NBC PointsBet Deal Reached
Massive NBC Sports has signed a deal with PointsBet of Australia in a shock to the sports betting market in the United States.
NBC had been courted by other larger, better-known partners but chose PointsBet and a chance to earn up to 25% equity in the company over the five-year deal (per Forbes).
“We are excited to begin this partnership with PointsBet, which will deliver unmatched sports betting engagement opportunities across multiple platforms,” said David Preschlack, President, NBC Sports Regional Networks, and Executive Vice President, Content Strategy, NBC Sports Group.
“For NBCUniversal and PointsBet, this agreement provides considerable opportunities in the fast-growing sports betting marketplace, which is unique to this extensive and robust, multi-year arrangement. Looking ahead, we’re also excited about the significant activation opportunities that will come to fruition as sports betting continues to proliferate across the U.S.”
So, CBS continues its tango with William Hill and Fox settles into its partnership with Stars Group (which formed FoxBet last year). Now NBC will introduce its nearly 200 million viewers to the burgeoning US sports betting market through PointsBet. Naturally, PointsBet was thrilled with the deal and sike in its share price.
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“NBC Sports, an iconic brand and holder of the largest sports audience in the U.S., brings significant credibility and trust to PointsBet’s operations,” PointsBet Managing Director and Group CEO Sam Swanell said.
“Through the NBC Sports partnership, PointsBet gains access to market-leading linear assets which span 184 million viewers and digital assets which span 60 million monthly active users. These assets will act as the cornerstone of our marketing strategy and combined with our in-house technology and products, as well as our talented and experienced team, will deliver outstanding client acquisition and retention efficiency as we scale rapidly over the next five years. NBCUniversal’s decision to take an equity stake in PointsBet illustrates the alignment of our strategies, the trust across teams, and our shared belief that the U.S. gaming market is a once in a lifetime opportunity.”
More partnerships and M&A are expected as the market evolves over the next six to 18 months with more states introducing sports betting legalization efforts. Just last week, Illinois enjoyed a breakthrough with restoration of mobile registration. The move ensures easy access to signups and deposits through mobile apps, instead of the hassle of attending a land-based casino during a pandemic just to register and play.
The full NBC-PointsBet deal as outlined by PointsBet is detailed on this link.