003. Startups Drive Growth

Written By Nathaniel Thompson Jr.

Economic Growth, Talent Development, and Community Transformation

Startups in the sports ecosystem do far more than develop new technologies, they're powerful drivers of economic growth, creators of quality jobs, and catalysts for lasting community transformation. Professional sports organizations and universities that actively engage and support these startups accelerate regional economies, expand workforce pipelines, and unlock social value that fuels the future of the sports industry.

Through my work advising and mentoring sports tech startups in accelerators like Stadia Ventures, DivInc, Minnesota Twins Techstars, Plug and Play Tech Center, and MassChallenge, I’ve played a part on the ground floor next to founders building companies that create diverse local jobs, embed themselves in communities, and deliver measurable value to teams, universities, and innovation hubs worldwide.

Quick Context

  • Economic Development: Sports startups generate 25–35% more local jobs than comparable sectors, attracting millions in investment and diversifying regional economies.

  • Workforce Development: Startups serve as immersive training grounds, creating clear career pathways and reducing local talent attrition.

  • Community Transformation: By improving access, wellness, and inclusion, startups increase participation and deepen fan and community loyalty.

The Shift

The sports tech ecosystem is evolving toward a connected, collaborative ecosystem that centers startups as essential growth agents. Startups now anchor networks linking academia, professional leagues, teams, government, and investors that co-create tech, business models, and community programs that deliver regional impact.

  • Genius Sports, who employs over 1,800 people worldwide and drives growth through data and tech services powering leagues and betting markets.

  • WHOOP, a leading wearable startup, has grown its workforce to over 1,000 across engineering, data analytics, and customer experience to support elite athlete performance.

  • Emerging companies like Jump, focused on ticketing and fan engagement, recently announced a $23M fundraise fueling platform development and subsequent hiring.

Sports leagues also cultivate this ecosystem, accelerating growth through initiatives like:

These multi-dimensional engagements integrate startups deeply into the sports industry, creating scalable impact on jobs, technology, and community.

The Gap

Despite significant progress across these team, league, and innovation ecosystem initiatives, there are still several foundational challenges that limit the full growth potential of sports startups:

  • Not Fully Embedded: Too many startups sit on the sidelines instead of being implemented into the daily operations and big decisions of teams and universities which limits their long-term impact.

  • Scaling Stalls: Even strong ideas struggle to move past pilots without clear paths to commercialization, market access, and business development.

  • Impact Without Proof: Ecosystems lack consistent, transparent data to show the true economic, workforce, and community value startups create and making it harder to attract capital or influence policy.

  • Talent Left Untapped: Workforce programs exist, but the bridge between emerging talent, startups, and professional sports careers is still fragmented.

  • Slow to Adapt: Technology moves fast, fans move faster while sports ecosystems remain slow to integrate startup innovation at scale.

Addressing these deeper structural and strategic gaps is pivotal to unlock growth driven by startups across sports.

The Next Move

For Sports Executives & Operators

  • Establish partnerships guaranteeing access and innovation resources year-round.

  • Collaborate with startups for workforce development (internships, mentorships, and training programs).

  • Integrate startups to optimize operations and enhance the fan and athlete experiences.

For Universities & Innovation Leaders

  • Embed entrepreneurship challenges and internships throughout academic and sports programs.

  • Create cross-disciplinary hubs linking sports tech, health sciences, business, and design.

  • Build pipelines connecting research with real-world industry careers.

  • Use campus innovation spaces and athletic departments as inclusive startup collaboration platforms.

For Civic Partners

For Founders & Ecosystem Builders

  • Connect networks linking startups with teams, universities, and civic leaders.

  • Prioritize inclusive programming that creates opportunities for diverse entrepreneurs and talent.

  • Launch mentorship and workforce initiatives bridging academic training with industry.

  • Build scalable, sustainable models linking innovation to community and economic growth.

Key Takeaways

Startups are catalysts for growth, innovation, talent development, and inclusion in sports, driving measurable impact across industries and communities. Sustainable success depends on ecosystems that are:

  • Connected — linking organizations, universities, civic partners, and founders

  • Inclusive — providing broad access for all communities

  • Aligned — coordinating funding, strategy, and partnerships toward shared goals

The future of sports innovation depends on collaboration that is intentional, equitable, and enduring.

Make Your Next Move with HTX

Curious about how startups are driving real impact in the sports ecosystem?

As leaders deeply connected to emerging sports startups, HTX Sports Tech is uniquely positioned to help your organization discover the next best platform or identify venture capital partners looking to invest. We assist in sourcing promising startups and conducting critical diligence to ensure your investments and partnerships drive real value.

Now that you’ve explored how startups drive economic growth, workforce development, and community transformation, let us work with you to build, invest in, and scale a thriving sports startup ecosystem.

Let’s connect here and support your next move to elevate startups as game changers for growth, innovation, and inclusion for your organization, fans, and community.

Nathaniel Thompson Jr.
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002. Sports Innovation Hubs