Updated Mar 17, 2026 by Drake Star Partners
Report · January 1, 2025
Published by Drake Star Partners
The 2025 sports‑technology market experienced an unprecedented surge of private capital, with roughly 500 announced transactions totaling $14.3 billion. Early‑stage investments alone contributed about $8.8 billion, underscoring a robust pipeline of emerging innovators and a strong appetite among venture investors for nascent solutions across performance analytics, fan engagement, and digital infrastructure. This influx of funding reflects a broader confidence in the sector’s growth trajectory and its expanding role within the global sports ecosystem. Concurrently, the year was marked by a wave of mega‑valuations and record‑size mergers and acquisitions, most prominently the $10 billion acquisition of the Los Angeles Lakers and the $6.1 billion purchase of the Boston Celtics. These franchise deals, together with a $76 billion NBA media‑rights package, illustrate the escalating financial stakes attached to elite sports properties and the premium placed on content distribution platforms. Valuation metrics for traditional sports‑tech firms stabilized around an average EV/EBITDA multiple of 4.2× and a revenue multiple near 13×, indicating a mature market where profitability and top‑line growth are increasingly scrutinized by investors. Overall, the analysis captures a market that is both capital‑intensive and consolidation‑driven, with the United States serving as the focal point for high‑profile transactions while broader global trends echo similar patterns of investment and valuation. The data suggest that continued inflows of private capital, coupled with strategic M&A activity, will shape the competitive landscape and set valuation benchmarks for the next phase of sports‑technology development.
SPORTS TECH MARKET 2025 NEW YORK | LONDON | LOS ANGELES | PARIS | MUNICH SAN FRANCISCO | BERLIN | DUBAI A www.drakestar.com
PROVEN TRACK RECORD IN SPORTS TECH M&A AND GROWTH FINANCING ADVISORY PROVEN TRACK RECORD IN SPORTS TECH M&A AND GROWTH FINANCING ADVI SORY * Play HO SPIIDEO B spiketrap URBAN SPORTS CLUB Videndum WILDMOKA SALE OF PRIVATE PLACEMENT LED BY SALE TO SALE TO LIGHTSTREAM SALE TO 4 BACKLIGHT reddit BY RAINMAKERapi.stream ASG AGACHE RedBull CIPIO PArTNeRS PSG verdane Xsolla LVMH Audience AI / SaaS LCD animca DIRT [GRID WGT MEDIA -EXIT GAMES LIGHTSTREAM RANDS 7NXT GROWTH AAA Game Develope SALE TO MINORITY SALE TO EQUITY SALE MAJORITY INVESTMENT BY INVESTMENT BY C5 Asset Managers SALETO Oc PSG SLIGHTLYMAD ToPgolF skillz Video Game / Content Live Streaming Hedge Funds Oakley Capital SportsTech/SaaS SportsTech Gaming/SaaS SportsTech/Digital Media C C + ECHTRA One elgato CLOENG BLAST newmcove Achillingo SALE TO SALE TO PRIVATE PLACEMENT SALE TO SALE TO T2 URBAN CORSAIR VEKSTFONDEN FitnessFirst EA zynga partech VENTURES CCAPITAL WALVIS CREANDUM HV MAKI.VC Gaming/ Content Streaming / Esports Gaming /Esports /Esports 0 0 00 Note: Some transactions executed by current Drake Star Partners employees while employed at other firms www.drakestar.com 2 www.drakestar.com
ANNUAL MEDIA AND ENTERTAINMENT SUMMIT Media& Entertainment C - SUITE EVENT FOR SPORTS, MEDIA AND ENTERTAINMENT INVESTMENT IND USTRY Summit Annual investment industry leadership summit in NYC PANELISTS Summit Annual investment industry leadership summit in NYC PANELISTS teamsNAP • Preeminent, “must - attend” event for sports, media and entertainment professionals Peter Frintzillas * • 200+ invitation - only C - Suite attendees comprised of leading growth stage firms, strategic buyers, Venture Capital and Peter Frintzillas Private Equity firms CEO 3SPIDEO Patrik Olsson SELECT ATTENDEES Patrik Olsson SELECT ATTENDEES SELECT ATTENDEES CEO WARNER BROS. DICKSS a ESPN CAA Sportico CAVS tmrWI/SPORTS Tim MacKinnon PlayHQ OVERY Tim MacKinnon CEO ZMC SHAMROCK BRUIN DA Zi vis shutterstsck A24 BainCapital DYNASTY SEPORTS S CAPITA ZN EQUITY N VENTURES Gregory Bedrosian CEO DMGT QARES IFG SEVENTYSIX VOLO GC Microsoft KKR n CAPITAL GAMECHANGER Bluestone ETPG EPIC Rob Freeman Proskauer> teamsNAP mixhalo 26NORTH SIXTH LUCRA USTA SPIIDEO GAMES AMES PlayHQ Partner & Co -Head STRET ABRY philo Hwater LOVB Spond Charter PARROT WIN Ashish Desai NBCUniversal 2 MONROE BACKLIGHT EVP PARTNERS JOHN WALL STREET CAPITAL ANALYTICS EVP SHOAL HARBOR LLR DEALIYO BITKRAFT Morgan Stanley simplebet 00NEAXT TE zoomph Jeff Roth BRUIN MADISON 5P CAPITAL Partner RIVER CAPITAL MANAGEMENT Partner OCEAN eFuse Goldman A LIVeLIKe SPORTPASS tP Hanaco MIRAE ASSET Sam Halls LANE Sachs HIGHPOST Partner SHAMROCK PARTNERS VERITaS ACCOMPLICE Partner CAPITAL
