The sports-media giant has held talks with players that own major sportsbooks, including casino operator Caesars Entertainment Inc. and online gambling company DraftKings Inc., the people said. ESPN has existing marketing partnerships with both companies.
On offer is the right for a suitor to use the ESPN name for branding purposes and potentially rename its sportsbook after the leading sports TV network in the U.S., the people said.
A deal could come with an exclusive marketing commitment that would require the sports-betting firm to spend a certain amount of money advertising on ESPN’s platforms, one of the people said.
There is no guarantee ESPN will reach a deal. It remains to be seen whether gaming companies have an appetite to pay for the ESPN name when they are already investing to establish their existing brands.
ESPN has been cautious about entering the sports-betting arena. It has struck partnerships to integrate odds and betting-related content into some of its shows, and has podcasts and telecasts dedicated to gambling, including “Daily Wager.” But executives have said they want the company to avoid being directly involved in gambling transactions.
‘Daily Wager’ is a one-hour ESPNews channel show aimed at sports gamblers. A brand-licensing deal would allow ESPN to profit from the boom in sports gambling without taking bets and making payouts to winners.
Source: The Wall Street Journal
