Over the last few years, the number of sports tech companies has risen dramatically. Sports tech companies assist sportsbooks, both online and retail, to optimize their potential. These tech companies do so by supplying these competitive sportsbooks with high-quality infrastructure. Many of these tech companies also help sportsbooks provide the best user experience by giving them the best odds in the market.
Some of the biggest tech companies in the world today include Genius Sports and close competitor Sportsradar. Not only do these companies provide your favorite sportsbooks with infrastructure, but they also supply the content, as well as fulfill business solutions such as providing operators with management and marketing services.
Established in 2001, Genius Sports has grown to become one of the largest and most successful sports technology companies. As such, the tech company has forged several partnerships over the last few years that have seen to its success. For instance, recently, Genius entered into a partnership with FanDuel that will see the tech company supply the sportsbook with NFL data, content, and media products, as well as trading services.
FanDuel, which is one of the biggest mobile sports betting operators in the country, will henceforth implement Genius’ NFL offering. Genius also recently signed exclusive streaming distributing deal with Pexellot, which provides AI automated solutions all over the world. Genius and Pexellot have enjoyed a long-standing relationship since 2020 where the 2 have worked on several projects including with the Argentine Football Association, the Israeli Basketball Association, as well as the Croatian Basketball Federation.
Genius also recently extended its partnership with Bet365. Bet365 was one of the first sportsbooks in the world to implement Genius’ live streaming service. With this extended partnership, Genius will provide Bet365 with an enhanced package that will include the tech company’s premium video content including from the best soccer competitions in the world.
Sportsradar, alternatively, has also worked on increasing its partnerships in the country’s sports betting market. For instance, the tech company announced not too long ago that it had entered into a multi-year partnership agreement with the NBA, as well as the WNBA. This partnership will see both leagues use Sportsradar’s technology to grow operations and generate fan engagement.
Over the course of last year, Sportradar signed data rights deals with several top leagues and governing bodies across 5 of the most-watched sports in the country. So far, Sportsradar has partnerships with the International Tennis Federation, the Union of European Football Associations, the International Cricket Council, the National Hockey League, as well as the NBA.
Sportsradar provides bookmakers with sports betting products and services through its well-known Betradar brand. Sporstradar has longstanding partnerships with several sportsbooks including Ladbrokes, Paddy Power, and Bet365. Last year, Sportsradar and PointsBet entered into an agreement that will see the tech company provide data from the NHL, NBA, MLB, and college basketball and football.
Another well-known tech company that had made its way to the American sports betting market is SBTech. Not too long ago, SBTech became the odd provider for DraftKings in Illinois. Before its partnership with SBTech, DraftKings Illinois was receiving all their odds from a similarly well-known tech company, Kambi.
What we cover
The growth of the market has been nothing short of phenomenal
Since the Supreme Court eliminated the federal prohibition on sports wagering in 2018, legalization has been happening on a state-by-state basis. So far, sports wagering is now permitted in more than 2 dozen states, even though several states still only permit in-person wagering. Although almost every state plus Washington, D.C. allow betting in one form or another, not much has changed for the iGaming market.
Full online iGaming is still restricted to a few states. At present, only 6 states in the entire country have legal iGaming. Delaware, and New Jersey, were two of the first states to legalize their online casino markets. However, Michigan, West Virginia, Connecticut, and Pennsylvania legalized their markets in the last 2 years or so.
Before the end of this year, several more states are expecting to legalize iGaming. Case in point, Indiana recently introduced 2 bills to legalize iGaming in the Hoosier State. The bills must make it through the House and Senate before reaching the governor for signing into law. Mobile and retail sports betting are available for punters in the state though.
Illinois has a thriving sports betting market- the third-largest in the country- but it still does not have legal iGaming. Presently, the state has a lot to focus on, especially with the construction of 6 new retail casinos in the state. As such, before the state can consider legalizing online casinos, all the land-based casinos that are in the planning and construction phases must be completed first.
Maryland is also expected to legalize iGaming next year as there are still numerous legislative procedures that need to be finalized. The state’s constitution requires that any expansion of commercial gaming be approved by voters first through a statewide referendum. As such, for the state to successfully expand commercial gambling thus making space for online casinos, a referendum would need to be organized before the General Assembly passes the law.
Because of this lengthy process, Maryland’s primary focus has been the growth of its lottery and retail sports betting market, which debuted last year in December. Mobile sports betting is still not a reality in Maryland but analysts predict that it could be launched later in the year.
Alternatively, legal sports betting debuted in Louisiana last year in October while mobile sports betting launched at the beginning of this year. As far as iGaming is concerned, the market is still a few months away from launching. For iGaming to debut in Louisiana, the state would also likely have to engage in a lengthy legislative process, which explains why there hasn’t been any movement on that front.
Final Thoughts
As the betting landscape in the country continues to grow at an exponential rate, the competition among sports tech companies will only intensify. For these tech companies to establish themselves as the unrivaled market leaders, they must continue to innovate and provide better customer experiences overall.
