Every era has its defining sponsorship category. 

Tobacco underwrote entire auto racing teams and series from the 1970s through the early 2000s (think: Winston Cup). Beer brands became fixtures of the in-stadium experience in the 1990’s and 2000’s (think: Coors Field). And financial services firms began putting their names on buildings in the 2000s and 2010s (think: Citi Field).

AI is bankrolling the current chapter. Just look at Formula 1.

Tech brands now spend more money on sponsorships within the sport than any other vertical ($565 million+). Anthropic/Claude (Williams F1), Google/Gemini (McLaren F1), OpenAI (Chip Ganassi Racing), Perplexity (Lewis Hamilton), Microsoft (Mercedes F1), IBM (Ferrari), Oracle (Red Bull Racing), and TWG AI (Cadillac F1) have all invested in the global racing circuit over the last 18 months.

The challenge domestic rights owners face is that AI leaders tend to maintain different objectives than the typical sports sponsor. They seek operational integration and proof points to bring to their next Fortune 500 sales meeting rather than mass reach or brand awareness.

And few properties are offering those opportunities, or conveying the messaging needed to attract these well-funded companies, leaving meaningful dollars on the table.

AI companies are jockeying for exclusive footholds in sport, like the tobacco giants, beer brands, and financial services firms did before them (see: Google Gemini locking up category-exclusivity as part of its ~$31.5 million deal with the IPL). 

But unlike their predecessor, AI platforms are not after reach. They’re looking for enterprise access, and ultimately implementation.

Ampere Analysis research suggests these businesses are fishing in the right pond. The market research and analytics firm found that fans are 44% more likely than non-fans to be the sole decision-maker at work.

In other words, there is a high concentration of individuals with meaningful purchasing authority consuming sports (i.e., those ultimately selecting which platforms their company deploys). 

Harvey chief business officer John Haddock, whose firm signed on to become the Official Legal AI Platform of the Chicago Cubs, PSG, Fulham FC, and the US Open, seemingly cited that logic when announcing its MLB team tie-up. 

“...this partnership is a meaningful way to strengthen our presence and connect with customers in the region,” he said in the press release.

Chicago, of course, is home to Kirkland & Ellis, Sidley Austin, Winston & Strawn, and a host of other AmLaw 100 decision-makers.

If Harvey’s marketing strategy sounds familiar, that is likely because it resembles the old beer brand playbook. The company is leveraging cultural relevance to develop enterprise credibility in marquee cities around the globe (see: Cubs in Chicago, Fulham in London, PSG in Paris).

But unlike beer brand deals built on billboards, in-stadium signage, and broad visibility, its sports partnerships are predicated on operational integration. They’re high-value, infrastructure-based relationships where Harvey’s product is integrated directly into partner processes.

And that’s been a trend with AI partnerships across sport. Williams Racing leverages Claude to support performance analysis and race strategy, NFL Media uses AWS to process 500M+ data points per season, and MLB’s content supply chain is powered by Adobe’s GenStudio and the company’s LLM Optimizer.

SponsorUnited refers to these types of deals as “business-backed sponsorships”.

"Intensifying competition amongst AI companies is turning sponsorship into an exclusive, high-value channel for enterprise access, integration, and meaningful storytelling,” Bob Lynch (founder and CEO, SponsorUnited).

AI companies’ desire to embed their technology directly into core operations means teams, leagues, and executives with inventory to sell must reframe how they package and market assets.

Auditing existing integration points —and identifying potential deployment opportunities— is a logical place to start.

Then, ensure the organization's sponsorship measurement stack is capable of capturing what AI companies care about: owner/C-suite reach within their target verticals, pipeline attribution, and the ability to tie a sponsorship to a named account or enterprise deal. Remember, these are the most analytically sophisticated buyers in history.

Revamp your deck before going back to market. Lead with who’s in the room, not how many people will see the company’s logo. 

Be sure to package premium hospitality assets into the deal. AI companies will pay a premium for access to settings where enterprise decisions occur.

And don’t forget to add an AI category to your rate card! Exclusivity is being negotiated aggressively.

It’s worth mentioning that these ‘business-backed’ agreements now look more like technology and data contracts than traditional sports sponsor pacts, which raises questions about data ownership, AI model training rights, and performance-based compensation. Rights owners should get legal and data guidance before chasing an AI check.

“Before signing, teams need to audit whether their privacy policies, player agreements, and league rules actually permit sharing data with an AI sponsor-turned-vendor,” Robert Auritt (partner, Archer & Greiner P.C.) said. “The diligence process should focus on three critical points: what happens to your data after the sponsorship ends, who owns the AI-generated insights created from your operations, and whether you're restricted from using competing AI tools with the same data.”

But time is of the essence. The inventory and integration opportunities are finite, and the land grab is happening now. Those who can figure out how to safely and effectively sell to this new class of buyer will capture a disproportionate amount of sponsorship revenue in the coming three to five years.

On the latest episode of JaneWallStreet Presents: At The Table, a bi-weekly podcast exploring the intersection of sports, media, and finance through the lens of (mostly) female decision makers, JaneWallStreet Executive Chair Deirdre Lester sits down with Amazon Web Services’ (AWS) Global Head of Sports Julie Souza. 

In this 40-minute conversation, they touch on simulation-driven rulemaking, drawing a line on innovation, silence as a negotiation strategy, and more. 

📺 Watch the full video on JohnWallStreet’s YouTube Page. 
🎧 Listen on Spotify.