Daily Fantasy Sports Provider DraftKings Opens Las Vegas Office

Town Square Offices in Las VegasDraftKings, the Boston-based daily fantasy sports contest provider, just opened up an office in Las Vegas.

President and co-founder, Matt Kalish, and DraftKings race and sports director, Johnny Avello, welcomed guests to the Town Square office on Wednesday, where 70 employees currently work. The company moved into their flexible new workspace on Monday – which it leases from WeWork – and plan to have more than 300 employees in the upcoming months.

Why Las Vegas is the Perfect Fit

When asked why the company chose Las Vegas to hold their office, Kalish said this:

“This is an iconic city when it comes to sports betting. It’s been the hub of all of that activity in our country for many decades. We see ourselves as looking to integrate as deeply as possible into the community.”

The opportunities with sports betting keep opening up nationwide. We want to make sure we continue to lead the pack and, to do that, we needed to invest in Las Vegas and take advantage of some of the great talent that’s here in this market.”

The Las Vegas office established a dedicated back-of-the-house call center that will handle customer experience, fraud, casino, sportsbook traders, human resources and information technology. Local employees are expected to handle customer inquiries around the clock. Once the DraftKings’ Las Vegas office is fully operational, it will be the second largest in the country behind the Boston operation.

Currently, the company offers its sports-betting app in New Jersey, Pennsylvania, Indiana, New Hampshire and West Virginia with physical retail sportsbooks in New Jersey, New York, Iowa and Mississippi. According to Kalish, the company hasn’t decided how they’ll pursue a retail outlet or become a licensed operator in Nevada just yet, instead focusing solely on growing the company’s presence in the Silver State as of now.

Help from Local Talent

Former Wynn Las Vegas sports book director, Johnny Avello, was one of the first local talents to come aboard. He was hired by DraftKings in 2018 to work in the same capacity. Avello’s Las Vegas team includes sportsbook personnel that also formerly worked at other Las Vegas resorts.

Avello said this of finding a sweet spot for the company in town:

“Finding this location, it’s been in the works for a long time and, to me, it’s perfect. Town Square has great amenities, and this is a great work environment. It’s also close to the airport for people who need to get in and out. Anywhere where sports betting is legal, we’re looking to be in that market.”

DraftKings Continues to Expand

The company got its humble start out a spare bedroom. Founded in 2012 by Kalish and his two friends, Jason Robins and Paul Liberman, DraftKings quickly became a known brand once the popularity of fantasy sports was met with more loosened sports rules in different parts of the country.

Currently, the company’s daily fantasy product is available in eight countries, with its sports book division offering mobile and retail betting in eight states. DraftKings is also the official daily fantasy partner of the National Football League and the PGA Tour.

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For the past five years, DraftKings has had its eye on operating in Nevada. Last February, they announced their multi-state partnership deal with Caesars.

Under terms of that agreement, Caesars is offering DraftKings market access for its online gaming products, subject to passage of applicable laws and the parties securing applicable gaming licenses.

Their partnership with Caesars could result in new growth in the months ahead with Caesars on the verge of merging with Reno-based Eldorado Resorts Inc., in a proposed $17.3 billion deal. The deal is expected to close in the first half of this year.

The strategic plan to open a company office in the US gambling capital will only continue to expand their highly sought-after product and presence. Kalish said:

“DraftKings is in a great position. We have a ton of interest in the company because of our story. Everybody’s drawn in because of what’s going on with sports betting in the U.S. People want to change industries and change their career path to come work for us. I think we got 45,000 job applications last year.”

DraftKings is Going Public – Is it a Smart Decision?

DraftKings is one of the country’s biggest daily fantasy sports and sports gambling operators. Over the past few years, this company has gone through several major changes. This week, news reports began claiming that DraftKings is going public.DraftKings Logo

It’s surprising news. DraftKings is hugely popular, yet it’s struggled to turn a profit over the years. Today, we’re going to talk about whether or not the decision to go public is a good one.

Let’s get into it!

