ESPN is doubling down on its foray into sports betting with a new, multi-faceted partnership with DraftKings, officially ending its short-lived collaboration with Penn Entertainment. Effective December 1st, DraftKings will become ESPN’s exclusive sportsbook and odds provider, integrating seamlessly across the network’s vast digital platforms.
ESPN fans can expect to see DraftKings products woven into their viewing experience, including in-app betting content within the popular ESPN app. This integration extends beyond traditional sports wagering to encompass daily fantasy sports and DraftKings’ unique “Pick6” product.
The announcement positions DraftKings as a crucial component of ESPN’s broader strategy for direct-to-consumer engagement. Jimmy Pitaro, ESPN chairman, emphasized this focus in the press release, stating that their betting approach prioritizes “an integrated experience within our products” and that partnering with DraftKings allows them to “super-serve passionate sports fans” while driving growth.
Jason Robins, CEO and Co-Founder of DraftKings, echoed this sentiment, highlighting ESPN’s unparalleled reach across the sports landscape as a natural fit for their partnership. Robins touted DraftKings’ ability to seamlessly combine its technological prowess with ESPN’s legendary brand recognition and storytelling capabilities to create a unique, engaging experience that elevates fan interaction with live sports.
This strategic shift comes on the heels of ESPN’s abrupt decision to terminate its existing 10-year agreement with Penn Entertainment, announced just last month. The mutually agreed upon parting came after the two companies failed to achieve their initial market share goals with their jointly launched ESPN Bet platform. Estimates placed ESPN Bet’s market share at a meager three percent – a stark contrast to DraftKings’ dominant position within the US sports betting industry.
DraftKings currently commands an estimated 34 percent of the market, boasting over 10 million customers across 28 states, Washington D.C., and Ontario, Canada. This substantial customer base and established market presence solidify DraftKings as a potentially powerful engine for ESPN’s ambitions in the rapidly evolving world of sports betting.
The move signifies ESPN’s determination to solidify its foothold in online gaming and capitalize on the growing appetite for integrated sports betting experiences among its dedicated audience.
