FuboTV puts sports betting business under strategic review
Streaming platform exploring additional support to drive wagering business following tough macroeconomic conditions
FuboTV has put its sports betting arm under a strategic review just months after CEO David Gandler said the product would be one of the core drivers of the business moving forward.
The Fubo Sportsbook, which is live in Arizona and Iowa and holds market-access agreements in several other states, is set to be evaluated by the streaming firm in light of the “rapidly-evolving macro-economic environment”.
Fubo said it would no longer be able to pursue its vision of combing its live streaming and sportsbook product on its own, and was therefore looking for alternative strategies for the business.
Fubo said: “We continue to believe that an integrated wagering platform, offering both live video and a sportsbook, will result in the best viewing and gaming experience for consumers.
“However, as we have evaluated how best to scale these capabilities in today’s market, we have concluded that we will no longer pursue this opportunity on our own.
“Accordingly, our interactive wagering business is under strategic review. In light of a rapidly evolving macro-economic environment, we believe it is important to be even more capital efficient than originally scoped.
“We are taking steps to de-risk our business and have made the decision to no longer go down the wagering path independently. As a result, we’re evaluating strategic opportunities for our wagering business.”
The confirmation of a review into the division came as Fubo posted a year-on-year revenue rise in Q2 of 65% to $261.1m (££214.7m)
The decision to launch a review into the business comes after head of trading Jay Vaccaro departed in July, while Fubo Gaming COO Sam Rattner stepped down in January.
However, Gandler said he remained “bullish” on gambling and confirmed the firm was planning to go live in New Jersey ahead of the start of the NFL season.