Pradesh
    September 22-24East ZoneRanchi, Jharkhand
    September 18-20West Central ZoneBhopal, Madhya Pradesh
    September 27-3064th National Open Athletics ChampionshipsPune/ Bengaluru
    October 2-4Fifth Indian Open U23 Athletics CompetitionHarmond, Warangal
    October 10-1440th National Junior Athletics ChampionshipsBhubaneswar, Odisha
    October 12Delhi Half MarathonNew Delhi
    December 21World 25kKolkata, West Bengal

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    The Rise and Fall of Formula 1 in India: Reasons Behind F1’s Abrupt Departure in 2014

    Formula 1 in India began in 2011 with great zeal and fervor. The Buddh International Circuit (BIC) in Noida hosted the inaugural Indian Grand Prix. However, the event featured in F1 calendar for three years in a row and then came to an abrupt end despite having a two-year contract left.

    Formula 1 in India

    The Indian Grand Prix debut was on the cards as early as 2007 with reports of Kolkata and Coimbatore leading the race to host India’s first-ever F1 race. In years to follow, there were more cities as contenders to host the first Formula Race in India.

    Finally, in 2011, Formula1 in India made its debut at the Buddh International Circuit (BIC) in Noida. The first F1 race in India was a major success with 95,000 spectators gracing the event and it looked like India is on the global motorsport map at last.

    A staggering $400 million investment from the Jaypee Group ensured a state-of-the-art facility and circuit that will host world-class sporting events for numerous years to come.

    List of Indian Grand Prix Winners

    YearDriverConstructor
    2011Sebastian VettelRed Bull Racing-Renault
    2012Sebastian VettelRed Bull Racing-Renault
    2013Sebastian VettelRed Bull Racing-Renault

    Over the next three years, the challenges began to multiply and the event went off track for good.

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    5 Reasons India’s Formula 1 Stopped

    There was no one single reason for all the curtains to come but a plethora of factors that led to the fall of the Indian Grand Prix. We look at all the factors that played a role to rush and end India’s F1 journey.

    1. Economic Challenges

    Formula 1 remains one of the most expensive sports. It requires substantial investment and related infra. India did make a world-class circuit but other financial aspects were not great. The organizers are always racing against economic and financial challenges. The Jaypee Group was heavily investment in the event. However, there was not much government backing to round up the costs associated and the Indian rupee’s depreciation further added to woes. With rising operational costs, expensive licenses and other costs, things were going south. The contribution from sponsorships and ticket sales was considerably less than the associated costs.

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    1. Government Policies

    India’s F1 Dream relied heavily on the Indian government. And, their stance proved to be one of the biggest hurdles in the way. The Uttar Pradesh state government classified Formula 1 as an entertainment event rather than a sport. This meant that organizers were slapped with hefty entertainment taxes and duties on ticket sales. On top of that, the event lost its charm among the fans who had to bear the burden of high ticket prices due to the entertainment tax. Had the government backed the sport with tax benefits or subsidies, things would have been the opposite.

    Indian F1 driver Karun Chandhok once made a point that visa issues and stringent regulations have been denting India’s reputation as a global event host.

    “Just this week, I have had at least 50 different media people from around the world, and people from teams, engineers who have called me to say, ‘Hey, we are stuck in London without a visa, we can’t come to the race. When you have 700 world media coming to talk about your country and about your race – the only thing they are going to go back with is what a pain it was to get into your country. We need to iron out these things.”

    1. Limited Attendance and Fan Base

    The first F1 race in India was a major hit, with 95,000 enthusiastic fans attending the event. The attendance at BIC should have increased the subsequent year but the spectator numbers dropped to 65,000 by 2012 and further down in 2013. The buzz around the event among fans on social media didn’t pick up either. The popularity of F1 in India was still nascent and it could have been one of the deterrents. 

    1. Rising Competition in the F1 Calendar

    India had their opportunity. Since they didn’t grab it with both hands, there were other host countries that were waiting for their turn. The global F1 calendar is ever-expanding to several countries and markets. After accounting for all the factors, the scheduling changes were inevitable and the Indian Grand Prix in 2014 was dropped from the calendar in 2024. 

    1. Cricket’s Dominance and Sponsor Reluctance

    India is a cricket-crazy nation. Fans, sponsorships, and interests are all vested in beloved sport. For F1 it became difficult since the sport requires major investment and there is no clarity of short-term financial returns. The returns for stakeholders were not as attractive, and nowhere close to what cricket is offering. The go-to sport cricket and its proposition for investors, sponsors, and stakeholders were high to ignore. They could not look any further than cricket and dropping sponsorships in favor of cricket.

