France's election shock, first-ever lottery licence in the UAE and investments in women's sports
July 2024
Hello and welcome!👋
So much for the summer lull! It felt like a year’s worth of news and global developments were crammed into the last four weeks.
The July edition of Deep Dive covers France’s electoral mess, the UAE’s embrace of gambling and high-profile dealmaking in women’s professional sports.
QUEL DÉSORDRE!
France is stuck in a political deadlock after two rounds of legislative elections yielded a mixed bag of results. To summarise: none of the key blocs (left, centre or right) won enough seats to claim a majority.
President Emmanuel Macron’s decision to send the country to the ballot box has triggered an identity crisis of sorts. There will be plenty of bargaining to find a suitable prime minister and form a coalition government. It’s a situation the modern French republic is not familiar with, and Macron is also grappling with the prospect of being a lame duck statesman.
This mini-documentary by Bloomberg explains the economic ramifications.
HITTING THE JACKPOT?
Not content with grand skyscrapers, palm-shaped islands and opulent hotels, the UAE now wants to establish itself as a PG-13 Las Vegas.
On 28 July, the Middle Eastern country awarded an official lottery licence to an Abu Dhabi-based operator. It will run the UAE Lottery, selling a range of games “designed to cater to players’ variety of interests and financial preferences”. The launch date and other details are pending.
Analysts say this licence is a step towards legalised gambling in the UAE, however, the authorities prefer to call it commercial gaming.
Gambling remains illegal across the Gulf Arab region and very few Muslim-majority states permit casinos. But the Emirates are testing the waters by creating a specialist regulator that will fix rules on everything from sports betting to slot machines.
At the moment, no property has been publicly granted a gaming licence. The expectation is that the Wynn Marjan Island - slated to open in 2027 - will be the premier casino resort.
AN EXPANDING FANBASE
The 2024 Summer Olympics is celebrating an important milestone: gender parity. For the first time in the tournament’s history, there is equal representation of male and female athletes.
While much more work needs to be done to improve gender equity, momentum is building behind professional women’s sports leagues. Consider the ‘Caitlin Clark effect’. The basketball phenomenon helped her college, the University of Iowa, achieve record-breaking ticket sales and viewership for her games. In April, Clark signed with the Indiana Fever, bringing greater attention to the WBNA.
Unsurprisingly, a vast financial gap exists between the NBA and WBNA. Despite being the top draft pick, Clark’s base salary is just US$76,535 whereas a male rookie player can make millions. Instead, the bulk of Clark’s income will come from endorsement deals.
However, a landmark agreement on broadcasting rights could drastically increase the WBNA’s TV revenues, which would allow the association to write bigger cheques for its players in the future.
Over in Los Angeles, Angel City FC is on track to earn the title of world’s most valuable women’s sports team at US$250 million. The football club already had starry credentials thanks to its ownership group (Oscar-winner Natalie Portman, pop star Becky G and Reddit founder Alexis Ohanian are among the famous names). That Hollywood power is going to get ramped up if an offer from Bob Iger and Willow Bay is approved. The Disney CEO and his wife have put in a bid to acquire the controlling stake of the NSWL side.
Thanks for reading! Take care and stay curious, Sara x