IGT has announced this week that it has extended its multi-year retail partnership with FanDuel Sportsbook for another four years.
IGT PlaySports - the developer’s proprietary betting supplier tech solution - is FanDuel’s exclusive retail sports betting platform provider in North America. Under the new multi-year agreement, IGT PlaySports will continue to provide its betting solution to each of FanDuel’s North American sportsbooks until at least 2028, starting from Sept. 1.
A long history
The two companies began working together in 2019, when FanDuel opened its first retail sportsbook at the New Meadowlands Racing and Entertainment in New Jersey, and agreed to the exclusive partnership in 2020.
"For more than five years, IGT PlaySports' team and technology have helped FanDuel's retail sportsbook operation deliver a best-in-class customer experience while helping us maintain our position as America's No. 1 sportsbook," said FanDuel president Christian Genetski. "Given IGT's experience as a global land-based casino supplier, we believe it offers the experience and capabilities we needed supporting our retail locations."
Joe Bertolone, senior vice president at IGT, expressed his enthusiasm for the extension.
"IGT PlaySports looks forward to supporting FanDuel as its exclusive retail sports betting platform provider in North America for four additional years," he said. "IGT PlaySports is committed to helping our customers realize the full potential of the retail sports betting market and differentiate their products through exceptional player experience and reliable technology."
IGT PlaySports
There are currently 27 FanDuel sportsbooks across 20 North American jurisdictions. Each one features a range of IGT’s self-service betting products, including the PlaySports pads and kiosks.
Beyond physical betting hardware, IGT PlaySports also provides FanDuel with a range of services and technologies like 24/7 customer support, a player account management (PAM) platform, and access to its in-house trading team. The trading team gives customers round-the-clock expert odds making, with in-play bets and localized pre-game pricing, as well as continuous offer monitoring and optimization.
A successful year for Flutter
Besides the IGT-FanDuel partnership extension, FanDuel’s parent company Flutter Entertainment has made headlines this week after unveiling a new board-authorized buyback plan at a recent investors meeting. The scheme, which will begin in November and run for the next three to four years, is based on projections that FanDuel’s current $2.5 billion revenue will double to more than $5 billion by 2027.
More than 50% of the estimated revenue increase will be a direct result of FanDuel’s market-share leading position in the U.S. This position, company officials claim, is due to the sportsbook’s new bet offerings (namely single-game parlays) and pricing ability. Today, FanDuel Sportsbook is estimated to hold 46% of America's legal sports betting gross gaming revenue, a 30% increase from 2018.
“I am very excited about Flutter’s strong trajectory and how well positioned we are to capitalize on a global regulated addressable market of nearly $370 billion,” said Peter Jackson, the CEO of Flutter. “With our unmatched scale, diversification, and our global differentiator, The Flutter Edge, we have clear sustainable global advantages that will continue to drive sustainable growth and power our financial model with operating leverage building over time.”
