BetMGM, a collaboration between Entain and MGM Resorts, hailed the move as a “first-of-its-kind” partnership, integrating BetMGM’s odds and branding onto the social media platform in the United States.
Initially, the visible odds will focus solely on professional American football, with other major professional and college sports expected to follow suit in the coming weeks.
Adam Greenblatt, BetMGM’s chief executive, remarked, “X is the centre of the sports world’s conversation 24 hours a day, seven days a week.
Being directly accessible within that forum is an unprecedented opportunity to expand our reach to a passionate and engaged audience.”
Linda Yaccarino, X’s chief executive, echoed the sentiment, stating, “Sports never sleep on X and now with our strategic partnership with BetMGM, fans are practically in the front row.
We’re bringing sports fans on X even closer to the action so they can cheer, and now bet, on their favorite teams.”
Rumoured since last week, the partnership has been sealed just in time for the Super Bowl, anticipated to generate record-breaking betting numbers during Sunday’s game at Allegiant Stadium in Las Vegas.
The American Gaming Association (AGA) forecasts Americans will stake $23.1bn (£18.4bn/€21.5bn) on this weekend’s Super Bowl clash between the Kansas City Chiefs and the San Francisco 49ers.
With an estimated 67.8 million individuals poised to place wagers, a significant 35% increase from the previous year, the AGA projects a substantial surge in betting activity.
BetMGM has a keen eye on the betting patterns, with 28.7 million bettors, or 11% of the total, expected to utilise a licensed online sportsbook.
With X boasting a user base exceeding 500 million and a substantial engagement in sports-related content, BetMGM anticipates leveraging an efficient acquisition model to bolster its market share.
Direct linkage from X to BetMGM’s app and website suggests potential for deeper integration, potentially extending the partnership’s reach.
Whether BetMGM secures exclusive advertising access on X remains uncertain, contingent upon financial negotiations.
The deal draws parallels to ESPN Bet, arising from Penn’s $1.5bn collaboration with Disney-owned ESPN, the premier sports media brand in the US.
While ESPN Bet taps into sports, BetMGM capitalises on social media platforms.
An intriguing prospect lies in the potential for X to facilitate betting through the BetMGM app, hinting at a transformative aspect of the deal.
BetMGM disclosed revenue close to $2bn for 2023, aligning with its anticipated growth trajectory. Despite an anticipated negative EBITDA of $67m for 2023, BetMGM remains steadfast in its goal to achieve a positive EBITDA of $500m by 2026.
This growth, propelled by expansion into 28 North American markets and online ventures in regions like Puerto Rico, positions BetMGM optimistically for market enhancement, particularly with the X collaboration aimed at amplifying its market presence.