Dream11 CEO rules out layoffs despite 95% revenue loss
What's the story
Harsh Jain, the co-founder of Dream Sportsv(parent company of Dream11), has assured that there will be no layoffs at his company after the government's ban on real-money gaming (RMG). Jain said, "We're not interested in doing any layoffs. All the talent here is safe." He emphasized the company's commitment to building with its existing talent and creating new products for future monetization.
Business shift
Suspension of paid contests
Following India's new gaming law banning online money games, Dream11 has suspended all paid contests on its fantasy sports platform. The company has now moved to free-to-play online social games. Jain said that 95% of their revenues and 100% of their profits come from these cash-based contests, which are now illegal.
Financial outlook
Cash reserves and talent
Jain assured that Dream Sports has enough cash reserves to sustain its talent pool and operations for a couple of years. He said the company has an internal demand for talent across its existing businesses and new products it plans to develop. Jain compared his company's situation to that of a Series B start-up, saying they have capital, people, user base, brand, and entrepreneurs ready to take on this challenge.
Strategic focus
Focus on AI and potential international expansion
Going forward, Dream Sports will focus on sports-related opportunities in India using AI, especially in the creator economy. Jain said, "We have sports content, commerce, fan engagement... All of this is going to be disrupted by AI." He also hinted at possible international expansion but stressed that India would continue to be their main market.