Hey Sports Tech Fans,
First off, happy Thanksgiving to all our American readers!
We have a lot of stories this week, so I’m glad we have changed to a twice weekly schedule to keep it more manageable to create and to consume.
On the streaming wars front, DAZN have published some fascinating numbers, 8 Million subscribers, up from 4 million 6 months ago! Truly a fascinating product and growth story, especially when ESPN+ has 3.5 million.
I am currently editing a podcast interview I did with DAZN when I can find the time, so I’m not sure when it will be released yet but stay tuned as it will be in the coming weeks!
In gambling news, the 76ers have become the first NBA team to partner with a sportsbook in the US, FOX Bet! This comes after NBC Sports Philadelphia recently announced that their betting and analysis should would be making a return this year for at least 10 games, having being trialled late in the season last year.
This will be a growing trend throughout the US for all major sports. With Philadelphia being one of the largest markets to currently have legalised sports betting it makes sense that they would be the first NBA team to partner with a sportsbook.
In the UK and Europe in general, we have long seen official partnerships with sportsbooks and sports teams. Half of the Premier League teams have their kit sponsor being a gambling company, bringing in a total of £349.1 million for the teams.
The potential for large contracts is obvious and will boost teams revenues significantly, although jerseys in the US don’t have the same advertising emblazoned on them, the competition to have access to fans will be fierce.
The average user acquisition cost in the UK for gambling companies is up to £200 in a market that has a long tradition of being legal and part of the culture.
What are gambling companies willing to spend per user in a market that is set to be worth $100 billion per year by 2025?
Deals like this will continue but seeing the details of the finances involved will be fascinating to see.