History of DraftKings

In the 2000s, several sports fans began to realize that daily fantasy sports could be offered throughout the US. Unlike sports betting, which is considered a game of chance, daily fantasy sports is technically a game of skill. That made it legal in almost every state, despite it acting as a form of sports wagering.

In 2009, FanDuel launched. In 2012, DraftKings officially began operating, as well. That same year, DraftKings company received millions of dollars in outside funding.

Over the next few years, DraftKings began to expand around the country. In 2013, it paid more than $50 million in winnings to players. It also claimed to have 50,000 active users.

By 2015, the company was valued at $250 million. Unfortunately, DraftKings began facing legal trouble in several states. New York famously banned the DFS operator, claiming that it violated the state’s constitution.

After PASPA was struck down in 2018, DraftKings began breaking into the traditional sports betting industry. Today, this company is offering sports betting odds in several states.

This week, news came out that DraftKings is going public. It’s a major gamble for the company. Will it pay off?

Here’s Why DraftKings is Going Public

The US sports betting industry has never been stronger. This is all thanks to PASPA being removed. Now, every state in the country has the ability to set its own laws on sports betting. 21 states have already legalized this popular form of gambling.

The US now has the hottest new sports betting market in the world. As a result, a huge number of companies are working to offer sports gambling options in different states. DraftKings is one of these companies.

In order for a company to break into this industry, it needs considerable funding. This is a major reason why DraftKings is going public. The company plans to merge with two different companies. Afterward, the combined companies are expected to have a market value of $3.3 billion.

DraftKings claims it will have more than $500 in unrestricted cash.

Jason Robbins, co-founder and CEO of DraftKings, will lead the merged companies. He commented on his plans to the media this week.

“The goal is really to be the only company in the world that is focused primarily on the U.S. market,” Mr. Robins said. 

Going Public is a Major Gamble For DraftKings

Anytime a company goes public, it’s a gamble. DraftKings is taking a slightly different approach than most do. Instead of an IPO, DraftKings is going public through its merger with a special purpose acquisition company.

Jason Robbins also spoke with Yahoo Finance about this decision.

“We had three objectives we were trying to solve for. First was, we wanted to complete the purchase of SB Tech, which required some cash,” he said. “Second is that we wanted to raise additional capital to pursue state launches for all these new states that are legalizing online sports betting. And third, we wanted to get public. And this allowed us to do all three in the same transaction. We’re going public at a time when the sports betting industry in the U.S. is hopefully at the very early stages of taking off, so it gives public investors a real opportunity to ride that growth.” 

That certainly makes sense. The only problem is that DraftKings has struggled to earn a profit over the years. Tough regulations on a state level have made things very difficult for the company.

If more states choose to legalize this industry, the decision will certainly pay off. Robbins believes this will be the case. If, somehow the government changes its stance, then going public may ultimately prove to be the wrong decision.

DraftKings is going public in early 2020. We’ll need to wait and see just how smart this decision is in the long-run.

Stay tuned for more US gambling news over the next few weeks!

DraftKings Is Now the Official DFS Partner of the NFL

One of the largest daily fantasy sports companies in the world just secured a major new deal. DraftKings is now the official DFS partner of the NFL. It’s huge news for this company, which has also begun breaking into the newly emerging US sports betting market, as well.DraftKings Logo

It looks like the NFL is beginning to embrace the sports wagering industry. Today, we’re going to look at exactly what this new partnership means. We’ll also talk about some of the NFL betting odds available online right now.

The Rise of DFS and Sports Betting in the United States

A little more than a year ago, Nevada was the only state that was able to offer sports gambling odds. In May of 2018, this changed. The Supreme Court struck down PASPA, giving every state in the country the ability to set its own laws on the sports gambling industry. 19 states have now legalized sports gambling.

Prior to PASPA being struck down, many individuals in the country chose to partake in daily fantasy sports. DFS is similar in ways to sports betting. It allows players to choose a “fantasy lineup” of athletes that are set to compete on a particular day. The better your lineup team performs, the more points you earn and the more money you can win.

