Latest News | India's Sports-tech Mkt May Grow by 85 Pc to Rs 49,500 Cr by 2029: FIFS-Deloitte
Get latest articles and stories on Latest News at LatestLY. Sports technology market in India, comprising apps, devices, sensors etc, are expected to grow by 85 per cent to Rs 49,500 crore in the next four years, a joint report by fantasy games body FIFS and Deloitte said on Thursday.
New Delhi, Feb 13 (PTI) Sports technology market in India, comprising apps, devices, sensors etc, are expected to grow by 85 per cent to Rs 49,500 crore in the next four years, a joint report by fantasy games body FIFS and Deloitte said on Thursday.
The report estimates that India's sports-tech market generated Rs 26,700 crore in revenue in the financial year 2024 and is projected to grow at a compound annual growth rate (CAGR) of 13 per cent by FY'29.
"India's sports technology ecosystem is at an inflection point, with the market projected to grow at a 13 per cent CAGR to Rs 49,500 crore by FY'29," Deloitte India, Partner, Prashanth Rao said.
He said that the advent of digital technologies are not only providing data for enhanced athlete performance but is also creating immersive fan experiences, leading to increased multi-sport following across demographics and opening newer avenues of business and business-led collaboration
"Fantasy Sports continues to be a key driver in this evolution, fostering deeper engagement and community building while also contributing significantly to employment generation and economic impact, with the industry expected to post a CAGR of 7 per cent until FY'29 and create 17,500 direct and indirect new jobs by FY'27," Rao said.
The report has included fan engagement, sports data and analytics, and foundational technologies for the projection.
The GST imposed by the government on the fantasy sports industry was at 28 per cent, which is the same as gambling tax rates, leading to muted growth for the sector over the next few years.
According to the report, fantasy sports sector is expected to de-grow by 10 per cent in FY'25, but the industry is also expected to post a reduced CAGR of 7 per cent for FY'24 to FY'29, compared to the earlier forecasted CAGR of 30 per cent for FY'22 to FY'27.
"This degrowth is driven by a whopping about 50 per cent hit on fantasy sports companies' margins as a result of companies absorbing the impact of increased GST," the report said.
Post GST rule on fantasy sports, the investments in the segment have gone down by 90 per cent in 2023 and no new investments being made in the sector in 2024.
The Federation of Indian Fantasy Sports (FIFS), Director General, Joy Bhattacharjya said that the sports technology industry in India is poised to unlock new levels of athletic excellence, fan engagement and overall growth in the sports industry.
"It can be a critical lever in elevating the sports experience for both the fans and athletes," Bhattacharjya said.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)