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A fantasy sport (also known less commonly as rotisserie or roto) is a game, often played using the internet, where participants assemble imaginary or virtual teams composed of proxies of real players of a professional sport. These teams compete based on the statistical performance of those players in actual games. This performance is converted into points that are compiled and totaled according to a roster selected by each fantasy team's manager. These point systems can be simple enough to be manually calculated by a "league
commissioner A commissioner (commonly abbreviated as Comm'r) is, in principle, a member of a commission or an individual who has been given a commission (official charge or authority to do something). In practice, the title of commissioner has evolved to incl ...
" who coordinates and manages the overall league, or points can be compiled and calculated using computers tracking actual results of the professional sport. In fantasy sports, as in real sports, team owners draft, trade, and cut (drop) players.


History


Early simulations

The history of fantasy games can be traced to the 19th century. The
tabletop game Tabletop games or tabletops are games that are normally played on a Table (furniture), table or other flat surface, such as board games, card games, dice games, miniature wargames, Tabletop role-playing game, tabletop role-playing games, or ti ...
''Sebring Parlor Base Ball'', introduced in 1866, allowed participants to simulate games by propelling a coin into slots on a wooden board. Later games featured outcomes determined by dice rolls or spinners. In 1930, Clifford Van Beek designed the board game ''National Pastime'', which contained customized
baseball card A baseball card is a type of trading card relating to baseball, usually printed on cardboard, silk, or plastic. In the 1950s, they came with a stick of gum and a limited number of cards. These cards feature one or more baseball players, teams, s ...
s of Major League Baseball (MLB) players. After rolling a pair of dice, participants would consult the card of the MLB player "
at bat In baseball, an at bat (AB) or time at bat is a batter's turn batting against a pitcher. An at bat is different from a plate appearance. A batter is credited with a plate appearance regardless of what happens upon completion of his turn at bat, ...
" to determine an outcome, which could range from a single,
double Double, The Double or Dubble may refer to: Mathematics and computing * Multiplication by 2 * Double precision, a floating-point representation of numbers that is typically 64 bits in length * A double number of the form x+yj, where j^2=+1 * A ...
, triple, or
home run In baseball, a home run (abbreviated HR) is scored when the Baseball (ball), ball is hit in such a way that the batting (baseball), batter is able to circle the bases and reach home plate safe (baseball), safely in one play without any error ( ...
to a
strikeout In baseball or softball, a strikeout (or strike-out) occurs when a batter accumulates three strikes during a time at bat. It means the batter is out, unless the third strike is not caught by the catcher and the batter reaches first base safe ...
,
putout In baseball statistics, a putout (PO) is awarded to a defensive player who (generally while in secure possession of the ball) records an out by one of the following methods: * Tagging a runner with the ball when he is not touching a base (a tag ...
,
walk Walking (also known as ambulation) is one of the main gaits of terrestrial locomotion among legged animals. Walking is typically slower than running and other gaits. Walking is defined as an "inverted pendulum" gait in which the body vaults over ...
, or
error An error (from the Latin , meaning 'to wander'Oxford English Dictionary, s.v. “error (n.), Etymology,” September 2023, .) is an inaccurate or incorrect action, thought, or judgement. In statistics, "error" refers to the difference between t ...
. Players with better statistics in the previous season were more likely to receive favorable outcomes; this allowed ''National Pastime'' to become one of the first games to try to simulate the performances of real-life MLB players. An example of such games was APBA, which was first released in 1951 and also contained cards of MLB players with in-game outcomes correlated to their stats from past seasons. Participants could compose fantasy teams from the cards and play against each other or recreate previous seasons using the statistics on the cards. Individual player cards and dice roll simulations were also emulated in the
Strat-O-Matic Strat-O-Matic is a game company based in Glen Head, New York, that develops and publishes sports simulation games. It produces tabletop baseball, American football, basketball, and ice hockey simulations, as well as personal computer adaptation ...
game, which was first released in 1961.
Daniel Okrent Daniel Okrent (born April 2, 1948) is an American writer and editor. He is best known for having served as the first public editor of ''The New York Times'' newspaper, inventing Rotisserie League Baseball, and for writing several books (such as ...
, who would later be credited with developing modern
fantasy baseball Fantasy baseball is a game in which the participants serve as owners and general managers of virtual baseball teams. The competitors select their rosters by participating in a draft in which all relevant Major League Baseball (MLB) players are ava ...
, was an avid Strat-O-Matic player, telling ''
Sports Illustrated ''Sports Illustrated'' (''SI'') is an American sports magazine first published in August 1954. Founded by Stuart Scheftel, it was the first magazine with a circulation of over one million to win the National Magazine Award for General Excellen ...
'' in 2011 that "if there hadn't been Strat-O-Matic, I still think I would have come up with
rotisserie Rotisserie, also known as spit-roasting, is a style of roasting where meat is skewered on a spit – a long, solid rod used to hold food while it is being cooked over a fire in a fireplace or over a campfire, or roasted in an oven. This meth ...
, but unquestionably it helped." In 1961, another early form of fantasy baseball was coded for the
IBM 1620 The IBM 1620 was a model of scientific minicomputer produced by IBM. It was announced on October 21, 1959, and was then marketed as an inexpensive scientific computer. After a total production of about two thousand machines, it was withdrawn on N ...
computer by
John Burgeson John W. Burgeson (19 August 1931 – 12 September 2016) was an IBM engineer who created the first computer baseball simulation game in 1961, on an IBM 1620 Computer in Akron, Ohio. Burgeson's invention was accepted and officially recognized by th ...
, then working for
IBM International Business Machines Corporation (using the trademark IBM), nicknamed Big Blue, is an American Multinational corporation, multinational technology company headquartered in Armonk, New York, and present in over 175 countries. It is ...
. A user would select a team from a limited roster of retired players to play against a team randomly chosen by the computer. The computer would then use random number generation and player statistics to simulate a game's outcome and print a play-by-play description of it. While some of these fantasy games produced outcomes based on the performances of real athletes, they were not designed to be played out over the course of a season, nor did they take current statistics into account, relying instead on those from previous years.


