00:00All right, Sam, let's close out on FanDuel.
00:02FanDuel says, hey, look, we're getting into the prediction markets as well.
00:05Five states without legal sports betting following suit from DraftKings the week before.
00:11Yeah, FanDuel launching its prediction market in five states, Alabama, Alaska, North Dakota, South Dakota, and South Carolina.
00:18All states where it doesn't have a legal sports betting product.
00:21This is just kind of the latest effort for a sports book to reach states where sports betting isn't legal.
00:27We've certainly seen Kalshi have tremendous success with this, reaching all 50 states, regardless of sports betting law.
00:34FanDuel now joining DraftKings and Fanatics.
00:37Kind of a sports book saying we're tired of waiting.
00:39We don't want to let Kalshi and Polymarket and these other prediction markets gobble up this market share in states before we can.
00:47Despite a number of lawsuits, despite now 30 plus states joining those lawsuits saying that these products are illegal sports betting that are not following the law.
00:56In the meantime, the courts kind of we wait on a decision to be made.
01:00FanDuel comes in with their new product only in five states to start, notably less than DraftKings and Fanatics.
01:07FanDuel actually, interestingly enough, said that if a state legalizes sports betting, a state like California, Texas, Georgia, presumably where it plans to expand with its sports prediction markets next year.
01:18If one of those states launches legal sports betting, then FanDuel said it will pull out with its prediction products.
01:24So right now it's really looking like just a way to reach these sports betting customers in states where you don't have it.
01:30And they would still much, much prefer reaching those sports betting customers with an actual sports betting product where they can offer parlays, where they can offer, you know, higher margin, more profitable offerings for the book itself.
01:44FanDuel has come out and said that by February it expects to be, you know, in at least I think 30 states is the number, which is about what DraftKings is at right now.
01:53And it really wants to have the best competitive product if prediction markets are here to stay.
01:57That would mean offering parlays.
01:58That would mean offering other bet types as well.
02:01For now, this is just kind of the start of it, but definitely a huge, huge change for a company that has been doing sports betting since the fall of past,
02:08but only focusing on that FanDuel, DraftKings, Fanatics all left the American Gaming Association recently because of this split on prediction markets.
02:16We'll see just how heavily they kind of double down or get involved with it in the year ahead and the ripple effects that it has on other policies and other sports books in general.
Comments