BOR LLR DEALIYO BITKRAFT Morgan Stanley simplebet 00NEAXT TE zoomph Jeff Roth BRUIN MADISON 5P CAPITAL Partner RIVER CAPITAL MANAGEMENT Partner OCEAN eFuse Goldman A LIVeLIKe SPORTPASS tP Hanaco MIRAE ASSET Sam Halls LANE Sachs HIGHPOST Partner SHAMROCK PARTNERS VERITaS ACCOMPLICE Partner CAPITAL TIRTA CLOENG SportsBiz bitcentral pplayerdata BVG 8 footpath BC PARTNERS IV PINE VENTURE PARTNERS Medhini Srinivasan ABRY XSET ventures Principal Medhini Srinivasan connecticut dropp elevate everfit flagstar EYEBALL MONHEORE SPORTSVISIO Principal PARTNERS E Ryan Moore innovations everpass MLOOTMOGUL Founder SRS trinet FORGELIGHT fourth wall. INSPIRED Leaderboard OSCoREvISion Ryan Moore SPORTSMAN!AS FITMATCH.ai Founder ACCOMPLIC3 www.drakestar.com 3
A THOUGHT LEADER IN SPORTS TECH DEAL MAKING OUR INSIGHTS AND EXPERTISE ARE HIGHLY REGARDED AND FOLLOWED BY T GLOSAL L Media& DRAKE STAR KNOW WHAT IS THE NEW Entertainment THE TRUTH BEHIND SOME OF THE BIGGEST DEALS IN NEXT NESPORT Proskauer> 2025 The Rise of Youth Sports and Opportunities Ahead The Rise of Youth Sports and Opportunities Ahead GREG BEDROSIAN HE INDUSTRY TRADITIONAL SPORTS IN GREGORY BEDROSIAN in THE ESPORTS ERA RIYADH, AUGUST 2024 GREGORY BEDROSIAN MANAGING PARTNER & CEO NEW YORK +1 203 524 5652 [email protected] SEG3 ERIC WARD in ERIC WARD MANAGING PARTNER Gregory Bedrosian Peter Frintzillas MANAGING PARTNER CEO Peter Frintzillas SportsTech LONDON CEO *DRAKE STAR teamsNAP Investor +44 77 4005 2468 [email protected] Roundtable 2025 Bild Buy or Partner: December 9, 2025 SEG3.COM MICHAEL METZGER in 12:15PM - 1:00PM MANAGING PARTNER DRAKE STAR S&P Global LOS ANGELES Patrik Olsson Tim MacKinnon arket I ntelligence +1 310 696 4011 CEO Partner [email protected] CEO CEO "There are actually even more deals [email protected] CEO
December 9, 2025 SEG3.COM MICHAEL METZGER in 12:15PM - 1:00PM MANAGING PARTNER DRAKE STAR S&P Global LOS ANGELES Patrik Olsson Tim MacKinnon arket I ntelligence +1 310 696 4011 CEO Partner [email protected] CEO CEO "There are actually even more deals [email protected] CEO SPIIDEO PlayHO done I'm aware of that aren't yet announced. Anytime there is a MOHIT PAREEK major inflection point marked by MOHIT PAREEK in JEFF ROTH MOHIT PAREEK explosive growth, where there is PARTNER PARTNER PARTNER more capital to invest, some people LOS ANGELES PARTNER might end up overpaying, and we'll +1 310 696 4006 RUIN PARTNER [email protected] B *DRAKE STAR see what the right valuation ends Gregory Bedrosian +1 310 696 4006 CAPITAL EXCLUSIVE INTERVIEW up being." CEO & Managing Partner [email protected] Drake Star www.drakestar.com 5 EXCLUSIVE INTERVIEW www.drakestar.com
In the first half of 2025 the global sports‑technology sector recorded approximately $52 billion in announced or closed transactions, underscoring a rapid acceleration of both merger‑and‑acquisition activity and capital raising. Roughly $32 billion stemmed from 233 M&A deals, while a record‑high $6.6 billion was secured through 239 private‑placement rounds, more than 80 % of which involved early‑stage companies. The capital influx was driven by a mix of strategic consolidations—most notably TSG Consumer’s $1.5 billion acquisition of EOS Fitness and RTL’s $613 million purchase of Sky Deutschland—alongside a wave of targeted investments such as Valeas’s $110 million majority stake in Ticketmanager, Genstar’s acquisition of Playmetrics for integration with Stack Sports, and IMG’s takeover of SportsRecruits. Deal multiples varied across subsectors, reflecting divergent growth trajectories within wearables, fan‑engagement platforms, and performance‑analytics solutions. Geographically, the activity spanned North America, Europe and emerging markets, with transaction processing centralized through Drake Star Securities LLC in the United States and its UK affiliate, Drake Star UK Limited, both operating under FINRA regulation and SIPC membership. This infrastructure ensures compliance and investor protection for institutional participants. The concentration of early‑stage financing and the prevalence of large‑scale consolidations together signal a market transitioning from fragmented innovation toward integrated platforms capable of delivering end‑to‑end sports experiences. The data suggest that investors and strategic acquirers view the sector as a high‑growth arena, positioning it for continued expansion and deeper consolidation throughout the remainder of 2025.
