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The First Ever Sports Gambling Roundtable

“Prohibition didn’t work and legislating the gambling habits of Americans won’t either. The pandemic creating state-to-state budget shortfalls will only speed up the process.”

Vik Chokshi

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With the gambling industry booming, there are now so many stories and topics that catch my eye. And, behind that industry news, comes the content creators and the people who cover it, all of whom have colorful and different viewpoints. So, once a month, I’m going to try to gather these various gambling and fantasy professionals to discuss relevant industry topics. This should be fun, so let the games begin.

For this column, we have Matt Perrault (MP) who is a Host of Pushing the Odds on SportsMap Radio; Mike Gill (MG), Host of The Sports Bash on 97.3 ESPN; Julian Edlow (JE) who is a DFS analyst for DraftKings and sports betting content creator for Awesemo; and last, but not least, Steve Cofield (SC), Host of Cofield and Co. on ESPN Las Vegas.

Gambling on the election in the U.S. is currently not legal, but, do you see that changing in the future? It seemed like everyone was either following the election odds or bet on the election this year, so I’d love to hear your thoughts.

Updating the latest market (betting odds) on the US election: Biden 64,  Trump 35

MP: Gambling on the US Presidential Election is one of the biggest gold mines awaiting the US sports books following the legalization of sports betting in America. Internationally, this has been a monster event every 4 years but this year, because so many new American gamblers are now in the market, the handle at the offshore sports books was truly incredible. It was widely reported that the total handle at each offshore book was equivalent to 2 Super Bowls. Going into election night, one offshore reported a handle of over $500 Million and that was before the wild betting post Trump winning Florida and Texas that swung the odds dramatically for about 3 hours. 

I have no doubt that the US Presidential Election in 2024 will be legal in at least 3 states. New Jersey, Indiana and Colorado have all shown a willingness to legalize gambling on things like table tennis and competitive eating. They are aggressive and the companies licensed in those states have European owners that understand how to book an election. 

However, Nevada is expected to be unwilling to legalize such a market. It would be a massive mistake but Nevada is getting left behind more and more every day in the sports gambling space. The companies here don’t really care about that at the moment. One day, maybe they will get aggressive again, but right now, I would say yes to the betting on the election being legal in certain states by 2024 but no to it being legal in Nevada. 

MG: I don’t think this is something we will see in the future, but would not be surprised if it does happen.  Like him or not President Trump was a polarizing figure, so I’m not sure there will ever be interest in an election again like there was in the 2020 election. However, if it was to happen, it would because of this year’s election. I do think if it were legal, a site like Prop Swap would benefit, where you could buy and sell the tickets as the odds change. Can you imagine this year, if you could go there and buy and sell tickets from say 10pm on Tuesday to 10am the following day. You see some unreal tickets change hands! 

JE: Honestly I don’t really do politics, but betting an election is obviously much different than a sporting event — especially the live lines that got so much attention on Twitter during this election. A big lead in electoral votes isn’t the same as the Falcons’ 28-3 lead over the Patriots. Ground can be much more predictably made up for an election. So I don’t think the market is even in a place where it’s ready to be legalized in the US. Sportsbooks would be leaving themselves open to huge liabilities with some of those live lines. Like everything in the gambling world, I do think it’ll become legalized. But in terms of when and where that’ll happen, I feel like we’re too far out to know (at least with my limited knowledge).

SC: I’d love to see it happen. And, that’s a lot of taxable betting dollars pouring out of the U.S. or going to illegal bookmakers. But, I don’t see it changing anytime soon. The elections are razor thin now and there’s claims of fraud now! Nevada’s count is currently being challenged. As an example, imagine if President Trump could claim that the state is altering the count because Nevada’s sports books need Joe Biden to win? 

Voters in six states on Tuesday approved a diverse bag of sports betting and gaming initiatives, including Maryland, South Dakota and Louisiana. Do you think gambling on sports will eventually be legalized in all 50 states or close to it? And, in what time frame?

MP: I do not ever see Utah or Alabama legalizing sports gambling. States that don’t have lotteries right now are not going to legalize sports gambling, in my opinion. However, I do think in the other 48 states, you will be able to bet on sports in some form. Some will offer mobile and brick and mortar. Some will just offer one or other but I do think that 48 states will be legal within the next 10 years. 

