Disney CEO: Company Won’t Be ‘Getting Involved In The Business Of Gambling’ Soon

The chairman of The Walt Disney Company does not see his company — which owns ESPN — getting into ‘facilitating gambling' any time soon.

That came from Disney chairman and CEO Bob Iger in fielding a question about sports betting in Disney's most recent earnings call.

What Disney said on sports betting

Here is what Iger said in response to Disney's aspirations on sports gambling in the call:

 I don't see The Walt Disney Company, certainly in the near term, getting involved in the business of gambling, in effect, by facilitating gambling in any way.

I do think that there's plenty of room, and ESPN has done some of this already and they may do more to provide information in coverage of sports, as a for instance, that would be relevant to and of particular interest to gambling and not be shy about it, basically being fairly overt about it. But getting into the business of gambling, I rather doubt it.

Historical Context of Disney and ESPN in Gambling

In the past, ESPN explored various aspects of the gambling industry subtly. ESPN, with its large footprint in sports media, flirted with fantasy sports and related advertising.

Notably, years ago, ESPN considered a stake in DraftKings but settled on a significant advertising partnership instead. This move showed a cautious approach to gambling, ensuring compliance with its brand image. Such engagements indicate how the network has navigated industry shifts without directly entering gambling.

The comments come after a decent amount of rumors that ESPN had been poking around in aspects of the sports gambling business.

Not ‘facilitating' sports gambling?

Clearly, ESPN and Disney will continue to try to capture eyeballs with sports betting-related content. Sports gambling is already a part of ESPN's coverage on its website, and it comes up in TV productions in passing.

But what is the line in the sand past which ESPN won't cross? ESPN at one point considered investing in DraftKings, back when it was only a daily fantasy sports site, only to instead opt for an advertising deal of $250 million. (That exclusive deal ended soon after it began.)

“Facilitating gambling” is a pretty wide net, so what does it mean?

• It seems pretty obvious that means Disney/ESPN is not getting into the bookmaking business by acquiring an existing bookmaker or developing one itself.
• More gambling in existing shows and perhaps shows focusing entirely on gambling is likely in the mix. Fox Sports was an early adopter with its show “Lock It In” on FS1, and Turner Broadcasting just announced a deal with Caesars Entertainment for a gambling partnership via Bleacher Report.
• Advertising and sending traffic to sportsbooks would seem not to be OK under Iger, as ESPN has served sports betting advertisements in recent months to New Jersey residents. More of that type of revenue could be on the table as sports gambling expands in the US.

Developments in Sports Betting Legislation

Recent changes in U.S. sports betting law have created new opportunities and challenges. More than 30 states have now legalized sports betting in various forms, following the Supreme Court's decision to overturn the federal ban in 2018.

This expansion fuels speculation on media companies' roles, as betting becomes mainstream. The shifting landscape continues to entice companies looking for new revenue streams.

In any event, it doesn't seem like we'll be seeing an ESPN Sportsbook any time soon.

Competitors' Involvement in Sports Gambling

Networks such as CBS and NBC have partnered with major sportsbooks to incorporate gambling into programming. CBS, for instance, signed a deal with William Hill, integrating betting insights into broadcasts.

NBC, via partnerships with PointsBet, offers betting content across its platforms. These moves spotlight varying strategies media companies adopt, weighing audience engagement against brand values. As they delve into gambling content, Disney's cautious stance remains notable.

The post Disney CEO: Company Won't Be ‘Getting Involved In The Business Of Gambling' Soon appeared first on Legal Sports Report.

Original source: https://www.legalsportsreport.com/28939/disney-ceo-talks-sports-betting/

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