Verizon May Be Considering US Sports Betting Market

Published Tuesday, January 23, 2018 -
Verizon May Be Considering US Sports Betting Market

Verizon Wireless is considered the biggest telecommunications wireless provider in the USA. It has been suggested that Verizon Communications Inc. is considering entering the multibillion-dollar market for sports betting, which could become legal in the the near future.  While the speculation is that the phone giant form New Jersey will decide to stay away from gambling there are those in the industry that are at least considering the venture even though it may be a big challenge.

A case that challenges the current federal prohibition on sports gambling is expected to be resolved by the U.S. Supreme Court early this year. It is obvious however that Verizon is attempting to become a more diversified media business after the recent deal to acquire Yahoo for the hefty price of $4.5 billion. Yahoo has 1.3 billion users and the Yahoo fantasy sports division has tens of millions of potential punters.   

The online sports betting market is a big carrot to ignore for such a well positioned company as Verizon.  Verizon has streaming rights to some National Football League and National Basketball Association games, which creates a potential for live sports betting during broadcasts. Recently Verizon revealed an expanded streaming deal with the National Basketball Association. A firm as large as Verizon can dominate the sports betting market by acquiring  online sports books and could easily tap into the huge sports betting potential in the USA which is forecast by analysts to be worth between $2 billion and $5.8 billion annually within five years.

There are a number of US jurisdictions that are considering enacting legal sports betting bills should the Supreme Court verify that the PASPA violates the U.S. Constitution’s protection of state’s rights. New Jersey has been spear heading the initiative which could bring lucrative legal sports betting to the state which has demonstrated success in its offering of legal online gambling.  

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