Sling TV Entering Sports Wagering Market

Live sports gambling will soon have another player. Dish Network March 3 announced a partnership with DraftKings Sportsbook, the online platform that supplies game statistics, odds, fantasy sports and wagering.

The agreement calls for the first-of-its-kind DraftKings app integration on the Dish TV Hopper platform. The agreement also allows for subsequent DraftKings sportsbook and daily fantasy experiences to be available on Dish-owned online TV platform Sling TV and Boost Mobile in the future.

Online sports gambling is becoming a coveted feature among online TV services, including Fox Corp.’s Tubi, Disney-owned ESPN and FuboTV. The American Gaming Association estimates Americans bet $6.8 billion on last year’s Super Bowl, with an estimated $500 million bet online in this year’s Super Bowl .

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Dish satellite TV subscribers with an Internet-connected Hopper receiver will be able to access the DraftKings app to view betting odds and fantasy contests. They can initiate bets or contest entries with DraftKings directly from their TV, then set recordings and watch the live sports that correspond with those bets or fantasy teams. Placing bets is limited to customers living in states where sports betting is available to DraftKings account holders.

Once a bet or fantasy contest entry is initiated, customers will be prompted via text message through DraftKings-created technology to complete the transaction within the app on their mobile device. Once launched, Dish subs can initiate bets for NCAA basketball, NBA, and NHL from the app via Hopper, with additional features to come.

“Our deal with Dish TV and the technology behind it immerses customers within a next-generation viewership experience and reaches these fanbases in a completely new way,” said Paul Liberman, co-founder/president of product and technology at DraftKings.

Subs can open and use the app while watching any live, on-demand or recorded Dish TV content. DraftKings can be accessed via the Dish voice remote simply by saying “Launch DraftKings” or from the apps menu.

 

Streaming Media’s Growing Interest in Legalized Gambling

Live sports and gambling have a long co-dependent relationship, which has been expanding beyond casinos to over-the-top video — especially during a pandemic. But the wheels in motion began years before the coronavirus kept gamblers away from Las Vegas and Atlantic City, thanks to the U.S. Supreme Court in 2018 striking down a federal anti-sports gambling law.

Fox Sports became the first major media company in the U.S. to acquire a stake in sports gambling after paying $236 million for a 5% ownership of The Stars Group.

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“Digital sports wagering represents a growing market opportunity that allows us to diversify our revenue streams, connect directly with consumers and expand the reach of the Fox Sports brand,” said Eric Shanks, CEO of Fox Sports.

Fox Bet Super 6 just added nearly 3 million players during the just-ended NFL season, bringing its user base to more than 4.3 million players. It claims to be the biggest free-to-play online game of its kind in the country. The platform also seeks to entice non-sports fans with wagers on the recent Georgia U.S. Senate runoffs, the stock market and a weekly quiz.

Speaking on the Feb. 9 fiscal call, Fox Corp. CEO Lachlan Murdoch said Fox Bet aims to be more than an online gambling site. The platform is rolling out in states that have legalized wagering, including most recently Michigan on Jan. 26. Fox also owns a 18.5% stake in FanDuel, the daily fantasy and online sports book.

“A key differentiator for Fox Bet has been across promotional power of all of Fox’s assets to ignite the Fox Bet brand,” Murdoch said. The executive said sports gambling factors into ongoing distribution negotiations for NFL games.

“The NFL is very aware of the importance of sports wagering, I’m sure to us, I’m sure to sort of others as well,” Murdoch said.

FanDuel in 2019 inked a deal with fubo TV, making it the exclusive sports book, online casino, horse racing and DFS (distributed file system) partner of the TV streaming service. The agreement was FanDuel Group’s first partnership with an online TV service aimed at expanding fubo TV’s sports offering for consumers while integrating betting data on the platform.

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“We are always looking for ways to add value for consumers and enhance their premium experience with fuboTV,” said Min Kim, VP of business development at Fubo. “Gaming and sports are natural complements.”

Adam Kaplan, VP of content business & operations at FanDuel, said the company’s data analytics will change how people watch live sports on TV and the Internet.