Post pandemic, sports betting is going to be an easy revenue stream for states. Look at the states surrounding Tennessee, Illinois, Iowa, Indiana, Pennsylvania and Colorado. Those states that don’t have it, will have it within 3 years because their residents are crossing states. Others states will follow soon after that. If California, Texas, or Florida legalize in the next 5 years, the entire space will change and the industry will grow leaps and bounds. 

MG: I figure at some point the revenue created will just be too much for even the most conservative states to ignore.  However, I think it could be 5-10 years before we see all 50 states on board.  Here in NJ it took years, and many thought after it got voted down back in the late 70’s, it would never be legal here, so I guess anything is possible. 

New Jersey Betting Revenue in 2018 - Bet-NJ

JE: All 50 states are a little ambitious, but it’s going to be the large majority of states and it’s going to be soon. Look where we are now. In the middle of 2018 you had to go to Vegas to legally bet sports. Two years later, and you can essentially get a legal bet in half of the states. I think within the next five years the boom continues and we get to 40 or so legal states. 

SC: Within five years, sports betting will be legal in some form or fashion in 40+ states. Prohibition didn’t work and legislating the gambling habits of Americans won’t either. The pandemic creating state-to-state budget shortfalls will only speed up the process.

Last week, DraftKings announced an exclusive, multi-year relationship with Bryson DeChambeau as the first active professional golfer to represent it. Do you see more gambling and fantasy companies doing this? Possibly a new trend, similar to what happened when poker first got famous after Chris Moneymaker won the WSOP? 

MP: I believe that in the next three years, sports marketing deals will be dominated by the sports books. Bryson is just the first of what I think will be tons of pro golfers with sponsorship deals on tour with sports books. NBA, NHL, NFL, and MLB players will soon be doing commercials like the one Jamie Foxx just did for BetMGM. Now that the leagues are in bed with the books, their athletes are going to be front and center promoting the brands. 

The difference with sports gambling compared to DFS or Poker is that sports gambling has an audience that is 5, 6, maybe 10 times the size of the other two games of skill. Chris Moneymaker made poker cool but not everyone played the game. It was illegal to bet on in certain places but some people just don’t play cards. DFS took time to learn and bring players up to speed on how you could win. Sports gambling is as well known as to how many strikes you get at the plate. 

MG: No doubt, I can see the logos all over athletes and sports that will allow it.  I think you’ll continue to see this happening. 

JE: Absolutely. It’s going to be cool to see Bryson rocking DK gear at The Masters, but I think we should’ve been able to see stuff like this coming. DK has been all over professional sports stadiums for years and worked with some really big name professional athletes. We’ve seen DraftKings sponsored uniforms in the WNBA. It’s just going to continue to grow. 

SC: There’s no doubt sportsbooks and fantasy companies will try it. To me, they’re playing a dangerous game of optics. Especially with athletes in team sports that have a money line or point spread.

The Internal Revenue Service last week doubled down on its position that daily fantasy sports entry fees are akin to sports wagers. DraftKings’ CEO Jason Robbins responded by rejecting the notion. What are your thoughts on this touchy subject?

MP: DFS has been and will always be gambling. Now, some will call DFS a game of skill. It is. So is sports gambling. So is poker.

I’m not blindly betting on a game every day. I do research. I study. I learn and then I bet. I know the odds and I try to find angles that will help me win at a 53% clip. Sports betting is really, really hard. But so is DFS and so is poker. All 3 are games of skill and all 3 are gambling. 

The reason that certain states allow DFS companies to operate in them is because those states classify DFS as NOT gambling. If a DFS company comes to Nevada where we have classified DFS as gambling, then they can’t go to other states and claim the opposite. So, for IRS purposes, it’s a big deal that DFS entries are not seen as placing a bet. I believe it totally is but I get the game they are playing with the language. 

MG: In reality, fantasy sports are a form of gambling.  It might be a longer term bet, that doesn’t depend on the outcome of a game, but money is used to enter a league and earnings are distributed, that’s gambling. 

JE: I just want to make it clear that I’m not an employee of DraftKings and my thoughts in no way reflect the company, but in over five years of worth with DK I think it’s pretty clear that DFS is a different animal than gambling.

