Connect with us
blank

Sports Online

DraftKings CEO: ‘We Can Adjust To Be Profitable In New York’

“We want to be global one day.”

Avatar photo

Published

on

Draftkings

DraftKings CEO Jason Robbins recently spoke at a gaming summit and had some very interesting things to say on a few different topics.

New York just recently legalized sports betting in the state, and DraftKings was one of the nine sportsbook operators that received a license to operate in the state. However, the state has put a huge tax on the revenue that sportsbooks can take in. At 51%, the New York tax is far higher than any other state’s. Many question whether or not sportsbooks can turn a profit with such high taxes, but Robins did not seem concerned about that whatsoever.

“Australia is a 43% tax, and it’s one of the most profitable countries for a lot of the operators there,” Robins said. “I think that high tax rates certainly favor scale-operators because the fixed costs are buried in a lot more top-line revenue. I also think that you adjust, so we’ll run [fewer] promotions. We’ll spend less long-term on marketing.

Jason Robins said that at the start, marketing costs in New York will be high, like most states. DraftKings is operating under the assumption that the lifetime value of its customer will start to drop roughly four years after the state goes live. That means that marketing costs will go down for the company years after they first enter.

Robins also talked about DraftKings’ future in the global market. The company had talks previously to purchase sports betting giant Entain, but those talks shut down in October. He says that for the time being the company may have to focus on their market here in the U.S, with global aspirations taking a backseat.

“We want to be global one day,” Jason Robins said. “I think we would have to feel like the asset we’re getting is kind of on autopilot, and we don’t have to focus much attention, because we really do need to focus all of our attention on winning in the U.S. and Canada.”

Sign up for the BSM 8@8

The Top 8 Sports Media Stories of the Day, sent directly to your inbox, every morning at 8am ET.

Invalid email address
We promise not to spam you. You can unsubscribe at any time.

Sports Online

Pat McAfee Calls Roger Goodell ‘Bush League’ Over Touchback Proposal

“This is a bullshit commissioner move.”

Jordan Bondurant

Published

on

blank

The NFL has adopted the NCAA rules for touchbacks and fair catches on kickoffs, and former NFL special teams legend Pat McAfee isn’t a fan in the slightest of the changes.

NFL commissioner Roger Goodell lobbied team owners this week to vote again on the rule changes, which would bring the ball on any fair catch or touchback on kicking plays out to the 25 yard line.

On his show Tuesday, McAfee called the efforts by Goodell “bush league.”

“Hey Rog, come on. You’re my commissioner. You’re our commissioner,” he said Tuesday on his YouTube show. “This is a bullshit commissioner move.”

Pat pointed out that for a good majority of the time, the new rule won’t have much of a bearing on games, as most kickoffs nowadays result in a touchback. But McAfee added that there’s a good chance this is going to come back to bite the league a little bit because it eliminates an element of strategy in the game.

“But at some game where it’s gonna be windy and cold, and games are gonna matter, this is gonna happen,” he said. “And everybody watching is gonna go, ‘This is the most bullshit thing I’ve ever seen in a professional football game.'”

Part of the rationale of the decision to make the rule change is to help prevent any future litigation from former players against the NFL for long-term effects of head injuries. McAfee said it was evident that was the main reason.

“It’s all just covering your ass for future problems,” he said. “I would like to see these stats that they keep saying are so prevalent and endearing to saving lives and brains that the kickoff and the punt are the only two that it happens.”

“We can’t just make the game so f–king fake and bullshit that it kind of disrepects the league as a whole,” McAfee added. “It’s always like a protect the shield thing.”

Pat went on to say that his success as a punter and kicker has contributed to the evolution of special teams play in the NFL. He really doesn’t like the fact that the changes ultimately makes special teams less valuable to the game.

“It’s a real f–king play, though,” he said. “And there’s real strategy and there’s real things to be gained from that.”

“You’re just taking away another chess move, and I don’t understand why you would want to dumb the game down,” McAfee added.

Sign up for the BSM 8@8

The Top 8 Sports Media Stories of the Day, sent directly to your inbox, every morning at 8am ET.

Invalid email address
We promise not to spam you. You can unsubscribe at any time.
Continue Reading

Sports Online

Ian Rapoport: ‘I Would Be Surprised’ If a Thursday Night Game Gets Flexed

“I think basically is the kind of thing where, like, they want it available, but it’s only going to be used if they have literally no other choice.”

blank

Published

on

blank

Is all of the consternation and hand-wringing about flex scheduling much ado about nothing? Ian Rapoport was on with Pat McAfee Tuesday and said despite the NFL owners voting to bring flex scheduling to Thursday Night Football, it isn’t the weekly threat some are making it out to be.

“I would say this from what I know of this, I would still be surprised if any game was flexible,” the NFL Network insider said. “I would be surprised if any game was flexed because they don’t want to use it.”

Flex scheduling in Sunday Night Football is used to create the best matchups in the league’s marquee window. With the option coming to Mondays and Thursdays this season, Rapoport says the bar for justifying moving not just kickoff times, but days, is going to be high.

Thursday Night Football has the most restrictions. The league will have to announce any moves almost a month ahead of when the game actually kicks off. When McAfee pointed to the Pittsburgh Steelers’ visit to New England in Week 14 as a prime candidate to be flexed out of Thursday night, Rapoport outlined a very specific scenario where he could see it happening.

“It’s not going to be like, ‘Well, we have a little bit better game, so maybe we’ll do that,’” he said. “It’s going to be like, ‘Okay, we have Mason Rudolph starting versus Bailey Zappe. Like, no one will watch this. We have to move.’ That’s to me, that’s under the circumstances that you’d see a flex.”

Last season, the matchups for Thursday Night Football were especially bad in some weeks. Al Michaels even made reference to it on the air during games. Having flex scheduling could help to avoid that, but Rapoport says the option is about protecting Amazon in the event circumstances around a game change drastically, not simply placating critics.

“I think basically is the kind of thing where, like, they want it available, but it’s only going to be used if they have literally no other choice.”

Sign up for the BSM 8@8

The Top 8 Sports Media Stories of the Day, sent directly to your inbox, every morning at 8am ET.

Invalid email address
We promise not to spam you. You can unsubscribe at any time.
Continue Reading

Sports Online

Hall of Fame Baseball Writer Rick Hummel Dies at Age 77

“Hummel is best known for his work covering the Cardinals for the St. Louis Post-Dispatch.”

blank

Published

on

blank

Rick Hummel has passed away after a brief illness. The legendary baseball journalist was 77 years old.

Hummel is best known for his work covering the Cardinals for the St. Louis Post-Dispatch. His death comes in the first season after announcing his retirement.

Covering the team was something of a dream come true for the St. Louis native. He reported on three World Series wins and seven National League pennants. He was recognized by the National Baseball Hall of Fame in 2006.

The 2022 season was Hummel’s last of a 51-year run covering the team for the Post-Dispatch. It wasn’t the end of his career though. He went to Jupiter, FL in February to cover spring training as a free lance writer for a number of different outlets.

Rick Hummel will certainly be missed by his friends and loved ones. He will also be missed by the Cardinals community, who already mourned the loss of Mike Shannon earlier this month.

Sign up for the BSM 8@8

The Top 8 Sports Media Stories of the Day, sent directly to your inbox, every morning at 8am ET.

Invalid email address
We promise not to spam you. You can unsubscribe at any time.
Continue Reading
Advertisement

blank

Advertisement

blank

Advertisement

blank

Barrett Media Writers

Copyright © 2023 Barrett Media.