Several DFS companies now operate in the US. They’re able to do so because daily fantasy sports is considered a “game of skill.” DraftKings is the biggest and most popular DFS operator in the country, with millions of active users.

Recently, DraftKings has begun breaking into the traditional sports betting market. Many states now allow online sports wagering. That doesn’t mean the company is putting it’s daily fantasy sports services behind, though.

This week, DraftKings secured a major deal with the top sports league in the United States.

DraftKings is Now the Official DFS Partner of the NFL

The NFL remains the biggest and most-watched sports league in the United States. Just a few weeks ago, the 2019/2020 NFL season officially kicked off. Now, DraftKings has secured a deal with the NFL as the league’s new DFS partner.

With this deal comes “exclusive sponsorship of the daily fantasy sports category with access to NFL branding and more” across DraftKings’ platforms. Jason Robins, CEO of DraftKings, commented on the news to the media this week.

“This is a defining moment in the industry, and we are thrilled to become the first daily fantasy sports partner to enter into a formal relationship with the NFL,” he said. “Throughout our discussions with the League, it was evident we share a common vision around the future of fan engagement, and we are excited to continue on this unique journey with the NFL as our official daily fantasy partner.”

Daily fantasy sports fans around the country will now have access to unique NFL content through DraftKings. Of course, many individuals still prefer to make traditional sports wagers on their favorite football teams. There are many amazing US sports betting sites that are offering odds on every single game of the season.

Top Week 4 NFL Betting Odds Available Online

Online sports betting in the US is easier now than ever before. There are many amazing online sportsbooks that are available in every single state. Today, we’re going to look at some of the best week 4 NFL odds available through Bovada.

One game that’s drawing the attention of sports betting fans this week is between the New England Patriots and the Buffalo Bills. Both these teams have looked great thus far in the 2019/2020 season. They’re both 3-0 and will finally face off in one of the most exciting AFC matches this week.

It’s not much of a surprise to see the Patriots entering as the significant betting favorites with odds of -360. New England remains a serious Super Bowl contender and, on paper, should get the win here. The Bills are live underdogs and with odds of +280, could earn you some serious money with a win this Sunday.

One of the most lopsided matchups this week takes place between the LA Chargers and the Miami Dolphins. LA is the massive betting favorite with Bovada odds of -1200. Miami has disappointed for most of this season and enters this game with odds of just +700 to win.

DraftKings is now the official DFS partner of the NFL. Feel free to check this site out today to see the exciting new NFL branding that’s available. Stay tuned for more NFL betting news over the next few months!

The Walt Disney Company Has a Stake in DraftKings Inc.

DraftKings Incorporated is now partially controlled by The Walt Disney Company which has a stake in this daily fantasy sports and online betting giant. This came as a surprise as Disney’s officials are known for their negative attitude towards everything gambling-related, and that also includes sports betting. However, it seems that the tides are turning at the moment and that we are up for a big surprise. Yet, before we jump to conclusions, let’s take a deeper look at this piece of news.

Legal Sports Report published an article which states that the US conglomerate The Walt Disney Company, which is the most powerful entertainment company in the world, has acquired its interest in the gambling firm which has headquarters in Boston. However, this did not happen directly, as there were no talks between the representatives of the two companies. In fact, the entire thing happened due to a complicated network.

Some four years ago, Twenty-First Century Fox managed to obtain a deal with DraftKings and made a $300 million investment, thus buying a stake of the company. Fast forward a couple of years, we have witnessed Disney buying the Twenty-First Century Fox along with its Fox Sports division that has been actively cooperating with DraftKings.

In other words, The Walt Disney Company is now an official owner of the stake that was acquired by one of its subsidiary companies, according to an unnamed source at DraftKings, who stated that for Legal Sports Report. Therefore, Disney will own a part of a company that has big plans related to their industry, one of them being opening a land-based sportsbook that will be located in the state of Mississippi. Furthermore, they play to start a mobile online casino and even an app for sports betting for all bettors who live or visit New Jersey.