The first leagues

In the 1950s,
Oakland, California Oakland is a city in the East Bay region of the San Francisco Bay Area in the U.S. state of California. It is the county seat and most populous city in Alameda County, California, Alameda County, with a population of 440,646 in 2020. A major We ...
businessman and future limited partner in the
Oakland Raiders The Oakland Raiders were a professional American football team based in Oakland, California, from its founding in 1960 to 1981, and again from 1995 to 2019 before Oakland Raiders relocation to Las Vegas, relocating to the Las Vegas metropolitan ...
Wilfred "Bill" Winkenbach developed a fantasy golf game in which participants would select a roster of professional golfers and compare their scores at the end of a given tournament, with the lowest combined total of strokes winning. He also created a baseball game in which players drafted hitters and pitchers, comparing their real-life statistics against each other. These early experiments, however, failed to spread to the general public. In 1960, sociologist William A. Gamson developed the Baseball Seminar league, in which participants would draft rosters of active MLB players and compare results at the end of the season based on the players' final batting averages,
earned run average In baseball statistics, earned run average (ERA) is the average of earned runs allowed by a pitcher per nine innings pitched (i.e. the traditional length of a game). It is determined by dividing the number of earned runs allowed by the number ...
s,
runs batted in A run batted in or runs batted in (RBI) is a statistic in baseball and softball that credits a batter for making a play that allows a run to be scored (except in certain situations such as when an error is made on the play). For example, if th ...
, and win totals. Gamson would go on to play the game as a professor at the University of Michigan, where another competitor was Bob Sklar. One of Sklar's students was Daniel Okrent. According to
Alan Schwarz Alan Schwarz (born July 3, 1968) is a Pulitzer Prize-nominated writer and author, formerly at ''The New York Times'', best known for writing more than 100 articles that exposed the National Football League's cover-up of concussions and brought the ...
's ''The Numbers Game: Baseball’s Lifelong Fascination with Statistics'', Sklar told Okrent about the Baseball Seminar league. Two years later, in a
New York City New York, often called New York City (NYC), is the most populous city in the United States, located at the southern tip of New York State on one of the world's largest natural harbors. The city comprises five boroughs, each coextensive w ...
hotel room during a 1962 Raiders cross-country trip, Winkenbach, along with Raiders public relations employee Bill Tunnel and ''
Oakland Tribune The ''Oakland Tribune'' was a daily newspaper published in Oakland, California, and a predecessor of the '' East Bay Times''. It was published by the Bay Area News Group (BANG), a subsidiary of MediaNews Group. Founded in 1874, the ''Tribune'' ...
'' reporter Scotty Stirling, developed the rules that would eventually be the basis of modern fantasy football. The inaugural league was called the Greater Oakland Professional Pigskin Prognosticators League (GOPPPL), and the first draft took place at Winkenbach's home in Oakland in August 1963. One of the league's original members, Andy Mousalimas, owned a sports bar in Oakland called the King's X, where the first public fantasy football league was founded in 1969. The idea spread by
word of mouth Word of mouth is the passing of information from person to person using oral communication, which could be as simple as telling someone the time of day. Storytelling is a common form of word-of-mouth communication where one person tells others a ...
when the patrons of other
Bay Area The San Francisco Bay Area, commonly known as the Bay Area, is a region of California surrounding and including San Francisco Bay, and anchored by the cities of Oakland, San Francisco, and San Jose. The Association of Bay Area Governments ...
bars visited the King's X for trivia contests.


