Jay-Z, Fanatics Looking to Team up for New York Sportsbook

Online sports betting is coming to the state of New York soon, and operators are already starting to line up for a chance at a license. This state is set to attract the biggest names in the industry, and it is also attracting a huge name from the music and entertainment industry as well.

Jay-Z has gotten involved with Fanatics Betting & Gaming, and he will reportedly serve as vice chairman of the relatively new company. Fanatics Betting & Gaming recently applied for an online sports betting license, but it’s unclear if it will be a company that is actually chosen.

The New York State Gaming Commission posted a list of all of the applications it has received, one of the companies listed. This is not one of the bigger names in this industry, but it is looking to get off to an impressive start by launching in what could be a massive market.

In order to make this application more attractive, Fanatics Betting & Gaming has partnered with Kambi as the technology partner. Kambi powers a number of sportsbooks throughout the US, and it is one of the industry leaders.

It’s still unclear what role Jay-Z will play with this new company, besides providing some creativity and marketing suggestions. Most sports betting companies are starting to partner with professional athletes or other celebrities to help provide some name recognition.

Fanatics is a name that is popular in the United States with sports fans, but it is known for selling sports apparel. This company is looking to head in another direction, and it has formed a sports betting unit.

Matt King has joined the company, and he used to be the CEO of FanDuel. The current CEO of Fanatics, Michael Rubin, is co-owner of the Philadelphia 76ers, and he has extensive knowledge in the world of sports.

Jay-Z Does Have New York Connections

Adding Jay-Z to this new business venture was a smart move by Fanatics, and they are looking to use the hip-hop star as more than just a business partner. Jay-Z has a sports agency called Roc Nation, and that group owns the Brooklyn Nets.

The Brooklyn Nets will be one of the teams that should help drive online sports betting in New York and having Jay-Z’s name attached will help give Fanatics a boost. Jay-Z is a prominent figure at NBA games in the state, and seeing his face will give Fanatics Betting & Gaming some free advertisement.

New York has been extremely slow in getting online sports betting up and running, and it’s unclear when this part of the industry will actually launch. The state has had retail sports betting since 2019, but it has not been able to see much growth since that time.

There is a one-time fee of $25 million for any company that is selected as a sports betting operator, but that is a small cost in relation to how much potential revenue could come in. Fanatics will have an uphill battle as it tries to carve out a place in the industry, but it has the pieces in place to make a mark.