SPORTS

Yahoo to Enter Daily Fantasy Sports Industry

Yahoo.com announced during their 1st quarter earnings conference call that they plan to launch a daily fantasy sports product sometime this summer — just in time for the 2015 football season. They would bring their new product to an existing fantasy sports user base of six million.

If you needed another clue that daily fantasy sports has arrived, one needs to look no further than news announced by Yahoo on Wednesday that the tech-heavyweight would be entering the daily fantasy sports (dfs) market. The announcement from Yahoo.com came during their 1st quarter earnings conference call that which they indicate they plan to launch sometime this summer — just in time for the 2015 football season, which also happens to be the peak of fantasy sports season.

Upon launch, Yahoo will figure to immediately have a huge impact on an industry that has already seen tremendous growth over the last few years. Fanduel and Draft Kings currently control a vast majority of the market share and have been landing huge funding deals of late. Companies such as Yahoo had previously shied away from the industry due to legal uncertainties, despite the industry being insulated fairly well by the 2006 carve-out in the UIGEA .

The Yahoo Potential

Yahoo’s entry into the daily fantasy sports industry, will almost certainly make them a force to be reckoned with in the competitive space almost overnight. According to Alexa.com, Yahoo are the 4th largest website in the world and are home to over 800 million monthly users, 6 million of which play already play traditional fantasy sports. Many of their dedicated and engaged fantasy sports customers have also been playing for over a decade. With its six million users, Yahoo is already one of the leaders in seasonal leagues, although ESPN reportedly passed them as number one in 2013.

Despite being limited as an advertiser for daily fantasy sports websites — now competitors — over the last few years, Yahoo has offered real money seasonal daily fantasy sports leagues recently, with buy-ins up to $250 for its football leagues.

The Yahoo Impact

Yahoo’s reach offers an unprecedented opportunity to grow the daily fantasy sports industry. Yahoo will have ability to cross-market their new product aggressively to their dedicated and engaged users of their traditional and seasonal fantasy sports product. Daily fantasy sports growth has seen exceptional over the last few years, but many of the tens of millions of fantasy sports players who play in seasonal leagues have not moved over to the daily fantasy sports game yet, which is still in a stage of relative infancy. Yahoo’s marriage with daily fantasy sports will give the industry a game changing opportunity to bring new players to the game.

What’s Next

Now comes the question of how long it will be for other fantasy sports sites, including household names such as ESPN, CBS Sports and Fox Sports, to join the daily fantasy sports bandwagon. We can be sure that these leaders will be watching very closely and that could soon be following Yahoo’s lead.

RECOMMENDED

Both Our Futures Bets Are Still Alive; Here’s How To Hedge Them

Collin Hulbert

NFL Replay: It’s Time To Stop The Silliness

Collin Hulbert

Not So Fast! Daniel Negreanu With Epic Comeback During Day 31

Craig Klinski

What’s The Latest On The Daniel Negreanu/Doug Polk Heads-Up Match?

Craig Klinski

What Happened During Michigan’s First Day Of Online Gambling Launch?

Craig Klinski

Don’t Assume You Can Play Similar Poker Hands The Same Way

Staff

Watch Now: Polk vs. Negreanu High Stakes Online Match

David Huber

The Weekend’s Top NBA Sports Betting Tips

Ian John

Five Despicable Online Casino Scams And How You Can Avoid Them

Ian John
BestBetUSA