Rotisserie League Baseball

Modern fantasy baseball was developed and popularized in the 1980s by a group of journalists who created Rotisserie League Baseball in 1980. The league was named after the New York City restaurant La Rotisserie Française, where its founders met for lunch and first played the game. Magazine writer-editor
Daniel Okrent Daniel Okrent (born April 2, 1948) is an American writer and editor. He is best known for having served as the first public editor of ''The New York Times'' newspaper, inventing Rotisserie League Baseball, and for writing several books (such as ...
is credited with introducing the rotisserie league concept to the group and inventing the scoring system. Players in the Rotisserie League drafted teams of active MLB players and tracked their statistics during the season to compile their scores. Like the Baseball Seminar league, rather than using statistics for seasons whose outcomes were already known to simulate in-game outcomes, team owners would have to make predictions about the statistics that MLB players would accumulate during the upcoming season. Rotisserie baseball, nicknamed ''roto'', proved to be popular despite the difficulties of compiling statistics by hand, which was an early drawback to participation. Okrent credits the idea's rapid spread to the fact that the initial league was created by sports journalists, telling '' Vanity Fair'' in 2008 that "most of us in the league were in the media, and we got a lot of press coverage that first season. The second season, there were rotisserie leagues in every Major League
press box The press box is a special section of a sports stadium or arena that is set up for the media to report about a given event. It is typically located in the section of the stadium holding the luxury box and can be either enclosed or open to the ...
." According to Okrent, rotisserie baseball afforded sportswriters the opportunity to write about baseball-related material during the
1981 Major League Baseball strike The 1981 Major League Baseball strike was the first work stoppage in Major League Baseball since the 1972 Major League Baseball strike that resulted in regular season games being cancelled. Overall, it was the fourth work stoppage since 1972, bu ...
, saying "the writers who were covering baseball had nothing to write about, so they began writing about the teams they had assembled in their own leagues. And that was what popularized it and spread it around very, very widely."


Growth and early participants

Before the advent of the
Internet The Internet (or internet) is the Global network, global system of interconnected computer networks that uses the Internet protocol suite (TCP/IP) to communicate between networks and devices. It is a internetworking, network of networks ...
, fantasy sports grew through print publications, such as magazines and newspapers. In 1987, ''Fantasy Football Index'', the first national magazine dedicated to fantasy football, was launched by Ian Allan and Bruce Taylor. In 1990, a pair of nationwide fantasy games, Dugout Derby and Pigskin Playoff, were launched in a variety of newspapers across the United States, including the ''
Arizona Republic ''The Arizona Republic'' is an American daily newspaper published in Phoenix. Circulated throughout Arizona, it is the state's largest newspaper. Since 2000, it has been owned by the Gannett newspaper chain. History Early years The newspap ...
'', the ''
Hartford Courant The ''Hartford Courant'' is the largest daily newspaper in the U.S. state of Connecticut, and is advertised as the oldest continuously published newspaper in the United States. A morning newspaper serving most of the state north of New Haven and ...
'', the ''
Los Angeles Times The ''Los Angeles Times'' is an American Newspaper#Daily, daily newspaper that began publishing in Los Angeles, California, in 1881. Based in the Greater Los Angeles city of El Segundo, California, El Segundo since 2018, it is the List of new ...
'', and the ''
Miami Herald The ''Miami Herald'' is an American daily newspaper owned by McClatchy, The McClatchy Company and headquartered in Miami-Dade County, Florida. Founded in 1903, it is the fifth-largest newspaper in Florida, serving Miami-Dade, Broward County, Fl ...
''. Players chose their teams by calling a toll-free phone number and entering four-digit codes for each of their player selections. The games served as an early version of today's daily fantasy sports by rewarding each week's highest-scoring participants with prizes. In 1993, the magazine ''Fantasy Football Weekly'' was launched. Also that year, ''
USA Today ''USA Today'' (often stylized in all caps) is an American daily middle-market newspaper and news broadcasting company. Founded by Al Neuharth in 1980 and launched on September 14, 1982, the newspaper operates from Gannett's corporate headq ...
'' added a weekly fantasy baseball columnist, John Hunt. Hunt started a league among sports personalities called the League of Alternate Baseball Reality, which first included
Peter Gammons Peter Gammons (born April 9, 1945) is an American media personality and recipient of the J. G. Taylor Spink Award for outstanding baseball writing, given by the Baseball Writers' Association of America. Early life and education Gammons was bo ...
,
Keith Olbermann Keith Theodore Olbermann (born January 27, 1959) is an American sports and political commentator and writer. Olbermann spent the first 20 years of his career in sports journalism. He was a sports correspondent for CNN and for local TV and ra ...
and
Bill James George William James (born October 5, 1949) is an American baseball writer, historian, and statistician whose work has been widely influential. Since 1977, James has written more than two dozen books about baseball history and statistics. His a ...
, among others.


