Sports innovation investor XV Capital has reported that Australian sport is entering "a defining moment", with digital transformation and artificial intelligence rapidly reshaping the way organisations must plan and operate.
With global sport already embracing new technologies to enhance fan engagement, streamline operations and build resilience, in a newly published Blog, XV Capital suggests that Australian sport faces a unique opportunity to evolve. Strengthening leadership, embedding digital foundations and adopting innovative approaches to participation and performance are now seen as central to long-term success with the challenge, according to XV Capital, being in recognising that the digital revolution is not a distraction from sport’s traditions but a necessary transformation that will determine its future relevance and impact.
While the legacy of the Sydney 2000 Olympics continues to underpin much of the nation’s sporting landscape, many governing bodies and clubs are still operating within models that have changed little in the past two decades.
XV Capital suggests that this is no longer sustainable, arguing that Brisbane 2032 provides both the urgency and the catalyst for change.
Australians Working in Sport: Navigating Change
AI and digitisation are expected to reshape up to 25 to 30% of traditional roles in sport, particularly in administration and facility operations. With over 186,000 Australians employed in sport and recreation, the potential impact is significant. Importantly, many roles in the sector are entry-level or do not require tertiary qualifications, making them more susceptible to automation. This presents both a challenge and an opportunity: to reimagine how we build careers in sport and equip our workforce with future-ready skills.
As the Reserve Bank of Australia highlights concerns around declining business dynamism and technology adoption, sport must respond with agility. Smaller sporting bodies, in particular, may benefit from targeted support and shared infrastructure to help them transition. With major events like the Brisbane 2032 Olympics on the horizon, now is the time to build the digital foundations that will support Australia’s sporting ambitions for the next generations.
Closing the Digital Gap in Sport
Australia’s sports innovation ecosystem has shown great promise, with companies like Catapult, VALD, Fusion Sport (Teamworks), and Rosterfy leading the way. However, recent years have seen a slowdown in new entrants and digital adoption. This may reflect broader economic pressures, resource constraints, or simply the need for renewed leadership and strategic focus.
The Australian Sports Commission’s partnership with CSIRO to develop an AI roadmap for sport is a positive step forward. It signals recognition that digital transformation is not just desirable - it’s essential. By embracing technology, sports organisations can unlock new revenue streams, improve operational efficiency, and better engage younger audiences. The tools are available; what’s needed now is the collective will to act.
Strengthening Leadership for a Digital Future
Leadership is central to any transformation. While major leagues have begun investing in digital roles, many sporting bodies still lack the strategic technology leadership required to thrive in today’s environment. The inclusion of Chief Digital Officers, Chief Information Officers and Chief Technical Officers in governance structures can help bridge this gap.
Boards that blend traditional expertise with digital literacy will be better positioned to make informed decisions about technology investments, data strategies, and innovation. The Australian Sports Commission’s governance principles already encourage diverse skillsets; now is the time to apply them more broadly. Practical programs to connect Australia’s top digital minds with sport could be transformative.
Shared Services as a Pathway to Efficiency
Many operational functions across mid-sized and smaller sporting bodies are remarkably similar. A shared services model could deliver significant cost savings, improve service quality, and enhance scalability. Centralised systems for membership, competition management, and digital engagement could help sporting organisations focus more on their core mission: supporting athletes and communities.
AI and automation are already enhancing customer service, sponsorship management, and event operations. With the right support, even resource-constrained organisations can benefit from these technologies. Success will depend on cultural readiness, staff training, and strategic alignment - not just software procurement.
Engaging the Next Generation
The future of sport lies with digital natives. Yet many boards lack representation from younger Australians, creating a disconnect with the audiences and participants who will shape sport’s future. Including younger voices in governance - alongside digital and entrepreneurial expertise - can help ensure sport remains relevant, inclusive, and forward-looking.
A Call to Action
XV Capital sees that there is a unique opportunity for Australian sport to embrace digital transformation as a strategic imperative. With up to 50,000 jobs potentially impacted by AI, the sector must act decisively to shape its own future.
It notes "the tools, talent and momentum are here. What’s needed is a shared vision and commitment to building sovereign capability in sports technology and innovation."
Click here to read the original Blog.
Main image credit: PMY Group/Digital Mortar.
About the author
Nigel Benton
Co-founder/Publisher, Australasian Leisure Management
Born in the English county of Dorset, Nigel Benton is the co-founder and Publisher of Australasian Leisure Management, Australia, New Zealand and the Asia-Pacific’s only magazine for professionals in all areas of the leisure industry and the www.ausleisure.com.au website - the go to news resource for industry leaders and professionals.
With a long-term commitment to communicating all that is best about the leisure industry (aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues) his career has been defined by an ability to develop and implement industry communications.
Starting his career working in heritage visitor attractions and then adventure travel in Africa and the Middle East, an interest in writing about his experiences led to his change of career into magazine journalism and publishing.
In addition to publishing, Nigel speaks on marketing communications at a range of industry events.
He was made a Life Member of the World Leisure and Recreation Association in 2006 and is a Fellow of the Royal Geographical Society (London).
In 2020, he launched the new Asian Leisure Business website.
As of October 2024, he was inducted into the Australian Fitness Awards Roll of Honour at the 2024 AUSactive National Awards.
Among a range of published works and features, his comments on a Blog (blogspot) from 2007 to 2011, when this website went live in its current form, may be interesting to reflect back on.
His philosophy on life is to be kind to all and to indulge those that you love.
His passions include family, Newcastle United and motorcycles (especially British ones) as well, until February 2025 when she left us, caring for a little pug named Stella.
Click here to connect with him via LinkedIn.
Read more from this author
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