Dream11 is reportedly weighing in options to enter the online rummy space, sources said citing anonymity. The gaming leader had recently closed an $840 million funding round led by Falcon Edge, DST Global, D1 Capital, Redbird Capital, and Tiger Global. The round valued the sports tech company at $8 billion, up from $5 billion in March this year when it raised $400 million.
The Company reported a record profit of Rs 181 crore for the financial year 2019-20 up from a loss of Rs 87.8 crore in the previous year, according to its regulatory filings. Flush with funds, the company is readying a roadmap for the launch of online rummy games, the source said.
It is not clear if the rummy offerings will be through the Dream11 brand or some other brand including by acquisition of an existing gaming venture. The source also said there are no agreed timelines at this point. The online rummy market currently includes brands like RummyCircle, JungleeRummy, RummyCulture, and A23.
In August, while dismissing a special leave petition (SLP), the Supreme Court has upheld that the online fantasy sports format offered by Dream11 is a game of skill. The gaming company is recently embroiled in a controversy as it continued to operate in Karnataka even after the notification of controversial online gaming ban law. Booked for violation of the gaming law, the company and the founders have approached the Karnataka High Court with a quash petition.
Harsh Jain – co-founder and CEO of Dream 11 – has recently set up an investment fund to back early and mid-stage startups. In August, the company launched a $250 million venture capital fund and already has a portfolio of 10 early-stage startups which includes Fittr, SoStronk, KheloMore, and Elevar.
The Mumbai-based company also operates ventures under brand names Dream Capital, FanCode, DreamSetGo, Dream Game Studios, and DreamPay. FanCode is a sports content platform, Dream Capital is an M&A and venture capital arm, DreamSetGo is a sports experiences platform, Dream Game Studios is a game publisher, and DreamPay is a payment service provider.
We have approached Dream11 for their comments. This post will be updated once we receive any official response.
Update on 4 January 2022: Dream11 reached out to us stating they have no plans to foray into online card games including rummy.
The official response is reproduced below:
“Dream Sports is India’s leading sports technology company with 140 million users, housing brands such as Dream11, the world’s largest fantasy sports platform, and FanCode, a leading sports platform providing personalised content and commerce, among others. We are focused on leveraging sports technology with the objective of growing and evolving the Indian sports ecosystem.
Our vision is to “Make Sports Better” through the convergence of sports and technology on all digital platforms. We have no plans, whatsoever, to foray into card gaming, including rummy, as we see no fitment with our vision.”