Preliminary inquiry opens with a call for public input as UK regulators assess market implications
The UK’s Competition and Markets Authority (CMA) has initiated a preliminary inquiry into Sportradar Group AG’s proposed acquisition of IMG Arena US Parent, LLC, raising potential concerns over the deal’s impact on competition within the UK’s sports data and betting markets.
While no formal Phase 1 investigation has been launched, the CMA’s invitation to comment marks the first official step in gathering evidence and viewpoints from industry stakeholders, competitors, and consumers.
Market Consolidation Under the Microscope
Sportradar, a global sports technology and data firm, recently revealed its acquisition plans for IMG Arena’s extensive sports rights portfolio alongside its FY24 results. The deal would significantly enhance Sportradar’s influence over live data distribution, integrity services, and betting streaming solutions—a sector where both firms are major players.
The CMA is assessing whether the transaction could lead to a “relevant merger situation” under the Enterprise Act 2002, which defines scenarios where mergers may significantly reduce competition in UK markets. In particular, concerns may arise around market dominance, service innovation, and pricing control in sports betting, broadcasting, and media rights.
Public Input Now Open
The CMA is inviting written submissions from interested parties—such as competitors, industry analysts, regulators, and rights holders—before it considers launching a full Phase 1 inquiry. These submissions may touch on several areas, including:
Whether the acquisition limits choice or quality for UK sports betting operators
Potential effects on sports content licensing costs
Whether smaller firms could be unfairly excluded from market participation
The risk of increased vertical integration reducing neutrality in sports data supply
Sportradar’s Strategic Moves
The acquisition fits within Sportradar’s recent push to broaden its reach. The company has:
Partnered with DAZN for FIFA Club World Cup coverage
Signed an integrity agreement with Brazil’s Ministry of Sports
Expanded operations across North America and Europe
Adding IMG Arena’s assets would strengthen Sportradar’s global grip on sports content and data monetization.
What Comes Next?
There is no set deadline for a decision at this stage. If sufficient concerns are raised, the CMA may launch a formal Phase 1 investigation, which could lead to the deal being:
Cleared,
Conditionally approved with modifications, or
Referred to Phase 2, a deeper competitive analysis phase.
In recent years, the CMA has shown a willingness to scrutinize mergers in digital and tech sectors more aggressively, particularly those involving major players with cross-border operations.
Conclusion
The CMA’s early examination of Sportradar’s acquisition of IMG Arena highlights the growing regulatory pressure on sports data and technology mergers. As the UK’s sports betting and broadcasting industries become increasingly data-driven and consolidated, regulators are signaling that competition safeguards will remain a top priority. Whether this deal moves forward may hinge on how compelling the public and industry responses prove to be.
