Hello and welcome to iGB's State of the Union. In this edition, we will be reviewing the most important North American sports betting headlines from the last week and providing quick summaries of others that caught our attention.
current political climate
Get ready to connect with ESPN Bet-ESPN!
Linking ESPN and ESPN Bet accounts is now possible, according to an announcement made on Friday, November 1st, by Penn Entertainment and ESPN. The ESPN app and ESPN.com allow users to "seamlessly track upcoming, live and settled bets." By linking your accounts, ESPN Bet will be able to provide you with more tailored betting and promotions.
Penn Entertainment's chief tech officer Aaron LaBerge stated in a press release that the launch of this new feature is a significant milestone in the company's efforts to establish a completely integrated media and betting ecosystem involving ESPN and ESPN Bet. When users link their accounts, we gain access to powerful customisation and promotional tools, which improves our ability to engage and serve them. This is only the first of many in-depth integrations that will set ESPN Bet apart from the competition.
Changes in Missouri's stance
The legal wagering effort, Amendment 2, has been officially opposed by the St. Louis City Democratic Central Committee, as declared on October 29th. Amendment 5, which would grant the state a new gaming licence, has the backing of the group. Along with the two largest newspapers in the state and the mayors of Kansas City and St. Louis, the sports betting campaign has garnered the backing of over twenty-five local officials. It also has the backing of every professional sports franchise in the state. Spectrum News reports that the committee is against the bill because it would allow operators to deduct promotional play, which would reduce state tax income.
"Yesson2Missouri" on Twitter: "1851276806780846195"
Elad Gross, a contender for attorney general, has also stated his opposition to the bill. According to Gross, there is little financing for programs that aim to address issue and responsible gaming.
RSI's Schwartz: "Outstanding results" in the third quarter
During its third quarter results call on October 29th, Rush Street Interactive (RSI) revealed a repurchase program and declared a 37% year-over-year increase in sales. The company reported four times the revenue and adjusted EBITDA of previous year, totalling $24.3 million, on top of $232 million in revenue. A plan to repurchase shares valued at $50 million was unveiled by executives.
Additionally, RSI increased its annual guidance. The business increased its expected EBITDA from $68 million to $86 million, a 24% increase.
"We are thrilled to announce that we have accomplished yet another quarter of outstanding performance, establishing new quarterly records in both revenue and adjusted EBITDA," stated CEO Richard Schwartz in a news release. Our ability to implement our strategies and achieve these record-breaking achievements are clear indicators of their success. Our commitment to innovation in attracting and retaining top talent has been and will be a key driver of our continued success and expansion.
Regardless of the region or product line, our plan has been a resounding success. We have increased our player values, sped up player growth for another quarter in a succession, and gained a lot more players with a lot less marketing effort.
Affiliate crash: Better Collective follows Catena
Catena Media revealed last week that a $43.3 million writedown was on the way. The number of positions was reduced by 29. Legal Sports Report and PlayUSA, two of the company's affiliate news sites, are reliable resources for the gaming industry.
After being absorbed into the Action Network earlier this year, Sports Handle and US Bets were later destroyed by Better Collective. Everyone employed at Better Collective, including Sports Handle, was let go on Tuesday, October 29th. The Danish firm has previously stated it would fall short of analyst forecasts, prompting this action. A savings of $54 million is being pursued.
On February 18th, Better Collective shares peaked at $322.50. The price plummeted from $216.50 on October 22 to $139.60 on November 1.
Numerous journalists, marketers, tech workers, and others in the gaming sector have lost their jobs due to the bloodlettings. Former Catena journalist Dustin Gouker started a "reverse job board" by reaching out to colleagues. Members of the unemployed community can post their details, and businesses in the sector and outside can peruse them in search of potential employees. As a consultant and Substack page owner, Gouker is in charge of The Closing Line.
Notified auditor Gaming and Racing in Nebraska
The Omaha World Herald reports that the chief auditor of Nebraska severely criticised the state's gaming and racing commission on Monday, October 28. The agency's capacity to manage casino tax money was called into question by Mike Foley, who described previous results as "lacklustre at best and oftentimes completely nonexistent."
It was found in the audit that the Commission was ill-equipped to confidently guarantee that the permitted gaming businesses were paying the correct amount of gaming taxes since they lacked even the most fundamental understanding.
Fiscal year 2024 brought in $20 million for the Nebraska Racing and Gaming Commission. An audit found that WarHorse Casino Lincoln was overpaid $279,064. It was also $76,184 short of what it owed Harrah's Columbus.
Sale of WSoP finalised by Caesars
On Tuesday (29 October), Caesars Entertainment announced that it had finalised the sale of the intellectual rights to the World Series of Poker (WSoP) to NSUS Inc. There was an initial payment of $250 million and the remaining balance due in five years for a total of $500 million (£386.6 million/€461.1 million).
For the next 20 years, Caesars will run the World Series of Poker live tournaments in Sin City. Caesars will also be able to run its World Series of Poker (WSoP) online real-money business in Pennsylvania, Michigan, Nevada, and New Jersey through a license from NSUS. Aside from those events, Caesars will be unable to provide real-money online peer-to-peer poker for an unknown duration.
There will be a changeover to the new WSoP management team at NSUS, with Ty Stewart taking over as CEO, Gregory Chochon as COO, and Erik Eidissen as communications director.
Deserving of your time
We are reminded of the shifting boundaries between sports media and sports betting by the revelation on 1 November that ESPN and ESPN Bet are now connected, allowing customers to view their bets on both platforms and have access to statistics, results, and more. Awful The matter was thoroughly examined in last week's announcement, with an emphasis on the effects of this intersection on collegiate athletes.
Also in the headlines...
On October 30th, the Massachusetts Gaming Commission was sued by the Public Health Advisory Institute (PHAI). The PHAI has taken the commission's refusal to share anonymised data with researchers to Massachusetts Superior Court.
The Responsible Gaming Grants program in Colorado is now accepting applications. Organisations "hoping to make a positive impact in gaming" are eligible to apply for the funding. We are seeking applications from non-profits who have or are planning to launch programs centred on ethical gaming, community development, and related fields. The deadline to submit an application is December 1st.
Caesars, according to corporate news releases, has just opened its first Horseshoe Casinos in three states: West Virginia, Ontario, and Pennsylvania. The "more seasoned player" was the target audience for the platform's October launch in Michigan. This digital brand is the sixth for Caesars.
Caesars Entertainment's status update from 1851769695386337520 is available at https://twitter.com/MainEnt.
On Monday, October 28th, Rush Street Interactive debuted a new NBA promotion that combines digital sports cards with betting parlays. Customers who wager $10 or more on a same-game parlay will be eligible to win a maximum of three "prop packs," as stated in a press release. Customer wins when a player's score exceeds the listed total.
The DraftKings live dealer studio at the Golden Nugget in New Jersey is closing and 101 people will lose their jobs as a result. Since 2019, the studio has operated under the Golden Nugget and DraftKings names.
