US sports streaming platform FuboTV has announced that it is set to launch a sportsbook in 2021 after agreeing a deal to acquire sports betting company, Vigtory.
The deal will include Vigtory's sportsbook platform and digital gaming assets, something that FuboTV is expected to leverage and therefore, lead to creating a betting experience for its customers.
Under the agreement, Vigtory co-chief executive Scott Butera and founder Sam Rattner, will join FuboTV's gaming division as president and operating officer respectively.
FuboTV's exploration into the betting market was first indicated in December when it obtained Balto Sports and its content automation software.
The plans have now been expanded on and a free-to-play gaming experience is due to be launched this summer, via a standalone mobile app, before being integrated into the FuboTV user experience.
Later, FuboTV intends on creating a sportsbook app that will be integrated into the company's live streaming platform, which will allow fans to bet whilst watching the sport simultaneously.
“We believe online sports wagering is a highly complementary business to our sports-first live TV streaming platform,” said David Gandler, FuboTV’s co-founder and chief executive.
“We don’t see wagering as simply an add-on product to FuboTV. Instead, we believe there is a real flywheel opportunity with streaming video content and interactivity.”
“We not only expect sports wagering to become a new line of business and source of revenue, but we also expect that it will increase user engagement on FuboTV resulting in higher ad monetisation, better subscriber retention and reduced subscriber acquisition costs.”
Author: Jake Wilkin