ESPN Bet splits with Penn, announces DraftKings partnership

ESPN announced an exclusive multi-year deal with online sports betting company DraftKings Inc. on Thursday to become the network's sole official sportsbook and odds provider.

DraftKings will be integrated into ESPN's platforms starting in December.

ESPN and casino operator Penn Entertainment also announced that they are ending their 10-year, $2 billion ESPN Bet partnership after just two years.

"Our betting approach has focused on offering an integrated experience within our products," ESPN chairman Jimmy Pitaro said in a statement. "Working with DraftKings, a leader in the space, will allow us to build upon that foundation, continue to super-serve passionate sports fans and grow our ESPN direct-to-consumer business. We are excited about this new collaboration with DraftKings."

Financial terms of the agreement were not disclosed.

ESPN and Penn announced their deal in August 2023 and launched ESPN Bet in November of that year.

"We had aspirations, we had goals to be a podium player, it didn't work out," Penn CEO Jay Snowden said on a conference call with analysts, per Bloomberg News. "We're moving on from that. And they are too."

DraftKings has more than 10 million customers spread over 28 states, Washington, D.C., and in Ontario, Canada.

"ESPN's unmatched visibility across the world of sports make this collaboration a natural fit," said Jason Robins, CEO and co-founder of DraftKings.

"As an innovative leader in digital sports entertainment, DraftKings is uniquely positioned to integrate our technology and products with ESPN's iconic brand and storytelling power. Together, we're delivering a seamless, engaging, and responsible experience that elevates how fans connect with live sports."

--Field Level Media