NEW YORK (Reuters) - When Rupert Murdoch’s Fox Corp (FOXA.O) launches the FOX Bet sports betting platform on Monday, it will do what no other major media company has done in North America: become the face of a sports gambling platform.
FOX Bet, which launches in New Jersey, is operated through a partnership with gaming provider The Stars Group (TSG) (TSGI.TO). It lent its splashy national name brand recognition, stars, expert commentary and news to attract casual betters.
Entertainment giants from Walt Disney Co (DIS.N) to AT&T Inc’s (T.N) WarnerMedia have waded into the red hot sports betting arena, which experts project could generate $9 billion of revenue over the next few years in gambling revenue.
But most have relied on creating new shows and providing commentary and have kept an arms-length distance from actual gambling.
Big media companies are worried that crossing the line into letting its viewers place bets could damage their brands if it comes off as disreputable, experts said.
“Those are pretty heavy questions, especially for multibillion-dollar media behemoths that aren’t accustomed to turning on a dime,” said Chris Grove, a managing director at analytics firm Eilers & Krejcik Gaming LLC.
