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FanDuel-Boyd Gaming Sports Betting Partnership Puts Focus on Online Wagering

Robert Mann by Robert Mann
August 3, 2018
in Industry
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The spate of brand and technology alliances in the new national sports betting industry continues with the announcement late Thursday that Las Vegas-based Boyd Gaming Corporation and the FanDuel Group, the Paddy Power Betfair subsidiary, have entered into a strategic partnership to “pursue sports betting and online gaming opportunities across the United States.”

Earlier in the week, Boyd announced an alliance with MGM Resorts International that would allow the two major casino operators in Southern Nevada and now in an expanding number of regional gaming markets, to facilitate sports betting in states where one company is licensed and the other is not.

Boyd Gaming is one of the largest companies in the gaming industry and, after completion of two pending acquisitions (Valley Forge in Pennsylvania and four former Pinnacle properties), will operate 29 casinos across 10 states.

FanDuel Sportsbook Finds Another Partner in Boyd Gaming to Pursue Opportunities Across U.S. Sports Betting States

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Boyd has a rich history in the world of sports betting as owner of the Stardust on the Las Vegas Strip. Although Boyd acquired the property several years after Frank “Lefty” Rosenthal opened a plush 9,000-square foot sportsbook in 1976, the company nurtured and grew Rosenthal’s concept, turning the Stardust into the preeminent legal sports betting operation in the U.S. The Stardust was demolished in 2007 to make way for a major Boyd casino project, never completed after the 2008 economic downturn.

Malaysia-based Genting Group bought the site from Boyd, with plans to open Resorts World, a Chinese-themed resort, by 2020.

Now known as the FanDuel Group, the leading daily fantasy sports (DFS) company after DraftKings (perhaps now its full equal), the company claims eight million customers and a presence across 45 states. FanDuel, acquired by Paddy Power Betfair in early July, currently operates the new sportsbook at the Meadowlands Racetrack and will operate the sportsbook operation at The Greenbrier Resort in West Virginia when that state rolls out sports wagering, expected in the next few weeks.

Establishing an Online Presence.

The Boyd/FanDuel agreement, subject to state law and regulatory approvals, would quickly allow Boyd to establish a presence in the online gaming and the national sports wagering industry by gaining access to FanDuel Group’s technology and related services to operate Boyd Gaming-branded mobile and online sports betting and gaming services.  FanDuel Group would operate mobile and online sports betting and gaming services under the FanDuel brand in the states where Boyd Gaming is licensed.

Said Keith Smith,president and chief executive officer of Boyd Gaming:

Through this partnership, Boyd Gaming and FanDuel Group will be in excellent position to successfully capitalize as sports betting and online gaming expand across the country. By joining forces with FanDuel’s nationally known brand, as well as their considerable technical expertise and resources, we will be positioned to build market-leading sports betting and online gaming operations in each state as they move forward with these new forms of entertainment. We will also see immediate benefits from our cross-marketing agreement with FanDuel, introducing millions of FanDuel customers to Boyd Gaming’s properties nationwide.

Matt King, chief executive officer of FanDuel Group said, “There is incredible momentum in the sports betting space and we look forward to partnering with Boyd Gaming to bring the FanDuel Sportsbook to more customers across the United States.”

The agreement will cover all states where Boyd Gaming holds gaming licenses currently and in the future, excluding Nevada. It also covers states included under Boyd Gaming’s market-access agreement with MGM Resorts International.  Upon completion of Boyd Gaming’s pending acquisitions of the four Pinnacle properties and Valley Forge, Boyd Gaming says it will have regulated operations in 15 states, representing more than 36 percent of the U.S. population.

FanDuel Group says it will market Boyd Gaming properties through its existing daily fantasy sports service and future interactive sports betting and gaming services, while Boyd Gaming will promote FanDuel’s products to its customer base.  FanDuel Group will also provide Boyd Gaming customers access to its existing product line.

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Robert Mann

Robert Mann

Sports Handle contributor Robert Mann has a Northwestern journalism degree and is a former reporter for the Chicago Tribune and National Enquirer. He has worked in news management for CNN and several TV stations and is a 31-year resident of Las Vegas.

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