On Tuesday, DraftKings announced a new multi-year deal with Simplebet which will allow the highly successful sportsbook to provide new micro-betting opportunities to its customers. Simplebet is a self-described business-to-business “product development company using machine learning and automation to make every moment of every sporting event a betting opportunity.” With this partnership, DraftKings will now allow its customers to bet on individual outcomes such as pitches and at-bats in the MLB, first downs in the NFL, or the next basket scorer in the NBA, among other markets.
Chris Bevilacqua, Co-Founder and Chief Executive Officer of Simplebet, said “we’re thrilled to be launching our real-money micro-betting products with DraftKings. These types of offerings represent the next evolution of sports betting and deliver enhanced opportunities for operators and fans alike. We look forward to the successful roll-out and to showcasing the excitement that comes with micro-betting.”
Paul Liberman, DraftKings’ President of Global Product and Technology, said the partnership with Simplebet will change the “in-game betting experience for our customers” and the “way sports fans engage with their favorite sports.” Through the two companies’ “shared commitment to delivering innovative technology, our customers are now able to take part in this unique betting and engagement experience on the DraftKings Sportsbook.”
Founded in 2018 by Chris Bevilacqua, Joey Levy, and Scott Marshall, Simplebet’s mission is to provide sports fans instant gratification during games with micro-betting. Per the company website, Simplebet “turn[s] every moment of every sporting event into a betting opportunity.” Simplebet currently has offerings for the MLB, NFL, and NBA and is introducing the concept of micro-betting to collegiate sports for the first time with a new college football product suite. Simplebet currently has partnerships with PointsBet, the MLB’s Rally mobile application, and the NBA.
Simplebet announced a $15 million financing round earlier this year to bring its total funding to $50 million from investors including Jim Murren, the former MGM Resorts International CEO, and Joe Banner, a former NFL team executive. That funding will be used for new micro-markets and new sports and more efficient customer integrations. During the 2020 season, Simplebet tested in-play betting with FanDuel and saw over 100,000 unique users place over 8 million free-to-play bets.
DraftKings was launched in 2012 by Jason Robins, Matt Kalish, and Paul Liberman initially as simply a Daily Fantasy Sports (DFS) company. Now, DraftKings has products that range across DFS, regulated gaming, and digital media. DraftKings reported almost $300 million in Q2 revenue earlier this month, up 320% compared to the same period in 2020. DraftKings should continue to increase its revenue growth as we head towards the start of the 2021 NFL season and more states legalize sports betting.
DraftKings is now live with mobile and/or retail betting operations in 12 states including Colorado, Illinois, Indiana, Iowa, Michigan, Mississippi, New Hampshire, New Jersey, New York, Oregon, Pennsylvania, Tennessee Virginia, and West Virginia. DraftKings has gaming and DFS partnerships with several major sports leagues including the NFL, NBA, MLB, NASCAR, PGA, and UFC.
DraftKings stock (NYSE: DKNG) was up about 6% on Tuesday following the announcement of the partnership with Simplebet.