Is gambling the reason we have pro sports?
Episode
9 min
Read time
2 min
Topics
Relationships, Investing, Fundraising & VC
AI-Generated Summary
Key Takeaways
- ✓Origins of fan engagement: Early baseball crowds in Manhattan wagered nickkel-by-pitch bets on individual at-bats — the same mechanic DraftKings now calls "in-game betting." The MLB's official historian identifies gambling as one of three essential ingredients, alongside statistics and publicity, for a sport to scale professionally.
- ✓Gambling drives attendance economics: Bettors historically bought more tickets and stayed at games longer than non-bettors, making them the most valuable early customers. This financial dynamic gave leagues a commercial foundation before broadcast rights or merchandise revenue existed as viable income streams.
- ✓"Integrity" as franchise valuation language: League executives historically opposed gambling not on moral grounds but financial ones — fixed games reduce fan interest, which depresses franchise values. Bicchino reframes "protecting integrity" as protecting asset prices, a distinction useful for evaluating modern league-sportsbook partnership decisions.
- ✓Scale of current market: US sports betting revenue reached $17 billion in 2025, up 23% year-over-year. Roughly 35% of Division I men's basketball players report social media harassment tied to betting outcomes, signaling measurable player welfare costs alongside revenue growth.
What It Covers
Sport management professor David Bicchino, author of *Over Under*, argues that gambling didn't grow from American sports — professional baseball, football, and basketball emerged specifically because spectators placed bets, creating financial incentive to attend games.
Key Questions Answered
- •Origins of fan engagement: Early baseball crowds in Manhattan wagered nickkel-by-pitch bets on individual at-bats — the same mechanic DraftKings now calls "in-game betting." The MLB's official historian identifies gambling as one of three essential ingredients, alongside statistics and publicity, for a sport to scale professionally.
- •Gambling drives attendance economics: Bettors historically bought more tickets and stayed at games longer than non-bettors, making them the most valuable early customers. This financial dynamic gave leagues a commercial foundation before broadcast rights or merchandise revenue existed as viable income streams.
- •"Integrity" as franchise valuation language: League executives historically opposed gambling not on moral grounds but financial ones — fixed games reduce fan interest, which depresses franchise values. Bicchino reframes "protecting integrity" as protecting asset prices, a distinction useful for evaluating modern league-sportsbook partnership decisions.
- •Scale of current market: US sports betting revenue reached $17 billion in 2025, up 23% year-over-year. Roughly 35% of Division I men's basketball players report social media harassment tied to betting outcomes, signaling measurable player welfare costs alongside revenue growth.
Notable Moment
Bicchino contends that multiple game-fixing scandals since 2018 have produced zero measurable decline in sports popularity, suggesting the long-feared link between corruption and fan abandonment may no longer hold in the current media environment.
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Books, tools, and gear mentioned in this episode
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Books
- Over UnderBy guest
by David Bicchino
“Sport management professor David Bicchino, author of *Over Under*, argues that gambling didn't grow from American sports — professional baseball, football, and basketball emerged specifically because spectators placed bets.”
Tools
by DraftKings
“Early baseball crowds in Manhattan wagered nickkel-by-pitch bets on individual at-bats — the same mechanic DraftKings now calls "in-game betting."”
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