The Dodgers Want to Help You Grow Your Sports-Tech Business

The Dodgers have been on the forefront of a few of the biggest changes in baseball, namely the great western migration of baseball and the integration of the league. More recently, the new(ish) ownership of the club has combined their garish amounts of money with a push toward analytics and put together a team that many expect to compete for the NL pennant in 2015. But their emphasis on innovation does not stop on the diamond, as the Dodgers have announced a partnership with advertising firm R/GA to start a startup accelerator for sports-minded technology and media companies.

The idea is fairly straight forward as far as accelerators go. Various companies in various stages of development apply to be part of the program. If accepted, these companies get a little capital ($120,000 each) as well as access to numerous mentors and strategic partners — including R/GA, of course — to help grow their visions and get their products to market.

What the Dodgers’ interest is in starting such a project remains to be seen. It could be merely for some good PR. They could be interested in buying up any of the companies that impress during the accelerator. Or they could be interested in investing in particularly interesting ideas. The ownership group of the Dodgers are mainly investors, after all.

Say a company in the accelerator puts together a great piece of technology that lets fans check their phones to see how long the bathroom lines are (weird example, I know. This is why I’m not applying). The Dodgers love the idea and have the means and wherewithal to snatch up that company and test their product in Dodger Stadium. It’s a massive hit, and fans of all the other teams are demanding the technology in their favorite ballparks. Bing, bang, boom — the Giants (and every other team) have to pay the Dodgers a handsome licensing fee. The Dodgers make even more money, and parlay that into 18 straight World Series championships.

I got a little carried away there, but you see the point. The Dodgers are a baseball team, yes, but they are also an entertainment company. They operate in a market that is pulling consumers in a thousand different directions. They compete with other high-profile and very wealthy sports teams in their market and a World Series winner not far up the road. It seems silly to think that such a rich baseball team might need a competitive edge, but it’s not. This accelerator proves that the Dodgers are still working to make a competitive team and a competitive business.

The deadline to apply for the program is June 29th. Application instructions and all necessary info can be found on the Dodgers Accelerator web site.

(image via woolenium)

 





David G. Temple is the Managing Editor of TechGraphs and a contributor to FanGraphs, NotGraphs and The Hardball Times. He hosts the award-eligible podcast Stealing Home. Dayn Perry once called him a "Bible Made of Lasers." Follow him on Twitter @davidgtemple.

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Joe
9 years ago

You’d think sports teams in general would have a better idea what the going rate is for tech right now. You want to own my idea for $120,000? The entire idea? Full stop? 100% equity? That’s half an expected annual salary at Google, and none of the cash you’d get from them (or more likely SAP or IBM) buying your idea. Given that the going rate for “directors of analytics” seems to be 80k-100k a year (and sports teams can’t exactly offer you equity on top of cash), there’s just no premium there.

$120,000 is a very small amount of money all things considered (my first exit was 13 Million and we split it between 50 people- medium sized, mezzanine exit, and that’s not particularly big). It’s a decent very very very early angel amount, but nothing for anyone who has people on salary or contract. Sports teams need to get with the bloody program here.

Maggie
9 years ago
Reply to  Joe

The language regarding investment terms is a little unclear in this article.

The Dodgers and R/GA will initially invest $20k in each of the ten startups in exchange for 6% equity. During the program, an additional convertible note of $100k will be offered to each of the ten startups on a case-by-case basis.

All potential subsequent deals with the Dodgers, R/GA or any associated parties would come with a completely separate set of terms.