DraftKings is reportedly thinking about selling the Vegas Sports Information Network (VSiN), a sports betting radio network it bought for $70 million in March 2021. Eilers & Krejcik Gaming (EKG) mentioned that DraftKings may be close to selling VSiN for a fraction of the price it paid, similar to how Penn Entertainment sold Barstool Sports to Dave Portnoy for just $1 last year.
VSiN was established in 2017 by Brent Musburger, a veteran broadcaster. The radio network produces 18 hours of sports wagering coverage per day and has a 24/7 stream. VSiN’s content is available on various platforms, including iHeartRadio, TuneIn, linear television, and streaming services like fuboTV and Sling TV.
The potential sale of VSiN by DraftKings highlights the challenges that gaming companies face in making profits from media deals. When DraftKings acquired VSiN in 2021, it was seen as a significant investment. However, the relationship between media and sports wagering companies has not generated the expected revenue, as evidenced by Penn’s sale of Barstool for a minimal amount.
If DraftKings sells VSiN, the radio network may undergo changes in its marketing relationships. Despite most VSiN shows being broadcast from Las Vegas, on-air talent often refer to DraftKings odds, even though the operator does not offer betting in the state. If VSiN is sold, it may partner with a new odds provider, such as Circa, due to its brand recognition in the betting community.
VSiN is recognized as the first sports media company dedicated to providing news, analysis, and data to sports bettors, contributing to the multibillion-dollar sports betting industry. DraftKings, based in Boston, also owns Meadowlark Media.
The potential sale of VSiN by DraftKings could have implications for the sports betting and media industries, as companies continue to navigate the challenges of monetizing such partnerships. The outcome of this rumored deal will be closely watched by industry observers to see how it may impact the future landscape of sports wagering and media integration.
