NBA, MGM, Las Vegas discussed on Behind the Bets

Behind the Bets
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Automatic TRANSCRIPT

Let's NBA pick out of all the potential partners go first and land that pick it also set up a market created a market for the NBA's product in terms of their data. And their logos and their monikers this direct data feed that they offering. So before that in none of the states wanted to pay for any of that stuff. So there really wasn't a market now there is a market. So the other sportsbook operators will have to say, okay, this is what they gave 'em GM for this much money is that worth it to us. So I think is probably a win win on both sides of it, but maybe not the greatest scale simply a lot to unpack there. I think what is fascinating, you know, especially from a sports perspective, right? Like we always have these wide receivers and people signing resetting the market. There is no market. This is now the market three years, twenty five million dollars for this data as you said video and the video's reporting. Because if you're a better, you don't really know things that you see video on your betting app kinda like indirectly. Validates. I agree. Purdham I guess I'd say two things. You know, we don't really. We know where the market is going. 'cause obviously the market is what someone will pay for it, and that's currently what the MGM has done. Do we think other sports books will follow because this is not proprietary to the MGM Caesar's tomorrow could sign a deal with the NBA for the same thing without being the quote, official gaming partner of the NBA and then how important, I guess for down the road and in game, do we think this data really is. First question, I would say that from the old school Las Vegas operator sportsbook operators that I spoke to this week after the deal there is there grumbling. They're like, why would GM do this? You know, do we have to do this now? So they are a little bit concerned about it. You would have to think that someone at sometime we'll follow suit. Maybe that will be a different state Bill or new new sportsbook operator, maybe some of the daily fantasy companies do some sort of partnership with the league's that way. The second question, how important is that day? It's very interesting question, and I don't think anybody has full grasp of the answer right now. The data that they're going to get is pretty much no different than what we get ESPN in terms of the box scores, statistics, those kind of information. The biggest value of that is the direct feed from the should be quicker in transmitting that data. So what you mentioned in game, and we start seeing a rise in popularity of betting on in game, but it's then the people that have access to the fastest data, we'll have an advantage. I question that I feel I said earlier, but it feels like it's a money grab in roundabout way from the integrity fee. I think the NBA sort of realized they were never gonna get this thing called the integrity fee because it sends the wrong message. They're saying, all right, pay us money because we do have you are value is sitting on a day next to a gaming operator and sort of helping erode the stigma of gambling we validate you. You got to pay for that because you're right. When this integrity thing came about longtime ago was like, they don't need you. They need a boxer and then monitor the box scores. I could be different with the data feed now could be different in the live wagering down the road, but this was this was a, I think, a cash grab. For twenty five million that's well cash. Grab to set the market at twenty five million from them, but from others because the gaming industry, the sports book operator, in this case, MGM needs sort of like the NBA in that regard, like the NBA will. First of all, let's take a step back. This is also getting an MBA team in Las Vegas. The MGM owns the aces they don't want the aces per se. They didn't want originally, but this is a stepping stone to a partnership ficials sponsor of summer league, and they want to build an arena that has an NBA team..

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