ESPN in discussions for licensing and launching a sportsbook under the ESPN brand.
ESPN MULLING OVER $3 BILLION DEAL WITH SPORTS BETTING GIANTS
Did you catch the gossip? On Friday, word buzzed around that ESPN could be in talks for a whopping $3 billion deal with sports betting giants Caesars and DraftKings. The Wall Street Journal dropped this dynamite, suggesting that the Worldwide Leader in Sports might be looking to brand its name on sportsbook apps.
Already partnered with these bigwigs, Caesars providing betting data and odds across ESPN platforms, and DraftKings being the network's daily fantasy partner, this deal could take their relationship to the next level. If it goes through, ESPN could become synonymous not just with sports but sports wagering, a scene that's expanding across the nation since the Supreme Court overturned PASPA in May 2018. Over 30 U.S. states and jurisdictions now offer some form of legal sports betting.
The deal might include an "exclusive marketing agreement," requiring the partner to shell out a predetermined amount on advertising on ESPN's platforms. This move would make ESPN even more recognized in the sports betting realm, joining the likes of Fox Sports with FOX Bet, CBS partnering with Caesars Sportsbook, PointsBet with NBC Sports, and Bally's rebranding regional sports networks with its name.
Despite this potential shift, Disney, ESPN's parent company, has been vocal about its resistance towards gaming expansion in Florida. But times, they are a-changin', and this development could stir up more controversy and criticism.
Watch this space, folks! This could turn into an intriguing ethical case study, with the debate on whether sports journalism and analysis companies should have sports gambling partners heating up. Here's to seeing how this unfolds! 🎯💰
Sports wagering has emerged as a popular avenue for companies and states to recover pandemic-related revenue losses. In 2021, at least six U.S. jurisdictions have legalized sports betting, while Michigan and Virginia launched mobile operators for the first time in January.
Arizona is on the brink of becoming the biggest state in the West to offer statewide mobile wagering, though a lawsuit filed by a local tribe alleges the new law violates the Voter Protection Act.
As Disney steps into the sports betting arena, critics question the ethics of companies involved in sports journalism and analysis partnering with sports gambling entities.
[1] Sources: CNBC, Bloomberg, ESPN Front Row
[2] Additional Reading: The New York Times, Forbes, Sports Betting Dime
[3] TECHNewsWorld
- If ESPN seals the $3 billion deal with sports betting giants Caesars and DraftKings, they could become synonymous not just with sports, but sports wagering – a scene that's experiencing rapid growth as a means for recovery from pandemic-related revenue losses.
- This potential partnership could follow the steps already taken by others in the industry, such as Fox Sports with FOX Bet, CBS partnering with Caesars Sportsbook, PointsBet with NBC Sports, and Bally's rebranding regional sports networks with its name.
- The deal might involve an "exclusive marketing agreement," requiring the partners to commit significant advertising budgets on ESPN's platforms, further solidifying its presence in the sports betting realm.
- However, concerns about ethics arise as Disney, ESPN's parent company, ventures into the sports betting arena, with critics questioning the appropriateness of sports journalism and analysis companies partnering with sports gambling entities.
