The simple answer to this is NO, fantasy sports do not draw people away from traditional gambling, because it is just like a game people play for fun and testing their skills, since it offer users the ability to be able to create virtual teams made up of real-life athletes from a professional sport (like football, basketball, & e.t.c), where they compete against each other based on the real life performance.

Judging by the description you just gave above about fantasy sports not involving risking of real money, then on the contrary, it can't be referred as gambling, because gambling is meant to take place when an individual risk his/her money or an asset of value where predicting a possible outcome, whereby if he is correct, he wins the money, but if he is wrong, he loses it. As that's exactly what gambling is meant to be.