FuboTV Purchases Sportsbook: Begins Entry into Sports Betting
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FuboTV Purchases Vigtory Inc.
It was announced early Wednesday morning, January 12th, 2021, that FuboTV had completed the purchase of Vigtory Inc. This is after FuboTV announced that it would be entering the iGaming and sports betting scene on the company’s last earnings call in November.
Vigtory Inc. is a sportsbook that has yet to go live, and it has been on the radar of several of the top investment sites like MarketWatch and Yahoo Finance and is now being bought out by FuboTV. The sportsbook looks like a fantastic concept and is already using licensed material from the four major US sports leagues, NBA, MLB, NFL, and NHL. The company promises low prices, integrated live streaming, as well as the best data and analytic tools for its customers.
One of the key takeaways from Vigtory’s promises as a sportsbook was the live-streaming, as this goes hand-in-hand with the FuboTV purchase. FuboTV wants to bring a sportsbook to its live-streaming platform and seemingly create an all-in-one identity.
Market Reaction
FuboTV saw a massive increase of over 34% in its stocks on Wednesday, growing over $9 a share to finish out the day at market close at $36.48. With how bullish the market and investors seem to be when it comes to sports betting, it only makes sense. Sports betting is growing and becoming a larger and larger market. Every month it seems that a new state is launching or legalizing sports wagering.
On top of this, FuboTV may be attempting to do something never seen before: integrate the platform on which you watch sports with your sports wagering. In December, FuboTV acquired Balto, a platform built for sports contests; this would seem to be a way for FuboTV to offer nonsports betting options for the regions and places in which sports betting is not allowed. Regardless, these two moves prove that FuboTV is serious about getting into the gaming side of sports on top of its live-streaming platform.
Sports Betting Expansion
So, where exactly could FuboTV launch such a platform, one that combines live-streaming and sports betting? The answer is really unknown. This is because no one has done it, so it is unclear the regulations and rules each state will give FuboTV if it would like to launch an all-in-one application. However, it is also possible that FuboTV simply keeps the two platforms separate.
Some major states that allow online sports gambling are New Jersey, Pennsylvania, Illinois, and Colorado. However, Michigan and Virginia should both be launching in Q1 of 2021, and Maryland just legalized sports gambling in the 2020 November election. These are massive markets, and they are just the beginning.
New York seems to be on its way to mobile betting with the recent comments from Governor Cuomo that stated he wants legalized sports betting to balance the budget. Then, Ohio is on its way to legalizing with a bill that is basically at the finish line.
FuboTV is entering a growing market that could be exploding soon, and it seems that both investors and customers are excited about the future.
