ESPN Announces DraftKings as Official Sportsbook, Odds Provider

• Following its partnership termination with PENN Entertainment, ESPN today announced a new agreement with DraftKings
• DraftKings will be the exclusive official sportsbook and odds provider of ESPN
• DraftKings products will be integrated across ESPN beginning December

One ESPN partnership has ended, but another is just beginning.

Less than an hour after ESPN’s announcement that it had come to a mutual agreement with PENN Entertainment to end its online sports betting partnership, ESPN announced a new sports betting agreement with DraftKings effective Dec. 1, 2025.

DraftKings will serve as the official sportsbook and odds provider for ESPN, with DraftKings products integrated across ESPN’s ecosystem beginning in December.

DraftKings Now Official Sportsbook of ESPN

Full DraftKings rollout is expected across ESPN by 2026. DraftKings will power the betting tab within the ESPN app and their customers will receive special promotions for ESPN unlimited, the company’s newly launched direct-to-consumer product.

“Our betting approach has focused on offering an integrated experience within our products,” said Jimmy Pitaro, Chairman, ESPN. “Working with DraftKings, a leader in the space, will allow us to build upon that foundation, continue to super-serve passionate sports fans and grow our ESPN direct-to-consumer business. We are excited about this new collaboration with DraftKings.”

DraftKings operates in 28 states and in Washington D.C. and Ontario, Canada, and has more than 10 million customers across its products.

According to the company, ESPN Bet will shift to a sports betting content brand with DraftKings sportsbook integrations, anchored by ESPN’s betting show, ESPN Bet Live.

“ESPN’s unmatched visibility across the world of sports make this collaboration a natural fit,” said Jason Robins, CEO and Co-Founder of DraftKings. “As an innovative leader in digital sports entertainment, DraftKings is uniquely positioned to integrate our technology and products with ESPN’s iconic brand and storytelling power. Together, we’re delivering a seamless, engaging, and responsible experience that elevates how fans connect with live sports.”

One Door Closes, Another Opens

The news of the partnership broke within an hour of ESPN and PENN Entertainment announcing a mutual decision to terminate its 10-year partnership. Under the terms of the original deal, both ESPN and PENN Entertainment had the right to terminate the agreement after its third year if specific market share performance thresholds were not met.

ESPN Bet struggled in the U.S., never reaching its goal of being a top-three platform. ESPN Bet consistently maintained a top-six spot and reported a market share of less than 5% in the U.S.

When the deal was announced in summer 2023, PENN Entertainment agreed to pay $1.5 billion to ESPN over the initial 10-year term and grant ESPN approximately $500 million of warrants to purchase 31.8 million PENN common shares. As part of the deal, PENN Entertainment included potential financial incentives for ESPN dependent on ESPN BET reaching performance thresholds for North American online sports betting market share.

ESPN Bet struggled to gain a foothold in the U.S., reporting around a 5% market share and never coming close to being a top-three operator in the country.