Dream11, the Indian fantasy sports platform, is planning to exit its contract with the Board of Control for Cricket in India (BCCI) following the Union government’s ban on money-based online games. Dream11 had a ₹358-crore jersey sponsorship deal with the Indian cricket team, but the latest ban would not make the sponsorship feasible under the new framework, according to reports.
The Parliament had passed a bill to ban online games played with money while promoting eSports and online social gaming. Following this, the Dream11 authorities approached the BCCI seeking to withdraw from the sponsorship contract. However, a source close to the BCCI told Economic Times that the exit cannot happen unilaterally as the agreements were watertight. “It will have to be a mutual decision since the law of the land doesn’t permit advertising of banned games,” the report quoted an unnamed source.
The company was one of the largest advertisers in India, spending about ₹2,964 crore on advertising and promotions in FY 2023.
Jersey Jinx
The Dream11 is the latest in the series of companies that faced closure or collapse after the jersey sponsorship. Winning the sponsorship to get featured on the jersey of Team India is considered a great achievement, considering the visibility wherein crores of eyes watch it during major matches. But, things haven’t gone well for many previous sponsors, and many now believe in ‘jersey jinx or jersey curse’.
Sahara, Oppo, and Byjus
Business conglomerate Sahara had a great run in the circuit, with a 12-year run from 2002 to 2013. They, however, ran into SEBI trouble over regulatory violations. Sahara was replaced by Star India between 2014 and 2017, which also ended following a Competition Commission probe.
Then came Oppo from 2017 to 2019. The Chinese giant paid Rs 1,079 crore for a five-year deal. Soon, the brand collapsed after geopolitical tensions and anti-China sentiment. Its market shares slipped, and its presence in India remained under pressure.
After Oppo, it was the turn of Byju's, the ed-tech firm. A startup success story, Byju's had a peak valuation of $22 billion at the time of sponsorship. Byju’s paid Rs 1,000 crore till 2023 to retain the sponsorship before it began to crumble. In 2024, Byju’s filed for bankruptcy proceedings, with assets under auction and founder Byju Raveendran facing regulatory probes.
According to Brand Guru Harish Bijoor, the sequence is too striking to ignore, and it makes for good reading irrespective of whether it is an accident or reality. “Brands with a fair bit of money in the kitty and wanting immediate and big visibility find the cricket jersey the best thing to buy,” Bijoor told StoryBoard 18. He added that the issue is that these sponsors were mostly from volatile sectors and were “ill-prepared to withstand”.
