AI is already making decisions in C-suites across the world. That may now include which players your favourite sports team decides to trade.
Driving the news: The CEO of Maple Leaf Sports and Entertainment (MLSE) — the majority owner of almost every pro sports team in Toronto — reportedly pushed AI-generated trade suggestions and notes to the Maple Leafs front office during the trade deadline this year, per The Athletic.
It’s a virtually unheard-of example of a C-suite exec directly meddling in player decisions, though the MLSE head honcho, Keith Pelley, denied his suggestions came from AI.
The report also details ways in which MLSE execs rapidly cut expenses, including raising prices for players buying tickets for family and friends or eating at the MLSE-owned Real Sports Bar & Grill (pretty crazy they have to pay for these at all).
Why it’s happening: Rogers, which owns 75% of MLSE, is nearing a sports monopoly in Canada’s largest city, and is looking to squeeze as much cash as it can out of that dominant position in the market.
The telco is reportedly eyeing an IPO to spin off its sports assets into a single division, which would create one of the largest sports and entertainment companies in the world.
If they buy the final 25% stake in MLSE this year (which is likely), Rogers would be the sole owner of the Toronto Raptors, Toronto Maple Leafs, Toronto Blue Jays, Toronto FC, Toronto Argonauts, and Sportsnet.
Why it matters: MLSE appears to be running the hedge fund playbook that has started to seep into pro sports: executive-driven, profit-obsessed, and treating players as short-term assets. In this formula, winning often becomes an afterthought to the organization’s bottom line (The Fenway Sports Group, which owns the Boston Red Sox, is a prime example).
Our take: A Rogers IPO could exacerbate this spreadsheet-first approach, as public market investors are going to be more focused on quarterly earnings (aka beer and hot dog sales) than wins and losses, which could mean a reluctance to spend on top talent as long as people keep showing up to games.—LA
