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In its first major product agreement, sports technology company Simplebet will partner with FanDuel Group to launch a free game to offer fake bets for the 2020 National Football League season.
With Simplebet, users can bet on quick odds, e.g. B. which player makes the next catch or whether the next call is a temporary or ongoing game. Under a one-year deal, FanDuel will use the free game in its sports betting and mobile app to turn casual fans into consumers ready to wager real money.
Although the original agreement is for the free game, Simplebet would like to sign a long term contract with FanDuel to install its technology and offer real betting. Simplebet enters into further trade agreements for its micro-market technology.
Chris Bevilacqua, co-founder and CEO of Simplebet, called the agreement with FanDuel a sales and marketing agreement. The company wants to increase its brand awareness and collect data on fan engagement in order to expand its “Mikromarkt” betting platform.
The technology uses machine learning and automation to generate quick betting opportunities during a sports competition.
“It’s never been done before because no one has ever invested in the machine learning and automation required to make these types of betting possible,” Bevilacqua told CNBC.
“These are all micro-bed opportunities that are very engaging,” said Bevilacqua. “We’re turning a handful of bets and traditional bets, like over-under and outcome-based bets, where you watch the whole game, into a series of mini-games during a game,” he said.
The company wants to analyze how “users interact, collect data, view user data and how we can refine the product,” said Bevilacqua. He added that sports leagues and media companies are intrigued by Simplebet’s fan engagement data and its impact on consumption.
Simplebet launched its technology in August. Investors include co-owner of the Philadelphia 76ers, David Blitzer, Yahoo founder and co-owner of the San Francisco Giants, Jeff Mallett. The company raised $ 35 million, including a Series B in February for $ 11 million.
Bevilacqua said the company is receiving interest from new investors and is in discussions for a Series C round.
“Media companies might initially place more emphasis on fan engagement than on revenue for sports betting companies because it’s such a new category of business,” he said. “Micro-markets are brand new and we believe they will grow and accelerate pretty quickly.
“That type of betting is the way people see the game,” Bevilacqua said. “It suits the way people consume exercise – in a casual way. We believe it will be an engaging product.”
Disclosure: CNBC’s parent company Comcast and NBC Sports are investors in FanDuel.