Fanatics Files For Sports Betting Trademark, but launch yet unknown
As a triumvirate of three major sports betting operators tighten their grip on the US market, the high-profile debut of a major sports retailer was widely seen as a watershed moment for the sports betting industry.
Last week, Fanatics took its most critical step yet by launching an online sportsbook in register a trademark for its sports betting trademark with the US Patent and Trademark Office. The company is seeking to trademark its sports betting business under the “BETFANATICS” brand, according to the filing, discovered Monday by trademark attorney Josh Gerben.
Coming soon: “BetFanatics” 👀
– Front Office Sports (@FOS) May 23, 2022
With a valuation of $27 billion, Fanatics is poised to disrupt the domestic sports betting industry in the United States the moment it begins accepting online wagers. In March, Fanatics CEO Michael Rubin boldly declared that he expected the company to become the biggest bookmaker in the country within the next 10 years. While DraftKings’ market capitalization is still in the billions, its valuation hovered around $5 billion on Tuesday as lingering inflation concerns continue to plague the sector. DraftKings had a market capitalization over $20 billion this time last year.
Shares of MGM Resorts and Flutter Entertainment have also fallen sharply over the past six months. MGM Resorts owns a 50% stake in BetMGM, while Flutter owns FanDuel Sportsbook. Collectively, the three sportsbooks hold a share of at least 60% of the US sports betting market, according to various estimates.
One stop shop
Founded in 1995, Fanatics has grown to become one of the nation’s largest retailers of team sportswear and merchandise. In 2012, Rubin formed Kynetics with the acquisition of Fanatics from eBay and the purchase of majority stakes in e-commerce sites Rue La La and ShopRunner. Later that year, Fanatics completed a $150 million funding round led by two venture capital firms, with a valuation of $1.5 billion.
In 2016, Fanatics entered into a long-term partnership with the NFL to operate the league’s online store, NFLShop.com. Two years later, Fanatics upped the ante with a 10-year contract with the NFL that gave the company exclusive rights to distribute all Nike NFL jerseys.
The company also has a vibrant presence in the digital collectibles space through its Fanatics Collectibles division, as well as Candy Digital, its non-fungible token (NFT) business. And in January, Fanatics caused a stir with the acquisition of sports card brand Topps for $500 million.
Age 14: Michael Rubin uses $2,500 in bar mitzvah money to open a ski shop.
49: Fanatics raises $325 million at an $18 billion valuation, bringing Michael Rubin’s net worth to around $10 billion.
Fanatics will also expand into sports betting, iGaming and media. pic.twitter.com/CqddMN5Ly3
— Joe Pompliano (@JoePompliano) August 10, 2021
Therefore, Rubin sees Fanatics as a one-stop-shop for sports fans to buy a jersey, invest in an NFT, and get a bet – all from a common wallet.
“Long term, my goal for Fanatics is very simple,” Rubin said on The Bill Simmons Podcast in March. “I want billions of sports fans around the world to consider Fanatics a beloved brand and use us to do most things digitally. It’s the long term.
Rubin, co-owner of the NBA’s Philadelphia 76ers and NHL’s New Jersey Devils, has a net worth of around $8 billion, according to Forbes.
Last June, Fanatics hired outgoing FanDuel CEO Matt King, several weeks after the executive announced his departure from the latter company. King now heads the sports betting and gaming division of Fanatics.
Litany of sports betting and casino offers
In its 623-word filing, Fanatics revealed that the brand will serve as a downloadable mobile app for sports betting, online gaming and fantasy sports competitions, among other forms of entertainment.
The app, according to the filing, may contain “video clips of sports competitions”, player and game predictions through predictive analytics, and “webcam feeds” of various sporting events. From an online gaming perspective, BETFANATICS could offer a litany of casino games not limited to online poker, blackjack, solitaire, roulette, slots, bingo, keno, baccarat and craps, the company revealed.
Fanatics filed for the trademark a few weeks after reports surfaced that it had acquired the source code from Amelco which allowed it to begin the process of building a sports betting platform. Although several outlets confirmed the original report from Eilers & Krejcik Gaming, Fanatics denied having made a deal regarding the source code. There are also rumors that Fanatics is closing a major market access deal as part of its quest to develop a sports betting technology platform, a financial industry source said. Sports handle.
Last November, Fanatics narrowly missed obtaining a mobile sports betting license in New York. Since then, New York Assemblyman J. Gary Pretlow has questioned why the company – which counts Jay-Z among its board members – was not included in the deal.
Fanatics hasn’t said publicly whether it intends to launch sports betting by the start of the NFL regular season, and a Fanatics spokesperson didn’t immediately respond to a request for comment. of Sports handle tuesday.