Sportradar has officially revealed the major partnership it hinted at during its first quarter earnings call, announcing a new global agreement with prediction market operator Kalshi.
While many of the financial details were left undisclosed, the deal marks a potentially important step in the growing convergence between sports data, prediction markets, and sports wagering.
Non-Exclusive, Multi-Year Deal
Under the agreement, Kalshi will gain access to Sportradar‘s official data feeds covering Major League Baseball, the National Hockey League, Major League Soccer, and the Ultimate Fighting Championship.
The arrangement is non-exclusive and will run for multiple years, although neither company has revealed its exact duration.
One of the most notable elements of the partnership is Sportradar’s ability to sublicense its data directly to Kalshi’s clients, including bookmakers and market makers.
Industry analysts view this provision as a potentially transformative development that could help establish a broader ecosystem around sports-related prediction markets.
“We look forward to working with key prediction market participants as the landscape matures, establishing the trusted, compliant framework for sports innovation just as we have successfully delivered in online sports betting,” said Sportradar chief executive officer Carsten Koerl.
Up to $100 Million in the Books
Analysts moved on to assess the potential financial impact, with J.P. Morgan’s Samuel Nielsen describing the sublicensing component as a crucial element that could bring along more complex agreements in the prediction market.
He noted that if Sportradar were to receive a small percentage of Kalshi’s trading volume, the company could generate tens of millions of dollars in annual revenue. Nielsen estimated that the long-term opportunity could be worth as much as $100 million in revenue and $30 million in cash flow.
The agreement currently does not include NBA data, although Nielsen suggested that could change if the league approves such an expansion in the future.
Jefferies analyst David Katz expects the immediate financial contribution to be a modest one, projecting more significant benefits for 2027 and beyond.
Nonetheless, Katz thinks that the partnership will trigger extra opportunities for Sportradar to offer services to market makers, a segment he considers potentially larger than the exchange business itself.
The analyst also emphasized the change that broader data access could eventually support micro-betting-style products within prediction markets, although this could also intensify debates over where prediction markets end and traditional gambling begins.