According to the Legal Sports Report, Disney’s interest in DraftKings can be described as rather surprising, given that its officials have made some really nasty comments about companies that focus on any form of gambling. One of the reasons why Disney became famous as a company that opposes gambling is their effort to put a stop to legalizing sports betting in Florida last year. Namely, they spent approximately $5 million in order to promote the anti-sports betting agenda in the Sunshine State. Some claim that Disney was afraid that sports betting companies would affect their budget and that the tourists would prefer visiting sportsbooks rather than Disney venues.

However, Disney did not stop there when it comes to their effort to stopping gambling deals and activities. As soon as they acquired Fox, they put a stop to a deal that the newly-bough company arranges with Resorts World Genting, a casino company from Malaysia.

Bob Iger, Chief Executive Officer for The Walt Disney Company, stated in his update for February earnings that the company would not get involved in any type of sports betting or gambling businesses. Furthermore, he added that it would not “facilitate gambling in any way.” He stated that ESPN could go on and provide updates related to sports that bettors would be able to use and that there was nothing to be shy about it. However, according to Iger, providing relevant information for bettors and getting into the business itself are two completely different things.

To sum up, it is going to get interesting in the future, and the public is eager to hear The Walt Disney representatives talk about being a part of DraftKings.

Caesars Inked a Partnership Deal with DraftKings

One of the biggest casino operators that focuses on land-based casinos, Caesars Entertainment Corporation, has announced that they are about to sign a deal with DraftKings Incorporated that will help DraftKings have increased market access for their sportsbetting and daily fantasy sports.

The firm, which has headquarters in Las Vegas, issued an official press release on Monday, which explains in detail how the alliance between DraftKings and Caesars could benefit both companies. It will give Caesars an opportunity to use DraftKing’s gaming products across certain states where Caesars operates land-based casinos. The deal is a multi-year arrangement that aims to provide benefits not only for companies but also their customers. Furthermore, according to the deal, the relationship between the two companies will be “subject to the passage of time.”

The Executive Shared Their Thoughts

The Chief Executive Officer and President of Caesars Entertainment Corporation, Mark Frissora, stated that the deal was made in such a way that Caesars received “equity” in DraftKings Incorporated. In other words, Caesars will be listed as the official casino resort partner of this Boston-based innovator and that the two companies will collaborate in the states where this type of collaboration is possible.

Furthermore, Frissora added that the agreement reached between the two companies was described as a multi-state partnership and that it would bring the established leaders from the daily fantasy sports and sportsbetting industry that would help provide customers with more options. Frissora explained that the alliance was the result of the initiative by Caesars Entertainment Corporation, which had a goal to capitalize on their database, generate additional revenue streams, and raise their profile when it comes to sports. One of the additional ways to do that is to create brand new sport-themed experiences for guests at Caesar’s resorts all over the USA.

Finally, Frissora said that the partnership would allow his firm to continue offering their own branded online casino and sportsbetting apps in every jurisdiction where it was allowed. Furthermore, they would continue maintaining their primary access in every state as regulated under the agreement.

DraftKings was the first company to incorporate sports betting activities into their offer aster the sportsbetting ban was lifted. It was available for punters who live in New Jersey, and CEO Jason Robin was eager to expand their influence to other states as well. Therefore, one of the key steps that they have taken includes joining forces with Caesars in order to improve their offer. In other words, they have an opportunity to work with one of the most important land-based casino operators in the world, which is not a chance that many companies get. Robins stated that the deal with Caesars would help their “national roll-out process” happen much faster. The services offered by DraftKings will have an opportunity to reach potential customers in the parts of the US where that was not possible before.

Robins also issued an official statement where he said that they were looking forward to collaborating with Caesars Entertainment Corporation in order to create some of the most engaging and entertaining sports and customer-oriented events.

Two powerful companies are now working together and they have huge plans for the future. Both Caesars and DraftKings are eager to go all the way and revolutionize the way we perceive and engage in sports betting and casino games. For now, they are going to work closely together and see how to improve their businesses for the best, thus improving customer experience. Stay tuned to see how these two companies are going to work together in the future and what possible products can come out of this relationship.