Internet expansion

The growth of the Internet during the 1990s brought a "broad demographic shift in fantasy sports participation" because it enabled fantasy sports participants to instantaneously download tabulated statistics, rather than having to search for
box score A box score is a structured summary of the results from a sport competition. The box score lists the game score as well as individual and team achievements in the game. Among the sports in which box scores are common are baseball, basketball, A ...
s of individual games in newspapers and keep track of cumulative statistics on paper. In 1995,
ESPN ESPN (an initialism of their original name, which was the Entertainment and Sports Programming Network) is an American international basic cable sports channel owned by the Walt Disney Company (80% and operational control) and Hearst Commu ...
launched its first entirely Internet-based fantasy baseball game, with other major sports and entertainment companies following suit in the ensuing years. In October of that year, a fantasy hockey website was released by Molson Breweries as part of the company's "I am Online" marketing strategy centered around its I am Canadian advertising campaign. The site focused on music, entertainment and hockey in general in addition to fantasy competitions. It allowed users to register accounts and participate in fantasy leagues of nine teams. The site included updates of National Hockey League (NHL) statistics and provided content from the
Hockey Hall of Fame The Hockey Hall of Fame () is a museum and hall of fame located in Toronto, Ontario, Canada. Dedicated to the history of ice hockey, it holds exhibits about players, teams, National Hockey League (NHL) records, memorabilia and National Hockey Le ...
.
CBS Sports CBS Sports is the American sports programming division of Paramount Global that is responsible for sports broadcasts carried by its broadcast network CBS and streaming service Paramount+, as well as the operator of its cable channel CBS Sports N ...
began offering fantasy football leagues in 1997, the same year that the fantasy news website now known as RotoWire was launched. In July 1999,
Yahoo Yahoo (, styled yahoo''!'' in its logo) is an American web portal that provides the search engine Yahoo Search and related services including My Yahoo, Yahoo Mail, Yahoo News, Yahoo Finance, Yahoo Sports, y!entertainment, yahoo!life, an ...
began offering its fantasy football product for free, a decision that gave the site an advantage over its competitors. The creators of ''Fantasy Football Weekly'' launched Fanball.com later that year. While some sites abandoned a paid model in the wake of Yahoo's decision, some smaller sites, such as RotoWire, began offering paid products as they started losing business to larger competitors. CBS, which had transitioned to a free model for its league commissioner services, switched back to a paid model before the 2002 MLB season. A trade group for the industry, the Fantasy Sports Trade Association, was formed in 1998. Now known as the Fantasy Sports & Gaming Association (FSGA), the organization estimates that in 2003, there were 15.2 million fantasy sports players in the United States and Canada. During the first decade of the 2000s, fantasy sports started to become a mainstream hobby. In 2002, the National Football League (NFL) found that while the average male surveyed on its website spent 6.6 hours a week watching the league on television, fantasy players surveyed said they watched 8.4 hours of NFL football per week. "This is the first time we've been able to demonstrate specifically that fantasy play drives TV viewing," said Chris Russo, the NFL's senior vice president at the time. As a result of the survey's findings, the league made fantasy offerings more prominent on its website and produced television ads for fantasy football featuring active players. Prior to these developments, fantasy sports were largely viewed negatively by major sports leagues, with Russo later recalling that "there were concerns about whether it would be right for the fans or could it be construed as
gambling Gambling (also known as betting or gaming) is the wagering of something of Value (economics), value ("the stakes") on a Event (probability theory), random event with the intent of winning something else of value, where instances of strategy (ga ...
." However, leagues began to embrace fantasy sports as their value towards increasing fans' consumption of sports became more evident.


Daily fantasy sports

Daily fantasy sports Daily fantasy sports (DFS) are a subset of fantasy sport games. As with traditional fantasy sports games, players compete against others by building a team of professional athletes from a particular league or competition while remaining under ...
are accelerated versions of the traditional fantasy format in which contests are conducted over shorter periods than a full season, often lasting one week or even a single day. Daily fantasy games are typically subject to an entry fee, a portion of which funds a prize pool that is distributed among the game's winner or winners. In June 2007, Fantasy Sports Live, one of the first daily fantasy sites, was launched. In November 2008,
NBC The National Broadcasting Company (NBC) is an American commercial broadcast television and radio network serving as the flagship property of the NBC Entertainment division of NBCUniversal, a subsidiary of Comcast. It is one of NBCUniversal's ...
launched a daily fantasy site called SnapDraft, and
FanDuel FanDuel Group is an American gambling company that offers sportsbook, daily fantasy sports, horse racing, and online casino services. The company operates sportsbooks in a number of states including New Jersey, Pennsylvania, Indiana and West Vir ...
was founded in 2009 as a spin-off of a Scottish
prediction market Prediction markets, also known as betting markets, information markets, decision markets, idea futures or event derivatives, are open markets that enable the prediction of specific outcomes using financial incentives. They are exchange-traded mar ...
company A company, abbreviated as co., is a Legal personality, legal entity representing an association of legal people, whether Natural person, natural, Juridical person, juridical or a mixture of both, with a specific objective. Company members ...
. DraftKings was founded in 2012. Following venture capital investments from various firms, including from professional sports leagues such as MLB and the National Basketball Association (NBA), DraftKings and FanDuel launched an aggressive marketing campaign prior to the 2015 NFL season. At its peak, the two companies collectively ran an ad on national television in the United States once every 90 seconds. In addition to receiving direct investments from sports leagues, the two companies have reached sponsorship deals with several leagues and teams. In November 2014, DraftKings entered into a multi-year sponsorship deal with the NHL. In April 2015, after the NFL began to allow daily fantasy providers to sign multi-year team sponsorship deals, FanDuel reached deals with sixteen teams for placements on team-oriented digital properties, radio broadcasts, and within their stadiums. DraftKings has also received investments from
Jerry Jones Jerral Wayne Jones Sr. (born October 13, 1942) is an American billionaire businessman who is the owner, president, and General manager (American football), general manager of the Dallas Cowboys of the National Football League (NFL). He bought t ...
and
Robert Kraft Robert Kenneth Kraft (born June 5, 1941) is an American billionaire businessman. He is the chairman and chief executive officer (CEO) of the Kraft Group, a diversified holding company with assets in paper and packaging, sports and entertainmen ...
, who own the
Dallas Cowboys The Dallas Cowboys are a professional American football team based in the Dallas–Fort Worth metroplex. The Cowboys compete in the National Football League (NFL) as a member of the National Football Conference (NFC) NFC East, East division. T ...
and
New England Patriots The New England Patriots are a professional American football team based in the Greater Boston area. The Patriots compete in the National Football League (NFL) as a member of the American Football Conference (AFC) AFC East, East division. The Pa ...
, respectively. The legality of daily fantasy sports has been questioned, with critics arguing that they more closely resemble
proposition A proposition is a statement that can be either true or false. It is a central concept in the philosophy of language, semantics, logic, and related fields. Propositions are the object s denoted by declarative sentences; for example, "The sky ...
wagering Gambling (also known as betting or gaming) is the wagering of something of value ("the stakes") on a random event with the intent of winning something else of value, where instances of strategy are discounted. Gambling thus requires three ele ...
on athlete performance than a traditional fantasy sports game. However, following the 2018
United States Supreme Court The Supreme Court of the United States (SCOTUS) is the highest court in the federal judiciary of the United States. It has ultimate appellate jurisdiction over all U.S. federal court cases, and over state court cases that turn on question ...
decision in '' Murphy v. National Collegiate Athletic Association'', which allowed states to legalize sports betting, questions surrounding the legality of daily fantasy sports, as well as fantasy sports in general, within the United States have largely been settled. As of May 2023, while 33 US states have operational legalized sports betting, 45 states have legalized daily fantasy sports. As of May 2023, DraftKings and FanDuel operate daily fantasy contests in 44 states each. Only one state,
Montana Montana ( ) is a landlocked U.S. state, state in the Mountain states, Mountain West subregion of the Western United States. It is bordered by Idaho to the west, North Dakota to the east, South Dakota to the southeast, Wyoming to the south, an ...
, has officially banned online fantasy sports.


