Gannett, publisher of USA Today and more than 100 daily newspapers in the U.S., landed a deal with a major sports betting company.
The five-year, $100-million agreement with Tipico USA Technology is a first-of-its-kind deal for a major U.S. newspaper publisher. It reportedly includes $90 million in media spend, with Tipico providing sports betting content throughout the USA Today Network.
In May, Gannett recorded a decline in first-quarter revenue but its digital subscription business is growing.
Ark Invest estimates the U.S. sports betting market will hit $37 billion by 2025 — a significant increase from the current $9.5 billion figure.
- Eleven states have passed the $1 billion wager mark.
- In the first three months of 2021, sports betting revenue reached $961.1 million, according to the American Gaming Association.
The sports audience for Gannett is already established. The network has a footprint in 46 states with roughly 200 sports websites after being acquired by GateHouse Media in a $1.38 billion deal two years ago.
Tipico’s foray into the newspaper industry isn’t the first time a betting company has teamed up with a media outlet. The Associated Press, Barstool Sports, CBS Sports, and ESPN have all partnered with sports betting companies.
Technavio expects the global sports betting market to grow by $134 billion from 2020 to 2024.
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