ESPN hopes to realize $3 billion in revenue over the next several years by licensing its brand to sports-betting companies, according to Wall Street Journal sources.
The sports media brand has been in talks with major wagering players including Caesars Entertainment, DraftKings and DKNG, although it remains to be seen whether any deals will pan out, WSJ reports.
ESPN already has marketing partnerships with DraftKings and DKNG, has partnerships that integrate odds and betting-related content in some of its programming, and offers “Daily Wager” and other telecasts and podcasts dedicated to gambling.
But brand licensing deals would allow ESPN management to realize a goal of earning a greater share of sports betting business revenue without direct involvement in taking bets and making payouts, points out the report.
Sports betting is projected to generate $4 billion in the U.S. this year.