Industry overview


Size of the industry

In May 2015, Australian
market research Market research is an organized effort to gather information about target markets and customers. It involves understanding who they are and what they need. It is an important component of business strategy and a major factor in maintaining com ...
firm IBISWorld reported that fantasy sports comprised a $2 billion industry in the United States, experiencing 10.7% annual growth and employing 4,386 people in 292 businesses. According to the Fantasy Sports Trade Association, in 2017, the size of the fantasy sports industry reached $7.22 billion, per research by
Ipsos Ipsos Group S.A. (; derived from the Latin expression, ) is a multinational market research and consulting firm with headquarters in Paris, France. The company was founded in 1975 by Didier Truchot, Chairman of the company, and has been publ ...
. The study estimated that there were 59.3 million fantasy sports players in the United States and Canada as of that year.


Industry growth

The Fantasy Sports & Gaming Association estimates that the number of fantasy sports players in the US and Canada grew from 500,000 in 1988 to 15.2 million in 2003, declining slightly over the next few years before growing to 29.9 million in 2008 and 62.5 million in 2022. In 2015, ''
Forbes ''Forbes'' () is an American business magazine founded by B. C. Forbes in 1917. It has been owned by the Hong Kong–based investment group Integrated Whale Media Investments since 2014. Its chairman and editor-in-chief is Steve Forbes. The co ...
'' estimated that the number of yearly non-betting fantasy sports users had grown 25% since 2011. This growth encouraged hundreds of millions of dollars in investments into emerging daily fantasy sports leagues, such as
FanDuel FanDuel Group is an American gambling company that offers sportsbook, daily fantasy sports, horse racing, and online casino services. The company operates sportsbooks in a number of states including New Jersey, Pennsylvania, Indiana and West Vir ...
and DraftKings. Outside of North America, the fantasy industry has also experienced a recent period of growth. The development of daily fantasy sports has encouraged growth in European markets. ESPN Super Selector launched in 2001 for fantasy cricket and had 500,000 users during the
2003 Cricket World Cup The 2003 ICC Cricket World Cup was the eighth Cricket World Cup, organised by the International Cricket Council (ICC). It was co-hosted by South Africa, Zimbabwe and Kenya from 9 February to 23 March 2003. This edition of the World Cup was the ...
. By 2017, there were 40 million fantasy sports players in India. In 2019, the number had grown to 90 million, and in 2020, an estimated 100 million Indians participated in fantasy sports. The market leader in fantasy sports in India, Dream11, signed a four-year sponsorship deal for the IPL in 2019.


Trade associations

The Fantasy Sports Trade Association was formed in 1998 to represent the growing industry in the United States and Canada. Now known as the Fantasy Sports & Gaming Association, the organization aims to support fantasy sports, sports gambling in general, and its associated businesses and participants. The Fantasy Sports Writers Association was formed in 2004 to represent the growing numbers of journalists covering fantasy sports exclusively. The Fantasy Sports Association was formed in 2006 as a rival trade group. However, the organization folded in 2010.