    India’s infrastructure was never the question but a global motorsports platform has to offer more for the stakeholders. The bureaucratic hurdles, lack of government support, and logistical challenges undermined a big opportunity India had. 

    Hope we get to see F1 making its re-entry on Indian shores soon!

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    Revenue Models in Professional Sports Leagues

    Professional Indian sports leagues have indeed experienced marvelous growth over the last decade or two with leagues such as IPL, ISL, and PKL reaching significant commercial heights. The strategies these leagues have implemented are a key aspect of their continued survival and success. These leagues depend on multiple sources of revenue to finance their operations, pay the teams participating in the leagues, and also improving the match experience for the fans watching the games in the stadiums or at home.

    So in this article, we look at the different revenue sources for professional leagues in India. This comprise sponsorship, merchandising, broadcasting rights, and much more.

    Sponsorships: The bedrock of Revenue Models

    Title Sponsors | Associate Sponsors | Team Sponsors

    The main source of revenues for Indian sports leagues is the sponsorships. Companies always want to associate with leagues with wider reach and influence to enhance their own brand image and increase revenue. Sponsorship deals mainly relate to title sponsorships wherein the name of the brand is directly attached to the league – for example, Tata IPL, and Hero ISL. Title sponsors are also termed as the official sponsors of the league.

    After title sponsors, come the associate sponsors. These sponsors get the less brand presentation than the main title sponsors of the league. For example, My11Circle, Angel One, RuPay & CEAT are one of the many associate sponsors of the IPL.

    For instance, in the IPL, title sponsorships attract high figures—Tata’s two-year deal is priced at ₹670 crores.

    Team sponsorships, on the other hand, are associated with teams that are sponsored by brands. By partnering with successful teams or teams featuring marketable athletes, such as Virat Kohli’s Royal Challengers Bangalore, brands gain enhanced exposure and a strong entry into the market.

    Also Read: Role of Grassroot football in Indian Football

    Broadcasting Rights: Most Significant Source of Revenue

    Broadcasting rights is one of the most money-spinning revenue streams for sports leagues. Cricket is the sport in India, and the broadcasters are willing to pay a huge amount of money for exclusive rights to broadcast the matches. For example, media rights for the IPL for the period 2023-2027 were sold for a whopping ₹48,390 crores.

    While the broadcasting rights for the NFL and Premier League are in billions. India’s Premier Kabaddi League (PKL) is also on the rise in terms of getting traction and viewership, and so the broadcasting rights for the league are likely to go up in the near future. The same can be said about other leagues such as the Indian Super League (ISL).

    The broadcasting agreements show the value of the league and the massive traction it generates across all platforms.

    Streaming Services: The Digital Revolution

    With the rise of the internet and the ever-increasing number of mobile users in India, the number of people using streaming services to watch their favorite shows and live matches on their mobile screens is growing day by day. Streaming services have revolutionized sports broadcasting in India.

    Streaming services have opened new revenue streams for leagues like the IPL. Now, leagues can sell digital rights separately from broadcasting rights. For instance, Viacom18 paid a staggering ₹23,758 crores for the IPL’s digital rights.

    Ticket Sales: Matchday Revenue

    On matchday, it’s the fans who are the most important factor for the broadcasters and also for the teams. Not only are they the largest single source of matchday revenues through ticket sales, but they also create the atmosphere inside the stadium, which in turn affects the overall ratings of the matches across other platforms. Ticket sales remain an extremely important source of direct revenue for leagues and franchise owners. Also, ticket sales are directly related to a team’s fan following.

    Leagues also devise different ticketing innovations, such as family packs and early-bird promotions, to ensure sold-out matches and maximize revenue through ticket sales.

    Merchandise: A way to connect with fans

    Merchandising in Indian sport is not at the same level as it is in Europe and the USA, but it’s catching up slowly. Remember the ICC 2023 ODI World Cup final match when almost all the fans wore the Indian shirt, making Narendra Modi Stadium a sea of blue. In football, merchandising is one of the biggest revenue sources for the clubs. From jerseys to caps and mugs with official logos and whatnot, every asset a league or team has can be used for merchandising. Merchandise sales bring in direct revenue and also work as a marketing tool that can enhance the visibility of a brand.

    Other than Team India, IPL teams also see tremendous national-level selling of jerseys and other merchandise, especially among teams like Mumbai Indians and Chennai Super Kings.

