The National Football League selects…Genius Sports.
After a months-long bidding process and finalizing more than $100 billion in media deals, the NFL chose Genius Sports as its lone gatekeeper of the league’s official data and will include an equity stake, knocking out its current deal with Sportradar.
If the contract with Genius extends for more than four years, it could be valued at $1 billion, per CNBC.
The London-based firm will now broaden its reach in the States. It has the opportunity to monetize from the NFL by distributing play-by-play stats and sports-betting data feeds to both domestic and international media companies and firms.
While exact terms of the deal were not disclosed, a few numbers indicate how the $1 billion might be reached.
- Sportradar won the NHL’s gambling rights in August. For the 10-year contract, numbers total $25 million per year.
- Last month, CNBC reported the NFL sought $100 million per year for its data rights.
- A source told CNBC that the contract is a four-year cash deal and “equity agreement with options.” The stake is likely less than 5%, per Sportico.
Genius will provide the league with its integrity services to monitor betting, as well. NFL teams were recently given permission to sign sportsbook partnerships — a first for the league.
A 2019 study revealed that 41% of first-time bettors put money on the NFL. A 2018 report by The American Gaming Association said that with a robust legal U.S. market, the NFL’s annual revenue could increase by $2.3 billion each year.
Genius went public via a SPAC last October and is valued at $1.5 billion.