DraftKings Made A Sharp Bet With Kambi Group Partnership
There’s an old adage about the importance of being smart enough to know what you don’t know. DraftKings seems to have a firm grasp on the concept. This week, the company and European sports betting provider Kambi Group announced that the latter will essentially power DK’s sports betting platform under a multi-year partnership.
DraftKings has been ambitious in its sports betting aspirationsDespite no direct experience in the industry, DK clearly had a sports betting launch on its New Year’s resolutions for 2018. That much was evident as early as February, when they announced the hire of a Head of Sportsbook. Naturally, the sports-betting plans that co-founder Matt Kalish recently revealed have been in the works since last summer picked up a full head of steam as of May 14, when the SCOTUS eradicated PASPA. There’s been a few other notable developments involving DK and sports betting since then:
- The company initiated an ad campaign about its forthcoming sportsbook in New Jersey via highway billboards and transit signage.
- Kalish held a Facebook Live chat on May 31. Within it, he announced the company’s intentions to be a serious player in sports betting, even declaring there isn’t a reason they can’t eventually be “number one in sportsbook”.
- DK announced a partnership with Resorts AC for its sports betting initiatives in New Jersey on June 1.
- It was recently reported that DraftKings is seeking $150-$200 million in additional funding for its sports betting operations.
Leveraging expertise, keeping pace with competitionThe joining of forces with Kambi is significant in a number of ways, especially for a company dipping its toe into the sports betting waters for the first time. Dubbing itself the “Sports Betting Experience Company”, Kambi, active in six continents overall, brings DK much-needed expertise in the field. Its sole focus is providing other companies with the tools to develop and maintain sports betting platforms. As per its press release announcing the new alliance, Kambi’s 19-customer portfolio includes high-profile clients such as:
- Rush Street Interactive
- Kindred Group
- Napoleon Games