    Licensing Agreements: Beyond the Field

    Leagues and teams also offer licensing agreements to interested stakeholders. This includes allowing the stakeholders to use logos, team names, and other branding elements. Some examples of licensing agreements include the creation of branded products — a mobile game, a collectible, or even a fantasy league tie-up. In other cases, media houses are allowed to use team photos in articles.

    Consider Dream11’s association with the IPL as a fantasy league partner, which, apart from increasing fan engagement, also brings steady revenue through licensing fees to the league. These associations demonstrate how leagues are monetizing their assets.

    Conclusion: India Needs to Catch Up

    Though leagues and teams in India have more revenue sources than they did a decade ago, they still lag behind Europe and the USA. Watching matches on streaming devices or TV is one thing, but engaging fans and giving them reasons to connect with the teams or the league is a completely different challenge.

    The IPL is over a decade old, yet it’s still viewed as a league with a strong entertainment factor. In Europe and the USA, fans are more immersed in the matches, with a deeper emotional attachment, and almost everyone in the stadium wears the team jersey. While teams in the IPL, ISL, and PKL are making good money, buying official merchandise is still a tough ask. First, it’s expensive, and second, there are only a handful of official team stores selling authentic merchandise.

    Leagues and teams in India must evolve better systems to engage with fans and enhance their matchday experience.

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    How Sponsorships Work in Indian Sports?

    “What is seen is sold” has become an old adage in this world driven by money. Big teams want to leverage the widespread appeal of teams and athletes who are at the peak of their power, like for example Virat Kohli, who is certainly the most marketable athlete in India at the moment. Neeraj Chopra is another success story that proves you don’t need to be a cricketer in India to carve out a name for yourself. If you have the talent, success will eventually chase you like a possessed spirit. Money will flow, and you will become a success story.

    For Indian athletes, and this is true for most athletes around the world, a big part of their income is generated from sponsorship deals.


    How Sponsorship work in Indian Sports?

    Sponsorship can be categorized into many types. Teams get sponsorship in various forms from big companies, while individual athletes also earn sponsorship due to their widespread appeal. Here’s how sponsorships work in India:

    • Tournament Sponsorships: This kind of sponsorship occurs when a big company wins the right to be the title sponsor of the tournament. For example, Hero is the title sponsor of the Indian Super League, and thus the tournament is called the Hero ISL.
    • Team Sponsorships: You must have seen company names on the front of a team’s jersey. Those names of companies are the team sponsors.
    • Player Sponsorships: As the name suggests, this is when an individual athlete agrees to endorse a company for an agreed amount, like Virat Kohli doing the advertisement for MRF Tyres.

    How Sponsorships Should Also Work in Indian Sports?

    We have all heard tales of how Barcelona pursued Lionel Messi. There are rumors that the contract between Barcelona and Messi was signed on a napkin. From there on, Messi needn’t worry about the money. He just needed to concentrate on growing his already immense football skills. Messi was sponsored by Barcelona from an early age.

    This is one of the million stories from all around the world. In almost all developed countries, if an athlete shows promise from an early age, they start getting interest from big companies such as Nike. In addition, countries such as the USA have a proper system where aspiring athletes get all sorts of backing from the government.

    Young Indian athletes, on the other hand, to a great extent, have to depend on parents for financial support. With the rising cost of education, parents eventually face a stage where they have to prioritize education over sports.

    For India to become a true giant in sports, there should be a system where the government, at the very least, should always support young, talented athletes.

    Why Aspiring Athletes Need Sponsorship?

    Athletes need caring right from their first step into the field. Their coaching starts at home with parents and the surroundings in which they are being groomed and nurtured. Inculcating right and healthy habits is the ultimate foundation parents can lay for their precious children. From the very early age, children show signs of their liking to things. Like, in Lionel Messi’s case, he was always into football. Everyone knew, even when Messi was just a little kid, that he was born to play football. This is, more often than not, the same for most kids. As they say, Coming events cast their shadows long before.

    Rising cost of pursuing sports

    As kids start developing and progressing in sports, the biggest hurdle is finding the money. Let’s be honest, there are no free lunches in any field. Pursuing sports and reaching a professional level requires a lot of investment. Even in India, which is a developing market and is presumed to be a nation with low costs, sports are still costly.

    First, a kid should have access to basic training facilities, if not the top-notch ones, and for that to happen, they should be in at least a second-tier city. Remote villages do not even have quality coaches, let alone the facilities. With most of India’s population in the middle class, most parents do not have the luxury of affording the education, which is extremely high in India, and allowing their kids to pursue sports. That’s why sponsorships, for the special athlete, can be a game-changer for the parents and the athlete himself.

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