When you’re betting on a game, you’re going against the book on a line they set. Building a fantasy lineup is completely different. Yes, there’s an entry fee that you’re risking, but I think that’s the only similarity to gambling. If you can project ownership, study matchups, depth charts, etc. you can create a path to become a good DFS player. But in order to do that, you need to try and predict what other people you’re competing against are going to do. If I’m betting a team against the spread, I don’t care what side other people are betting. I’m not trying to be different. I only care if my research says it’s the right side.

SC: He’s completely incorrect. DFS is gambling. Fantasy and sports betting are both games of skill. They’re no different. Another way to look at it? Betting on the teams is gambling, right? But betting on the players performances isn’t?

Virginia Governor Signs Fantasy Sports Bill - WSJ

Plus with several DFS scandals in the past, it’s pretty clear the industry needs real oversight on the state or federal level. 

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Jason Barrett Podcast – Dave LaGreca

Jason Barrett

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Evan Roberts, Self-Professed Sports Maniac, Thrives at WFAN

From an early age, Roberts knew that radio was the medium through which he wanted to express his fandom, especially WFAN.

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Evan Roberts made his first appearance on WFAN at just 10 years old, filling in for NBA play-by-play announcer Mike Breen delivering sports updates on Imus in the Morning. The opportunity came after he sent a letter on a whim to the station asking for a job since he enjoyed listening to the station with his father. Desiring to become a radio host was the result of dynamic career aspirations that transitioned from wanting to work as an architect to trying to become the play-by-play announcer for his favorite baseball team, the New York Mets.

“Listening to Mike and Chris, and Benigno in the overnights and Somers – I was like ‘That’s what I want to do’,” Roberts recalled. “….It couldn’t be any more specific when I’m listening to the Fan saying ‘I want to be on the Fan.’ About a decade and a half later, I was able to get it done and I’ve been there ever since.”

From an early age, Roberts knew that radio was the medium through which he wanted to express his fandom, especially WFAN. As a native New Yorker, Roberts connected with the teams in the area and sought the chance to talk about them for a living on a sports radio station with a storied history in the area.

Since 1989, WFAN has been one of the pillars of New York sports coverage and a place that helped pioneer the sports talk radio format. Getting there, though, required that Roberts had deft knowledge of sports, an ability to connect with fans, and experience that ensured he was ready for an opportunity in the number one media market in the world.

While attending school, Roberts was hosting a radio show called Kidsports on WGBB, a radio station based in Freeport, N.Y. serving Nassau County on Long Island. He then moved to Radio AAHS to host What’s Up With Evan Roberts and Nets Slammin’ Planet, the latter with famed high school basketball player Albert King and NBA insider Brandon “Scoop B” Robinson. Aside from being able to refine his hosting skills, Roberts made valuable connections in these roles including one that would help him land his first job out of high school: Danny Turner.

Before he was named the senior vice president of programming operations at XM Satellite Radio in Washington, D.C., Turner served as the engineer for Roberts’ shows on Radio AAHS. He helped to coordinate the technology associated with broadcasting since the shows were done remotely rather than from out of a studio.

“[He] ended up working at XM Radio and heard one of my tapes as it went on and said ‘I remember him. I like him,’ and then sent it to the right person and they ultimately hired me,” said Roberts. “It was my first real, real job working out of high school, and that was about meeting someone earlier on and remembering who that person was and sending as many tapes as I could.”

As a graduate of Lawrence High School, Roberts quickly made the move from Cedarhurst, N.Y. to Washington, D.C. to begin working at XM Satellite Radio, a place he would stay for the next two years. Then, he made the move down I-295 from D.C. to Baltimore, Md. where he worked at 105.7 The Fan WJFK-AM and had to adjust his sports consumption to align with the interests of those listeners. It taught him the importance of research and preparation, important aspects of working in sports media that he still utilizes to this day.

“When I was in Baltimore, I had to be Baltimore,” said Roberts. “I had to understand what makes the Orioles fan tick; what makes the Ravens fan tick. I didn’t grow up as an Orioles fan or a Ravens fan. The Ravens had won the Super Bowl years earlier. I know nothing about winning Super Bowls; I’m a Jets fan.”

