ESPN Teams Up with DraftKings for Exclusive Sports Betting Partnership After Ending Deal with PENN
ESPN (NYSE: DIS) has unveiled a new exclusive partnership with DraftKings (NASDAQ: DKNG), just an hour after ending its agreement with PENN Entertainment. The deal, which takes effect next month, will make DraftKings the exclusive sportsbook and odds provider for ESPN, with a full rollout planned for next year.
“Our focus has always been on delivering an integrated betting experience within our products,” said ESPN Chairman Jimmy Pitaro. “Collaborating with DraftKings, a leader in the industry, allows us to enhance that foundation, better serve passionate sports fans, and expand our direct-to-consumer business. We’re excited about this new partnership.”
DraftKings CEO and Co-Founder Jason Robins shared similar enthusiasm, stating, “ESPN’s unparalleled presence in the sports world makes this partnership a natural fit. As a leader in digital sports entertainment, DraftKings is uniquely positioned to integrate our technology with ESPN’s iconic brand and storytelling. Together, we’re creating a seamless, engaging, and responsible sports betting experience for fans.”
As part of the agreement, DraftKings will be integrated into ESPN’s app, and ESPN Bet will transition into a sports betting content brand powered by DraftKings.
This move follows ESPN’s entry into the sports betting market in August 2023 through a $2 billion, 10-year deal with PENN Entertainment, which led to the creation of ESPN Bet. However, that partnership is ending after just two years.
DraftKings, founded in 2012 as a daily fantasy sports platform, has since evolved into a major player in the casino and sportsbook industry as sports
gambling has gained legal traction across the United States. Currently, DraftKings operates in 28 states, Washington D.C., and Ontario.
