US Sports Betting Market Is Too Saturated: FanDuel CEO

US Sports Betting Market Is Too Saturated: FanDuel CEO

Amy Howe was recently appointed Chief Executive of gambling of the fantasy sports and sportsbook company, FanDuel. She was previously the Chief Operating Officer at Ticketmaster. A statement released by the company on Monday has confirmed her appointment. A report from the Financial Times has quoted her as saying that the gambling market in the United States is too crowded and stated that a long line of competitors is bound to fail.

Amy Howe appointment

Howe joined FanDuel in February 2021 as President who was in charge of the company’s sportsbook, racing, casino, and daily fantasy businesses. She was elevated to the position of acting CEO in July 2021. She now heads the twelve-year-old company that boasts over twelve million users. She has commented that there are many companies vying for market share in the sports betting industry but only a few such companies would be able to emerge as champions.

Sports betting industry

The United States Supreme Court legalized betting in 2018. In response, twenty-five jurisdictions in the country have legalized gambling in sports. Many other states are expected to open up their jurisdictions to sports betting. By 2025, sports betting is expected to generate a revenue of more than $10 billion, according to a study by PYMNTS. DraftKings and FanDuel are two major players in the industry.

Consolidation in the sports betting industry

In September 2021, DraftKings, the digital sports betting company made an offer of $20 million, mostly comprising of stock as well as cash for the acquisition of Entain, an online sports betting company. Entain is the owner of gambling and poker companies (Coral, PartyPoker, and Ladbrokes) in the United Kingdom. In August 2021, DraftKings announced that it has an intention to acquire Golden Nugget Online Gaming. The transaction would be paid for in-stock only and would be valued at $1.56 billion. The merger would add an additional 5 million customers to the company’s market share. The merger is expected to be closed in the first quarter of 2022.

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About sherlock

Sherlock Gomes loves to write and express his views on anything related to Gaming, Gambling, & Casino. He has been covering Gaming for more than two years now.