Background: DAZN is a global sports streaming service that was founded in 2015 with ambitions to become the “Spotify of Sport.”It's owned by Access Industries, the private investment group led by billionaire Len Blavatnik. The platform has made big moves in the sports world, securing broadcast rights to major leagues like the Bundesliga and La Liga, as well as boxing, MMA, and the NFL internationally.

What happened: Recently, DAZN made headlines in Australia after acquiring Foxtel for $2.2 billion USD. But so far, it hasn't improved its financial prospects. DANZ generates $3.2 billion USD in revenue in 2024, but still recorded a $936 million USD loss for the year. That’s actually an improvement from its $1.4 billion USD loss the year before.

What else: To stay afloat, DAZN raised $1 billion from Saudi Arabia’s sovereign wealth fund and another $587 million from Access Industries. Despite its deep losses, the company’s CEO insists that 2026 will be the year DAZN hits profitability.

What's the key learning?

💡The path to profitability is the journey a company takes from operating at a loss to generating consistent net income. For high growth companies, early losses are often part of the plan since it’s the price of building tech, buying rights, and attracting millions of users.

💡But investors need to see a clear roadmap to profitability. Without visible progress toward profitability, they can quickly lose faith and feel like they’re pouring good money after bad.

💡Even giants took their time: Amazon focused on growth for nine years before turning its first profit in 2003, while Uber took 14 years to report its first operating profit. So, if DAZN wants to truly become the “Spotify of Sport,” it needs to prove it can play the long game sustainably.