At 21 years old, Roberts made the move back to “The Big Apple” when he was hired by WFAN as an overnight host, a role he stayed in for the next two-and-a-half years. Simultaneously, Roberts was working on Maxim Radio doing a night show on the Sirius Satellite Radio channel. Balancing those two roles, while it may have seemed daunting, gave Roberts the chance to broadcast in his home market and talk about the teams he grew up rooting for; the aforementioned Mets and Jets, along with the then-New Jersey Nets and New York Islanders.

Then in 2007, Roberts got his big break when he was named the midday co-host with Joe Benigno on the program Benigno & Roberts in the Midday. Benigno, who got his start on WFAN as a regular caller, had grown a rapport with listeners since joining the station in 1995, making the task for Roberts, a 23-year-old at the time, more difficult in terms of fitting in. Roberts is grateful that Benigno, a host he grew up listening to on WFAN, was accommodating and amicable towards him – plus it helped that they aligned in their rooting interests as Mets and Jets fans.

“He was very welcoming, and he didn’t have to be because I was a lot younger; he had no idea who the hell I was,” said Roberts. “….Right out of the gate, I think he saw my passion [and] my knowledge; he saw a little bit of himself in me, and we were able to bond right away.”

To make a name for himself in the new midday time slot, Roberts stuck to the principles that had been given to him from his early days of radio; that is, to be himself. From the start of his foray into sports media, Roberts and most people around him knew that he was, in his own words, “a sports maniac”, and he needed to maintain that genuine identity on the air. His relatability and passion for the teams as a fan made him an ideal fit for the station synonymous with New York City bearing those iconic call letters and an unbeatable afternoon duo.

“I think as time [went] on and Joe and I developed even more and more chemistry, the audience knew who we were,” said Roberts. “They certainly knew who he was, but they learned ‘Evan’s a die-hard Mets fan. He doesn’t miss a game.’”

While it was important for Roberts to emulate his fandom for the teams he roots for, he quickly developed a cognizance for trying to talk about other teams impartially while on the air. It is a challenge, to a degree, to maintain objectivity daily with intrinsic fandom for certain teams, but being able to understand how other fan bases feel after monumental victories or crushing defeats renders the art of appealing to the listening audience easier. It also upholds WFAN’s commitment to serve as an outlet for all New York sports fans rather than just certain cohorts of them.

“We’re trying to appeal to everybody,” said Roberts. “We want everybody listening. Not just Yankees fans; not just Mets fans; not just die-hard sports fans; not just casual fans. How do you keep every single person wanting to listen to the radio?”

When Roberts first joined the station in 2004, most New York sports teams were rebuilding aside from the Yankees. Today, the preponderance of professional teams in the New York Metropolitan area are contending or at least have the chance to appear in their league’s playoffs, something that is exciting for fans like Roberts but presents a challenge in doing effective sports radio that accurately depicts the emotions of listeners.

“I think what’s going to be a real challenge… is [when] the Mets are in the playoffs, the Yankees are in the playoffs, the Jets look competent, and the Giants look competent, and it’s a Monday,” Roberts expressed. “You’ve got four monstrous fan bases that care about their team. How the hell do you find a way to keep them all entertained?”

To express the true extent of his fandom for niche sectors of the audience, Roberts turns to another form of aural consumption: podcasts. There has been much discussion over the ability of traditional radio and podcasts to coexist in this digital age of media; however, Roberts believes that the two mediums provide a unique combination that was previously nonexistent.

In his opinion, podcasts are a method to delve deeper into topics or teams that do not garner as much time on the radio, specifically those that do not generate as large of a market share or which are not as representative of the interests of the majority of listeners.

“I do a Mets podcast specifically – I called it Rico Brogna because I loved Rico Brogna as a kid and I figured ‘Why the hell not?’”, Roberts said. “…I do an hour breaking down the Mets in a hard-core way that I’m not going to do on WFAN for an hour. I may do it for a couple of minutes. I think those two things work perfectly side-by-side.”

Still, most listeners, according to Roberts, will likely turn to terrestrial radio to get their sports fix, especially if they do not express allegiance to solely one team. 

“The majority of people are still going to turn on WFAN and say ‘Okay, entertain me. I don’t know what I want to hear. You just entertain me’,” said Roberts. “I think those two forms of entertainment can work side-by-side. That’s why we do it.”