Demographics

According to the Fantasy Sports & Gaming Association (FSGA), an estimated 62.5 million people played fantasy sports in the US and Canada in 2022. The FSGA estimated that 19% of American adults played fantasy sports in 2023, compared to 13% in 2014. A 2023 FSGA survey found that 64% of fantasy sports players were male, 48% were between the ages of 18 and 34, and 84% had a college degree or higher. A 2015 analysis found that 89.8% were white and 51.5% were unmarried. According to the FSGA, the most popular fantasy sport in the US and Canada is
gridiron football Gridiron football ( ),"Gridiron football"
''Encyclopædia Britannica'' ...
, which is played by approximately 79% of fantasy participants. The next most popular sports are
basketball Basketball is a team sport in which two teams, most commonly of five players each, opposing one another on a rectangular Basketball court, court, compete with the primary objective of #Shooting, shooting a basketball (ball), basketball (appro ...
(32%),
baseball Baseball is a bat-and-ball games, bat-and-ball sport played between two team sport, teams of nine players each, taking turns batting (baseball), batting and Fielding (baseball), fielding. The game occurs over the course of several Pitch ...
(22%),
ice hockey Ice hockey (or simply hockey in North America) is a team sport played on ice skates, usually on an Ice rink, ice skating rink with Ice hockey rink, lines and markings specific to the sport. It belongs to a family of sports called hockey. Tw ...
(12%),
association football Association football, more commonly known as football or soccer, is a team sport played between two teams of 11 Football player, players who almost exclusively use their feet to propel a Ball (association football), ball around a rectangular f ...
(11%), and
college football College football is gridiron football that is played by teams of amateur Student athlete, student-athletes at universities and colleges. It was through collegiate competition that gridiron football American football in the United States, firs ...
(11%). Research has shown that fantasy players are also generally stronger consumers of alcoholic beverages, fast food, airline travel, video games, sports periodicals, athletic shoes, and cell phones relative to the general population. The FSGA reported in 2019 that fantasy players were also far more likely to use
Instagram Instagram is an American photo sharing, photo and Short-form content, short-form video sharing social networking service owned by Meta Platforms. It allows users to upload media that can be edited with Social media camera filter, filters, be ...
or
Snapchat Snapchat is an American multimedia social media and instant messaging app and service developed by Snap Inc., originally Snapchat Inc. One of the principal features of the app are that pictures and messages, known as "snaps", are usually availa ...
, visit a sports bar, and get food delivered than the general population.


Fantasy sports television programming

Due to the popularity of fantasy sports, major sports networks such as
ESPN ESPN (an initialism of their original name, which was the Entertainment and Sports Programming Network) is an American international basic cable sports channel owned by the Walt Disney Company (80% and operational control) and Hearst Commu ...
,
NFL Network NFL Network (occasionally abbreviated on-air as NFLN) is an American sports-oriented pay television network owned by the National Football League NTP and is part of NFL Media, which also includes NFL.com, NFL Films, NFL Mobile, NFL Now and N ...
, and
Fox Sports Fox Sports is the brand name for a number of sports channels, broadcast divisions, programming, and other media around the world. The name originates from Fox Broadcasting Company in the United States, which in turn derives its name from Fox Fi ...
have created dedicated weekly fantasy programming to analyze player performance and predict outcomes in relation to particular scoring systems. ESPN's on-demand streaming platform
ESPN+ ESPN+ is an American over-the-top subscription video streaming service available in the United States, owned by ESPN Inc., which is a joint venture between the Walt Disney Company (which owns a controlling 80% stake) and Hearst Communicati ...
offers a fantasy program called ''
The Fantasy Show ''The Fantasy Show'' is a fantasy football talk and debate show on ESPN2. The show was supposed to air for 18 weeks a year during the National Football League season every Thursday at 6:30pm ET on ESPN2. However, the debut season of the show on ...
'' hosted by long time staff writer
Matthew Berry Matthew J. Berry (born December 29, 1969) is an American writer, columnist, fantasy sports analyst, and television personality. Berry started his career by writing for television and film and creating a few pilots and film scripts with his writin ...
. ''The Fantasy Show'' utilizes puppets and comedy to present statistical information about
NFL The National Football League (NFL) is a professional American football league in the United States. Composed of 32 teams, it is divided equally between the American Football Conference (AFC) and the National Football Conference (NFC). The N ...
players.
ESPN ESPN (an initialism of their original name, which was the Entertainment and Sports Programming Network) is an American international basic cable sports channel owned by the Walt Disney Company (80% and operational control) and Hearst Commu ...
also aires a show on Sunday mornings during the NFL season called Fantasy Football Now. "Fantasy Football Now" airs live on Sunday mornings during the
NFL The National Football League (NFL) is a professional American football league in the United States. Composed of 32 teams, it is divided equally between the American Football Conference (AFC) and the National Football Conference (NFC). The N ...
season, a time when fans are making last-minute roster moves and need the latest news from around the league. Providing the latest info are analysts
Matthew Berry Matthew J. Berry (born December 29, 1969) is an American writer, columnist, fantasy sports analyst, and television personality. Berry started his career by writing for television and film and creating a few pilots and film scripts with his writin ...
, Field Yates and licensed physical therapist Stephania Bell, who gives injury updates. NFL Network aires ''NFL Fantasy Live'' as an hour long program containing a consistent weekly segment list that viewers can count on to help them manage their team. ''NFL Fantasy Live'' is hosted by Cole Wright and features Michael Fabiano, Adam Rank, Marcas Grant,
Akbar Gbaja-Biamila Akbar Oluwakemi-Idowu Gbajabiamila (born May 6, 1979) is an American former professional football player in the National Football League (NFL) who is a commentator and co-host of ''American Ninja Warrior'' and its spinoff '' American Ninja War ...
, Graham Barfield and statistics analytics expert Cynthia Frelund.
Fox Sports Net Fox Sports Networks (FSN), formerly known as Fox Sports Net, was the collective name for a group of regional sports channels in the United States. Formed in 1996 by News Corporation, the networks were acquired by the Walt Disney Company on Mar ...
aires Fantasy Football Hour on a weekly basis during the NFL season hosted by Katy Winge and features industry experts Brad Evans and Nate Lundy.


