NBA Announces Exclusive FanDuel Deal

The NBA just agreed to a 4-year deal with fantasy website FanDuel according to both TechCrunch and ESPN. For daily fantasy players, this means FanDuel will be the exclusive website to get your hoops fix at. Already on the NBA Fantasy site you can be linked to FanDuel and expect the association to promote it on their apps as well as their streaming ads and commercials.

Currently FanDuel offers both free and pay-to-win leagues. The prizes for these range from cash to game tickets to merchandise. Now with the association in their pockets, FanDuel and the NBA, along with money from venture groups such as Shamrock Capital Advisors and NBC Sports Ventures, will be able to reach and attract even more customers.The growth in the daily fantasy industry is on a massive rise, as FanDuel has increased by 650,000 paying players in the past three months after never before having even a third of that many in a single quarter. FanDuel claims they project to make approximately $600 million in entry fees this calendar year while handing back $540 million in prizes.

While this is new territory for the NBA as a whole, five teams had prior deals with FanDuel; the Brooklyn Nets, New York Knicks, Orlando Magic, Dallas Mavericks and Chicago Bulls. The move also includes NBA league executive Sal La Rocca as a FanDuel board member, further strengthening the ties between the two entities.

With competitor DraftKings snapping up the NHL, this deal makes sense for FanDuel. Given the massive interest and ease of use for daily fantasy leagues, it appears as though both FanDuel and DraftKings will the main entities of daily leagues going forward. With both sides throwing around millions of dollars, the money is driving even more attention to fantasy sports.

(Image credit to NBA.com)