When Mike Francesa signed off WFAN in December 2017, the station had to make changes in the afternoon drive-time slot which it did with the debut of Carlin, Maggie & Bart. The show was eventually disbanded though when Francesa ended his retirement just over four months later, returning to afternoons. His return to WFAN did not last long though, departing the station again in December 2019. Again, WFAN had to make a change in afternoons, this time moving Joe Benigno and Evan Roberts to do a 2 to 6:30 p.m. show renamed Joe & Evan.

For Roberts, the opportunity to host in the afternoon slot that he had grown up listening to Mike Francesa and Christopher “Mad Dog” Russo make famous with their program Mike and the Mad Dog was an opportunity he did not hesitate to accept. Yet the change in time also required a change in approach regarding topic selection; after all, since the show would be starting later in the day, it was more important to preview the forthcoming action than recap that of the previous day.

“Even though you’re doing the same thing because you’re the same person, you’ve got to realize the audience is thinking about things a little bit differently; they’re not always analyzing what happened last night,” said Roberts. “I always find that interesting [trying to] balance the two [and] it’s almost like a game.”

When Benigno retired from the station in November 2020, Craig Carton made his return to the New York City airwaves pairing with Roberts to form the new afternoon duo Carton & Roberts. Carton had previously been with the station hosting mornings with Boomer Esiason on Boomer and Carton from 2007 until his arrest in 2017. He served time in prison for fraud-related charges, and ultimately sought and received help for addiction related to gambling.

Since his return to WFAN, Carton has been vocal about his struggle to overcome addiction and the lessons learned from his time serving in prison, hosting a special weekend program titled Hello, My Name Is Craig to discuss these issues in-depth. On Carton and Roberts, the duo has experienced immense success, recently topping ESPN New York 98.7 FM’s The Michael Kay Show in the spring ratings book. From the onset of Carton and Roberts working together though, there was some trepidation as to whether their personalities would blend well together on sports talk radio.

“I remember the first time I was told ‘Hey, there’s a possibility of you and Craig together.’ I was like ‘What?,’” Roberts said. “My first reaction was ‘Really?’”

Now nearly two years in, Roberts enjoys working alongside Carton and learning more about his perspectives and thoughts on the radio industry. Following advice he was given from both Russo and Esiason on working with Carton, Roberts has let him take the lead and discover how the show can effectively inform and entertain its vast listening audience.

“Let’s take a step back; don’t have an ego,” Roberts recalls thinking when he started the new show. “Watch this magician figure out how this show is going to work and then lean into it. I think that’s what I did and it has worked, and I feel very comfortable, I know he feels very comfortable and we’ve got a successful thing going on now.”

Roberts views Carton as an informed talent in the radio industry, aware of the changing nature of the medium and the potential it has to serve its audience. Roberts indeed experienced success in his previous roles, most notably when working in middays with Benigno; however, he is always willing to try new things and form new approaches towards jaded industry practices and show formats.

“I know that I have a guy who I’m working with who knows the medium as well as anybody,” said Roberts. “If he has a vision on how this could work with his personality and my personality, I’m going to listen; I’m going to follow along.”

WFAN and SportsNet New York (SNY), the flagship network for the New York Mets and New York Jets, agreed last year to simulcast Carton and Roberts from 4 to 6 p.m. on weekdays. While the move, which has been made with various other WFAN programs over the years including Mike and the Mad Dog and Boomer and Gio puts the radio program on a visual medium, Roberts’ approach to the show did not change.

The thought always was that he would be doing a radio show with the curtain pulled back, giving longtime listeners the chance to see the two co-hosts during their discussions and on-air interactions.

“They’re listening to the radio, and it’s cool sometimes when you get to peek in and say, ‘Oh, look at Craig’s expressions. Look at Evan’s expressions. Look at the way they’re looking at each other. Boy, they hate each other right now,’” Roberts said. “I think it’s people looking in on a radio show, and that’s what I always try to remind myself. It’s on TV – that’s great – but we’re a radio show first, and I think a lot of people kind of like to eavesdrop on that.”