Legal issues in the United States

Fantasy sports are generally considered to be a form of
gambling Gambling (also known as betting or gaming) is the wagering of something of Value (economics), value ("the stakes") on a Event (probability theory), random event with the intent of winning something else of value, where instances of strategy (ga ...
, though they are far less strictly regulated than other forms of
sports betting Sports betting is the activity of predicting sports results and placing a wager on the outcome. Sports bettors place their wagers either legally, through a sportsbook or bookmaker (colloquially known as "bookies"), or illegally through priva ...
. Unlike traditional sports betting, fantasy sports are generally viewed as "games of skill," rather than "games of chance," thus exempting them from gambling bans and regulations in many jurisdictions.


Federal law related to fantasy gaming

The
Unlawful Internet Gambling Enforcement Act of 2006 The Unlawful Internet Gambling Enforcement Act of 2006 (UIGEA) is United States legislation regulating online gambling. It was added as Title VIII to the SAFE Port Act (found at ) which otherwise regulated port security. The UIGEA prohibits g ...
(UIGEA), was enacted as part of the "American Values Agenda" of 2006 and was added as an amendment to the unrelated
SAFE Port Act The Security and Accountability For Every Port Act of 2006 (or SAFE Port Act, ) was an Act of Congress in the United States covering port security and to which an online gambling measure was added at the last moment. The House and Senate passed ...
. The UIGEA generally prohibits funds transfers to businesses engaged in unlawful internet wagering. However the UIGEA does not itself define unlawful internet wagering, and expressly refrains from altering the legality of any underlying conduct other than funds transfers. While the act does not alter the legality of any particular activity permitted or prohibited under other laws, it does contain some express exemptions to its funds transfer prohibitions. One of these exemptions from the UIGEA prohibitions is for fantasy sports that meet certain criteria. Specifically, fantasy sports that are based on teams of real multiple athletes from multiple real world teams, that have prizes established before the event starts, that use the skill of participants to determine the outcome, are exempted from the definition of a bet or wager that is the basis for requiring banks to identify and block funds transfers. According to Congressman
Jim Leach James Albert Smith Leach (October 15, 1942 – December 11, 2024) was an American academic and politician. He served as ninth Chair of the National Endowment for the Humanities from 2009 to 2013 and was a member of the U.S. House of Representat ...
, an author of the UIGEA, exemptions, particularly one for fantasy sports, were included to relieve the burden of enforcement on banks and the UIGEA does not make fantasy sports legal. Because the UIGEA exempted fantasy sports from its definition of a bet or wager, there is a misconception that fantasy sports were made legal by the UIGEA. However the UIGEA is not a criminal gambling statute, and it specifically does not alter any criminal gambling laws and thus does not make fantasy sports legal. Federal criminal gambling statutes are found in Title 18 of U.S. Code, such as the Federal Wire Act 18 U.S. Code § 1084 (which prohibits interstate sports wagering) and the Illegal Gambling Business Act 18 U.S. Code § 1955 (which prohibits the interstate conduct of wagering activity prohibited under state law). By contrast, the UIGEA is found in Title 31 with other anti-money laundering and financial crimes statutes.


State laws related to fantasy gaming

Whether state laws can regulate fantasy sports conducted across state lines depends on whether fantasy sports are a form of sports wagering under federal law. This is because the Federal Wire Act prohibits the conduct of sports wagering in interstate or foreign commerce. With regard to intrastate sports wagering, in 2018 the
United States Supreme Court The Supreme Court of the United States (SCOTUS) is the highest court in the federal judiciary of the United States. It has ultimate appellate jurisdiction over all U.S. federal court cases, and over state court cases that turn on question ...
in '' Murphy v. National Collegiate Athletic Association'' struck down the Professional and Amateur Sports Protection Act, which had prohibited states from authorizing any wagering, lottery, betting, sweepstakes or other wagering scheme that is based directly or indirectly on games in which professional or amateur athletes participate or on the performance of any athletes in such games. Where states have not expressly authorized fantasy sports contests, usually general gambling laws prohibit lotteries or wagering if three elements are present: an entry fee (known as "consideration"), a prize (a "reward," in legal terms) and chance. Whether fantasy sports are legal under these laws hinges on the definition of "chance" that the state applies. For some states, if skill dominates the outcome of the event, then the contest is legal, and passes what is called the "dominant factor test." Other states with a stricter definition of chance, called "any chance test," have made fantasy football illegal. Several states have clarified that paid fantasy sports contests are games of skill and exempt from gambling laws, beginning with Maryland in 2012. One exception is the state of Nevada, which has an exemption in PASPA to allow for sports betting. The Nevada attorney general issued an opinion that found Daily Fantasy Sports to be a form of sports wagering, similar to the current wagering offered by Nevada Sports Books. The opinions states that Daily Fantasy Sports are not illegal in Nevada; however, a sports pool license is required to conduct the activity in Nevada. Several Attorneys General have also issued opinions that Daily Fantasy Sports are a form of sports wagering. A Florida state attorney general's opinion in 1991 called into doubt the legality of fantasy football contests, but companies have operated in the state without any legal action. Since then nine other AGs have issued options, statements or formal opinions that equate DFS with gambling. However, several other Attorneys General have issued opinions that DFS are legal games of skill. In August 2015 in Kansas, due to uncertainty with the state's Racing and Gaming Commission position, the state's attorney general issued an opinion that daily fantasy sports was a skill game and thus permitted under state law. Kansas Gov.
Sam Brownback Samuel Dale Brownback (born September 12, 1956) is an American attorney, politician, and diplomat who served as a United States Senate, United States senator from Kansas from 1996 to 2011 and as the List of governors of Kansas, 46th governor of K ...
signed legislation a month later authorizing fantasy gaming. The Attorneys General of West Virginia and Rhode Island have also issued opinions that clarified the legality of DFS and paid fantasy sports. As of January 2022, online fantasy sports are legal in 49 of the 50
US states In the United States, a state is a constituent political entity, of which there are 50. Bound together in a political union, each state holds governmental jurisdiction over a separate and defined geographic territory where it shares its so ...
. The only state with a ban on online fantasy sports that is codified in statute is
Montana Montana ( ) is a landlocked U.S. state, state in the Mountain states, Mountain West subregion of the Western United States. It is bordered by Idaho to the west, North Dakota to the east, South Dakota to the southeast, Wyoming to the south, an ...
. As of January 2022, daily fantasy sports are legal in 45 US states, with 23 of those states explicitly passing legislation legalizing the practice.


