Fox Buys £3.4 Billion FanDuel Stake
Fox Corporation is making a significant play in the growing world of sports betting, confirming plans to acquire a substantial 19% stake in online sportsbook leader FanDuel.
The move is valued at approximately £3.4 billion ($4.3 billion), and will strengthen Fox’s position in the sports betting industry. As more States draft legislation to accommodate online gambling, the sector is blowing up in North America right now. .
Fox CEO Lachlan Murdoch officially announced the company’s decision to exercise its option to buy the stake, marking a strategic investment in the online betting space. FanDuel, which is already a dominant player with nearly 40% of the US sports betting market share, represents a prime opportunity for Fox to bolster its own growth. FanDuel’s parent company, Flutter Entertainment, has been keen on expanding its reach in the US market, and this investment from Fox strengthens the relationship between the two firms.
Fox’s venture into sports betting is not entirely new. The company launched its own betting platform, Fox Bet, in 2019, though it has struggled to match the success of competitors like FanDuel and DraftKings. With this latest acquisition, however, Fox is moving from a position of collaboration into a more direct ownership role within the betting ecosystem.
The decision comes at a time when sports betting is becoming increasingly intertwined with media companies. Traditional broadcasters are seeing significant opportunities in the gambling space, especially as sports fans look for more interactive ways to engage with live events. By securing a stake in FanDuel, Fox can leverage its extensive sports coverage and broadcasting rights to create a more integrated betting experience for its viewers.
Murdoch has expressed that this deal is crucial for Fox’s long-term strategy, as the company aims to diversify its offerings beyond traditional media. FanDuel’s continued growth is expected to play a key role in Fox’s future, especially as the platform continues to innovate with in-game betting, live odds, and promotions tied to major sports events.
For Flutter Entertainment, Fox’s stake acquisition is a validation of FanDuel’s market leadership. The deal not only cements FanDuel’s position as the top sportsbook in the US but also enhances Flutter’s broader ambitions to dominate globally.
With the sports betting industry expected to grow even further, Fox’s acquisition of a stake in FanDuel marks a pivotal moment in the ongoing convergence of media and gambling, reinforcing the critical role betting now plays in the broader entertainment landscape.
