Australia based betting operator PointsBet has entered into a multi-year partnership with NBCUniversal. PointsBet will now be NBC’s official sports betting partner. NBC will now be an investor in PointsBet, with hundreds of millions of dollars at their disposal to raise PointsBet’s profile in the United States.
The deal led to a surge in the price of PointsBet shares on the Australian Securities Exchange, where they sold for A$14, up by 86 percent.
The NBC and PointsBet deal is only the latest in a series of deals struck between sportsbooks and sports media entities. Some of the more notable link-ups recently include CBS Sports and William Hill, Barstool Sports and Penn National Gaming, Yahoo and BetMGM, and ESPN and Caesars.
The deal gives PointsBet a year-round platform on NBC and its wide portfolio of sports events. NBC will also provide PointsBet with $393 million each year in advertising and marketing costs, a figure that PointsBet say will increase with each year of the deal.
PointsBet is currently operational and taking bets in Indiana, Iowa and New Jersey, but the firm is looking to expand its US presence more in the coming year.
PointsBet will also be featured in a number of NBC channels, such as the NBC Sports Network (NBCSN) and the Golf Channel, where PointsBet odds, branding, and other content will be displayed. PointsBet will also be advertised on NBC’s new streaming service Peacock, Telemundo and Telemundo Deportes.
PointsBet will also get exposure on NBC’s eight regional sports networks, the NBC Sports Predictor free app, and Rotoworld, NBC’s website for fantasy sports. PointsBet expects that NBC’s resources will help them access a new wave of customers to their platform.
Sam Swanell, Managing Director and Group CEO for PointsBet, believes that the NBC deal will be an indispensable part of their business for years to come. Swanell said that PointsBet’s technology and content expertise will surely benefit from NBC’s wide reach and massive marketing budget.
NBC will now be entering the sports betting industry in what is expected to be an exclusive partnership with PointsBet.
NBC will have a 4.9% interest in PointsBet, with 66.88 million options set to mature in five years. NBC will also receive payments from bettors, which it will then send to PointsBet. Analysts believe that NBC will be a motivated partner to PointsBet, due to their equity stake in the company.
About The Author