One of the challenges of doing a radio show whether or not it is simulcast is in taking calls, and various hosts and producers have differing opinions when it comes to their value on the air. Still, while the hosts, producers, and caller themselves may enjoy their interactions, it is fundamental awareness is placed on the audience that does not call in and their enjoyment of listening to a caller.

“I think when you’re talking [to] somebody, you’re not just thinking about the conversation you’re having with them,” said Roberts. “You’re thinking about the 98% of the audience that doesn’t call in and if this is entertaining or not; if this is informative or not; what are they getting out of this?…. I love callers – it’s a big part of WFAN – but as I interact with them… I think the thought that I always try to have is ‘How is everyone else listening feeling about this discussion?’”

While Carton and Roberts continues to do well in afternoon drive among the demographic of men 25-54 years old, the way the ratings are interpreted by each person and entity in radio differs. Something the Nielsen ratings do not take into account is the number of people listening to the show on-demand as a podcast or watching its simulcast on SNY. During his time with Benigno, Roberts scrutinized the numbers, looking at copious and exiguous details, similar to how he consumes professional sports.

The difference is that while it may be good to have a complete understanding of show performance, getting caught in the minutiae of ratings and trying to improve in weaker areas can sometimes be, according to Roberts, a means without an end.

“I think I realized as time went on that’s going to give you a headache and it’s not going to really help anything,” said Roberts. “I think I learned a little more that you still look at numbers but maybe with a broader view of things; not as specific. I look at [them] a lot, but sometimes it’s tough. I don’t think you want to alter a show too much based on what you think is a pattern but may not necessarily be a pattern.”

This fall, both Carton and Roberts will be starting new roles in media while continuing to host their afternoon show. Carton is going to begin hosting a new national morning show on Fox Sports 1 with a co-host yet to be determined, a move that will place him primarily on television in mornings against WFAN and CBS Sports Radio’s simulcast of Boomer & Gio. Roberts will continue to stay on WFAN, adding a new Saturday program with his former co-host Joe Benigno beginning on September 10.

“It’s like getting back on a bicycle,” Roberts said of working with Benigno. “It’s always comfortable…. It’s going to be [like] our old show – just once a week on a Saturday.”

WFAN was the sound of Evan Roberts’ childhood, and a large reason he became as invested in professional sports as he considers himself to be today. Throughout his time at the station, he has worked with various hosts and recently welcomed new program director Spike Eskin to the station. He says the contrast between Eskin and previous program director Mark Chernoff is stark – yet they are similar in where it matters most: being able to effectively lead WFAN.

“I think they both very much understand radio, and that’s the most important thing,” said Roberts. “You’re the program director of WFAN; I think you have an idea of what good radio is… [They are] both very, very intelligent radio guys that I trust, but everything else about them is probably polar opposite.”

For aspiring professionals looking to pursue a career in sports media, Roberts advises them to take advantage of the innovations in media and communications especially when it comes to podcasts. With widespread evolution and progression in technology coupled with altering consumption habits and means thereof, putting in the time allows novices to hone their skills and position themselves well in sports media. That and always being willing to learn and study to be the most prepared and informed host as possible – especially when talking to listeners, many of whom have seen teams in their ebbs and flows.

“My wife knows that I’m going to watch every pitch of the Yankees and Mets game,” said Roberts. “I may do it on DVR, and I may do it at 2 in the morning because we need to have a life; I don’t want to get divorced, and I want my kids to love me, but she also knows that I want to be as informed as anybody on the radio and that’s not going to stop.”

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Jake Paul, Betr Pair Micro-Betting With Media

There are plenty of hurdles, though, that still need to be overcome before this takes over the betting landscape.

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I’ll be completely honest: I can’t get into TikTok. I’m closing in on 40 years spent on this planet, and it’s simply not my thing. It’s not meant to be, though. The current generation is one with shorter attention spans, the kind that wants a quick highlight of a sporting event so they can shift their focus to something else. When I tell folks a decade younger than me stories about how I–and others of my age group–would sit around and watch an entire SportsCenter, they look at me like I’m crazy. Not sure how they’d look at me if I told them we used to often watch the rerun an hour later, but that’s another discussion.

