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Even More Fun with Numbers: Fantasy Sports Fantasies September 1, 2006

Posted by David Card in Media.
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Football starts next week, so BusinessWeek gushes over fantasy sports.

    And big groups mean big money. The fantasy sports industry generates $1 billion to $2 billion a year on publication subscriptions, paid league entrance fees, mail-order draft kits, and fantasy software and other products, says Jeffrey Thomas, (Fantasy Sports Trade Association) president. It’s a safe bet a lot of that revenue is ending up online, the playing field for 92% of those who engage in fantasy sports.

No, it’s not. We’re still updating our paid content forecast, but we haven’t seen any reason to think last year’s estimates of $50 to $60 million in online consumer fees are far off. There’s more action in advertising than ever — and fantasy sports players are a desirable audience — but fantasy sports is not a billion dollar business online. Not by a long shot.

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