“We can enhance the live-viewing experience by allowing cord-cutting sports fans to view the content that matters to them the most from their TV, phone, tablet or computer,” Kaplan said.

But FanDuel’s relationship with fubo TV could change as the latter branches out into its own sports gambling. The 6-year-old service last year acquired Balto Sports, a backend developer of fantasy sports gaming software. Last month, fubo TV expanded to live sports by acquiring Vigtory, an interactive sports gaming company.

The valuations around sports betting operators are so huge, why not take a punt on being one?” said Andy Clerkson, an advisor for Fox Bet and partner at Red Knot Communications, a gambling PR firm. “You could be a super-affiliate worth hundreds of millions. Or you could try and be an operator worth billions.”

The Motley Fool’s Rick Munarriz contends fubo TV can open the “spigot of sports gambling” without raising eyebrows the way  Google or Disney might with regulators.

“Fubo TV can go places where others can’t,” Munarriz wrote.

Disney-owned ESPN has partnerships with Caesars Entertainment, offering sport-betting-related content on ESPN and ESPN+, the brand’s SVOD platform.

“The sports betting landscape has changed, and fans are coming to us for this kind of information more than ever before,” said Mike Morrison, VP of business development at ESPN. “We are poised to expand our coverage in a big way.”

WarnerMedia Entertainment inked a deal with Caesars Entertainment to build a branded Vegas studio for its Bleacher Report (B/R) platform.

Regardless of its legality, Disney remains defensive to deflect the family-based media giant’s tacit support for gambling.

“We’ve already done some [gambling-related] things that we would integrate it into our programming, but not to the extent that we would be facilitating gambling as an entity,” former CEO Bob Iger said in 2019. “In other words, we’ll provide programming that will, I guess, be designed to enlighten people who are betting on sports. But that’s as far as we would go. We just don’t intend to go into the gambling business.”

FuboTV Betting Big on Next Year’s Super Bowl LVI

If sports gambling has a national holiday, it’s the annual Super Bowl. Americans are expected to will legally bet more than $500 million on Sunday’s Super Bowl LV between the Tampa Bay Buccaneers and Kansas City Chiefs nationwide, up 67% from the estimated $300 million wagered in 2020, according to PlayUSA. Overall, the American Gaming Association estimates Americans bet $6.8 billion on last year’s Super Bowl.

Upstart sports-themed online TV service FuboTV is eyeing sports gambling as a point of differentiation from online TV heavyweights Hulu with Live TV, YouTube TV, AT&T TV and Sling TV. The New York-based service plans to launch an interactive sports gambling book later this year — a move Disney’s sports-themed SVOD ESPN+ is considering as well.

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FuboTV, which launched an IPO in 2020, entered 2021 with about 545,000 subscribers paying from $65 monthly for access to more than 100 channels, including 40 sports-themed. The 6-year-old service last year acquired Balto Sports, a backend developer of fantasy sports gaming software. Last month, FuboTV expanded to live sports by acquiring Vigtory, an interactive sports gaming company.

“FuboTV can go places where [Disney and Google-owned YouTube TV] can’t,” The Motley Fool’s Rick Munarriz wrote last month. “It can also turn on the spigot of sports gambling without raising eyebrows the way that Google or Disney would if they decided to rip a page out of fuboTV’s playbook.”

Michael Pachter, media analyst with Wedbush Securities in Los Angles, remains bullish on fuboTV, upping his share price target to $50 from $40. The analyst contends the service’s live sports content is a win for consumers and investors.

“FuboTV is a real company,” Pachter told CNBC. “There’s a lot of pessimism that they can’t stand out [among online TV players]. In fact, they have more sports programming than anybody. And what makes that a huge advantage is that [pay-TV] cord cutters are looking for live sports content.”

Pachter said FuboTV continues to draw advertising revenue streaming Italian, Spanish and British professional soccer in the U.S.

“Their ad ARPU (average ad revenue per user) goes from $6 to $12; the company is talking $20,” the analyst said. “That will get them to profitability in a couple of years.”