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The rise of artificial intelligence is likely to boost the valuations of sports teams and media rights, making sports an even more attractive asset class for investors, according to Ian Charles, managing partner of Arctos Partners.
With AI-generated video and online content becoming more ubiquitous, live sports will become even more important in the battle for attention, Charles told Inside Alts. Since fans will pay more for live experiences and in-person games, team values will continue to climb and generate strong returns, he said.
“Sport is the only must-see, appointment-viewing content,” Charles said. “In a world where people are increasingly lonely and looking for a connection — for the communal, tribal connection you get from watching a sporting event with your friends, being part of your community, crying and screaming and cheering — the value of that to the media landscape and ecosystem is just becoming exponential.”
