TLDR MLB signed a sponsorship deal with Polymarket reportedly worth $150-300 million over three years Sportsbooks like FanDuel and DraftKings are paying extra to expand their category definitions and block prediction market rivals The NFL sports betting category is open for the first time since 2021 after FanDuel and DraftKings walked away from increased data costs The sports betting sponsorship market has shifted to a buyer’s market, with teams struggling to fill partner slots Prediction market team-level deals are expected to follow once leagues finalize their own agreements
The battle for sports sponsorship dollars is heating up between traditional sportsbooks and prediction market platforms.
MLB became the latest major sports league to sign a prediction market deal last month. The league inked a sponsorship agreement with Polymarket reportedly valued between $150 million and $300 million over three years.
The deal also included an integrity-focused agreement with the CFTC. Polymarket is now MLB’s Official Prediction Market.
FanDuel already holds the title of Official Sports Betting Partner of MLB in a co-exclusive arrangement. But the addition of prediction markets to the sponsorship mix is cutting into the value of those existing deals.
The NHL has partnerships with both Polymarket and Kalshi. Polymarket also holds deals with MLS and UFC.
Sportsbooks Scramble to Expand Their Rights
Sportsbook operators are now going back to their league and team partners to try to broaden their category definitions. The goal is to prevent prediction market platforms from encroaching further on their territory.
Eric Foote, founder and CEO of VIG Partners, confirmed that this is happening in real time. VIG Partners is a consultancy involved in these types of negotiations.
“The legal sports betting operators are going back to their teams specifically and/or league deals and trying to expand their category definition,” Foote told