Sports betting company FanDuel is looking to grow its market share by further expanding into sports television.
- FanDuel has announced FanDuel TV—a 24/7 sports channel that expands its previous content offerings, mixing betting advice and daily sports news, Fortune reports.
- FanDuel initially launched FanDuel TV as a cable channel and streaming app in August—rebranding the former horseracing cable channel TVG. Now it is expanding.
- “FanDuel TV will produce sports content that resonates with its audience while simultaneously using that content to get viewers to wager more, creating a virtuous cycle,” says Fortune.
- “Ultimately, FanDuel TV is a means to an end: increased betting volume,” it continues.
- The company previously announced on October 17 that it would be launching a new NBA coverage show Run It Back—airing Mondays, Tuesdays, and Wednesdays before its talk show Up and Adams.
Why it’s News
Sportsbetting is a lucrative but volatile industry. As we previously reported, DraftKings has seen major slumps and improvements in the market this year as sports seasons start and finish. It has struggled to keep its stock price stable in 2022.
Sports betting is a billion-dollar industry in the United States which was valued at $76.75 billion in 2021 and is expected to grow to $83.65 this year. It is also becoming more mainstream, with ESPN being rumored to be working on a partnership with DraftKings as its official sports betting partner.
FanDuel hopes that it can use FanDuel TV as a means to promote betting as it becomes more popular and increases its already formidable market share.
”Bettors drive more consumption of sports content, and more sports content drives more [betting] consumption. It reinforces itself,” says CCO Mike Raffensperger.
“FanDuel’s rationale for this foray is the opportunity to capitalize on the betting and media convergence, as fans increasingly seek sports coverage that includes gambling advice,” says Fortune.
“FanDuel officially captured 51% of the U.S. online-sports-betting market in the second quarter of this year. It’s a competitive milestone that has cemented the company’s market leadership, making it bigger than all of its competitors combined. FanDuel’s sportsbook revenue has grown almost 470% since 2018, when the Supreme Court repealed the Professional and Amateur Sports Protection Act (PAPSA), effectively legalizing sports gambling state-by-state,” says Fortune.