November 30, 2015

Shaking out the Competition

Smaller companies that run daily fantasy games are starting to exit the US market. The article is citing the crackdown by the government:

Mondogoal, a U.K. daily fantasy sports company focused on professional soccer, has pulled out of seven states so far. Founder Shergul Arshad, a Massachusetts resident, says he’s considering pulling up stakes entirely from the U.S.

Almost 90 percent of Mondogoal’s customers, he says, are outside the U.S. anyway.

I suspect a lot of this would be happening anyway, since DraftKings and FanDuel have captured most of the market in the US. The legal situation gives these other companies cover to exit without looking like they’re failing in the US.

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