Legal cases related to use of player statistics

There have been other legal cases involving fantasy sports and the use of professional athletes' statistics for purposes of scoring.


STATS, Inc. vs. NBA

In 1996, STATS, Inc., a major statistical provider to fantasy sports companies, won a court case, along with
Motorola Motorola, Inc. () was an American multinational telecommunications company based in Schaumburg, Illinois. It was founded by brothers Paul and Joseph Galvin in 1928 and had been named Motorola since 1947. Many of Motorola's products had been ...
, on appeal against the NBA in which the NBA was trying to stop STATS from distributing in game score information via a special wireless device created by Motorola. The victory played a large part in defending other cases where sports leagues have tried to suppress live in-game information from their events being distributed by other outlets. The victory also accelerated the demand for real-time statistics amid the growth of the fantasy sports industry.


CDM vs. MLBAM

The development of fantasy sports produced tension between fantasy sports companies and professional leagues and players associations over the rights to player profiles and statistics. The players associations of the major sports leagues believed that fantasy games using player names were subject to licensing due to the right of publicity of the players involved. Since the player names were being used as a group, the players had assigned their publicity rights to the players association who then signed licensing deals. During the 1980s and 1990s many companies signed licensing deals with the player associations, but some companies did not. The issue came to a head with the lawsuit of Major League Baseball Advanced Media (MLBAM),
MLB Major League Baseball (MLB) is a professional baseball league composed of 30 teams, divided equally between the National League (baseball), National League (NL) and the American League (AL), with 29 in the United States and 1 in Canada. MLB i ...
's Internet company, vs. St. Louis-based CBC Distribution and Marketing Inc., the parent company of CDM Sports. When CBC was denied a new licensing agreement with MLBAM (they had acquired the rights from the baseball players' association) for its fantasy baseball game, CBC filed suit. CBC argued that intellectual property laws and so-called "right of publicity" laws don't apply to the statistics used in fantasy sports. The FSTA filed an
amicus curiae An amicus curiae (; ) is an individual or organization that is not a Party (law), party to a legal case, but that is permitted to assist a court by offering information, expertise, or insight that has a bearing on the issues in the case. Wheth ...
in support of CBC, also arguing that if MLBAM won the lawsuit it would have a dramatic impact on the industry, which was largely ignored by the major sports leagues for years while a number of smaller entrepreneurs grew it into a multibillion-dollar industry, and a ruling could allow the MLBAM to have a monopoly over the industry. "This will be a defining moment in the fantasy sports industry," said Charlie Wiegert, executive vice president of CBC. "The other leagues are all watching this case. If MLB prevailed, it just would have been a matter of time before they followed up. Their player unions are just waiting for the opportunity." CBC won the lawsuit as US District Court Judge Mary Ann Medler ruled that statistics are part of the public domain and can be used at no cost by fantasy companies. "The names and playing records of major-league baseball players as used in CBC's fantasy games are not copyrightable," Medler wrote. "Therefore, federal copyright law does not pre-empt the players' claimed right of publicity." The 8th Circuit Court of Appeals upheld the decision in October 2007. "It would be strange law that a person would not have a First Amendment right to use information that is available to everyone," a three-judge panel said in its ruling. The Supreme Court upheld the circuit court's decision by declining to hear the case in June 2008. In 2009, CBS Interactive won a lawsuit against the NFL Players’ Association over whether CBS had a First Amendment right to use players’ names and playing records in its fantasy sports offerings without paying licensing fees.


See also

*
Esports Esports (), short for electronic sports, is a form of competition using video games. Esports often takes the form of organized, multiplayer video game competitions, particularly between professional players, played individually or as teams. ...
* Phygital sport


Notes


References


External links


LineStar DFS Fantasy Sports
{{Fantasy sports Sports by type