I’m ready to craft a comprehensive synthesis, but I’ll need the remaining section summaries to capture the full scope, findings, and conclusions of the Global Sports Tech Report 2024. Could you please provide the rest of the section-by-section summaries?
The analysis focuses on the accelerating consolidation of the worldwide gaming ecosystem, emphasizing the unprecedented scale of mergers and acquisitions (M&A) and private‑placement financing observed in the final quarter of 2025 and projecting a further surge into 2026. In Q4 2025, a record‑high 43 announced transactions totaled $83 billion, highlighted by Netflix’s $82.7 billion purchase of Warner Bros.’ avatar‑technology portfolio and Kakao Games’ $78 million strategic stake aimed at expanding its PC and console footprint. Private‑placement activity complemented the M&A wave, with 137 deals raising $1.5 billion, underscoring heightened investor appetite for growth‑stage gaming ventures. The data reveal a clear shift toward acquisition of immersive‑technology assets, particularly avatar and metaverse‑related capabilities, as major platform operators seek to deepen engagement across streaming and interactive media. Geographic distribution remains truly global, with North American and Asian firms leading both deal origination and capital provision, while sovereign wealth entities such as the Public Investment Fund (PIF) emerge as influential buyers. The breadth of activity spans traditional console and PC publishers, mobile‑first developers, and emerging gaming‑tech startups, indicating a convergence of content, distribution, and underlying technology. Looking ahead to 2026, the outlook anticipates a sharp acceleration in gaming‑tech M&A, driven by a roster of “buyers to watch” that includes PIF‑backed Scopely, Netflix, Paramount, Tencent, Krafton and NCSoft. The forecast suggests that strategic imperatives—namely, securing avatar‑tech, expanding cross‑platform ecosystems, and leveraging data‑driven monetisation—will fuel continued dealmaking at volumes exceeding the historic Q4 2025 peak. Overall, the findings point to an industry in the midst of rapid structural realignment, with capital flowing toward assets that enable deeper, more immersive player experiences and broader monetisation opportunities.
The global gaming industry experienced a significant resurgence in financial activity during the first quarter of 2025, marked by a substantial rebound in mergers, acquisitions, and private placements. Total deal value for the quarter reached $4.4 billion across 48 announced transactions, representing the highest quarterly valuation in nearly two years. This momentum was primarily driven by large-scale strategic consolidations, such as the $3.5 billion acquisition of Niantic’s games division by Scopely and AppLovin’s $900 million studio spin-off. Simultaneously, private investment surged to $3.5 billion across 149 deals, anchored by a landmark $3 billion investment into Infinite Reality at a $12.25 billion valuation. Investment trends during this period shifted toward AI-driven entertainment and mobile user acquisition technologies. Strategic players like Savvy Games Group and Tencent maintained leadership roles in capital deployment, while venture capital firms such as BITKRAFT and Andreessen Horowitz remained the most prolific investors by volume. Geographically, the Asian developer market demonstrated steady stability with a median revenue growth of 9%, while the hardware and tools sector outperformed broader segments with a 20% average revenue increase. This growth was heavily influenced by the dominance of NVIDIA, which saw a 114% year-over-year revenue surge, positioning it as a cornerstone of the industry’s infrastructure with a $2.6 trillion market capitalization. Despite the overall recovery reflected in the 16.37% return of the Drake Star Gaming Index, the market exhibited extreme volatility among individual public companies. While Sea Limited experienced a dramatic 223% increase, established entities like Unity and Ubisoft faced significant downturns, with valuations falling by over 50%. This divergence highlights a period of intense transition where hardware providers and AI-integrated platforms are capturing the majority of market gains, while traditional software developers and engine providers navigate a more challenging and fragmented economic landscape.