It’s a big reason why micro-betting is considered the “next big thing” in sports betting. Similar to in-game betting, micro betting goes a step further and focuses on individual events within a sporting event, such as the outcome of a drive, whether a baseball player will get a hit in his upcoming at-bat, or even something such as a coin toss at the Super Bowl. A perfect example of micro-betting is the rise in popularity of betting on whether or not a run will be scored in the first inning of a baseball game. For a generation that wants a quick resolution to their bets, it makes total sense. You place a bet, you find out how it did, and then you move on–whether that’s to another bit of action or something else entirely.

Something else I can’t get into is the whole hoopla surrounding the Paul brothers. Logan and Jake Paul have built an empire for themselves on the back of YouTube, with Jake Paul having more than 70 million followers on social media. For various reasons, I’m not a fan of either individual. Again, though, they aren’t coming after my demographic. Like them or hate them, you have to respect their grind –and you have to admire their business acumen — as they parlay their notoriety and success into sports entertainment by way of boxing and the WWE, as well as a new sports drink company that has already partnered with Premier League side Arsenal. 

Monday’s announcement by Jake Paul of a new micro-betting site simply furthers the narrative and does so in a manner that can’t be ignored by those in the sports betting space. Betr, a joint venture between Paul, sports betting entrepreneur Joey Levy, and the sports betting company Simplebet, was announced yesterday morning. Backed by a $50 million investment from multiple venture capital firms, the new company is backed by ownership groups of franchises such as the Boston Celtics and San Francisco 49ers, and also has financial backing from current and former NFL players including Dez Bryant, Ezekiel Elliott, and Richard Sherman. Musician Travis Scott has also put his financial backing behind the product.

The other very interesting tidbit from the press release was the announcement of a media company that would feature, among other shows, “BS w/ Jake Paul”. Their new YouTube channel, which already has over two million subscribers despite not a single video being posted as of Monday afternoon, will feature sports-betting content from Paul and other content creators and will focus on micro betting. In an interview with Axios, Levy said that consumers can “expect 10+ videos a day from emerging content creators we’ve brought into the company,” but that things would begin with a focus on “premium content natives, starting with Jake’s show.”

Sports radio and television have long been focused on making their products more appealing to younger generations. Just take a look at ESPN, where they’ve long been doing “SportsCenter” episodes on Snapchat. This could be a game-changer, provided they can help drive micro-betting into a wider market. 

There is plenty of potential in the space, a big reason Paul was able to acquire such high amounts of funding. Just last year, JP Morgan estimated that more than $7 billion per year would be wagered on micro bets by the year 2025. And earlier this year, the CEO of Oddisum stated in an interview that micro-betting would account for the majority of wagers placed on sporting events within the next three years. Even DraftKings CEO Jason Robins has talked about plans on how his company expects to embrace the trend.

There are plenty of hurdles, though, that still need to be overcome before this takes over the betting landscape. The biggest one is the delivery of data. As we move more towards a society that streams sporting events and other digital content, the delay between real life and what shows up on your mobile phone can be the difference between placing a wager or not. For some services (I’m looking at you, Peacock) there’s often a delay of more than 90 seconds, which means the play I want to bet on is still two or three plays away from being seen with my own eyes. That makes it difficult to place a bet with any sort of confidence.

The other major obstacle will be getting their gambling service legalized. In their press release, Betr stated they will start as a “free-to-play” app in all 50 states, and eventually they will add real money gambling services as they become licensed to operate within individual states. That’s not going to be so simple, though, as gambling addiction concerns continue to rise and multiple state legislatures are already having discussions regarding the matter. 

As addictive as betting on sporting events can be, micro-betting is often exponentially more. A study last year from CQ University in Sydney, Australia indicated that micro bettors are more likely to be younger players and that they usually “have high trait impulsivity”. An author of the report also stated, “there’s a very strong link between micro betting and gambling problems”, and pointed out that the short amount of time between placing a bet and having it resolved leaves little time to evaluate performance or track one’s bankroll. 

Whether or not those things are overcome in every state possible is a discussion for another day. The fact is, micro-betting is more likely than not to become a huge growth market for sports betting companies over the next two to three years, and Paul and Levy have become the first big players to jump into the media space. It’s not a question of if, but when, others will follow them into the realm of micro betting sports content, but their announcement on Monday raises the stakes. It also reminds those of us in business, especially sports media, that while we may not fully understand the allure of what the younger generation enjoys, we ignore it at our peril. 

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