The owners of the Chicago Cubs have invested in a sports-gambling startup that provides users with content and analytics around sports betting.
The Action Network, based in New York, announced Thursday that it has raised $17.5 million in Series B funding. Among the backers were the owners of the Cubs, according to a news release, along with other sports ownership groups for the Philadelphia 76ers and New Jersey Devils. The round was led by Fertitta Capital.
The funding comes as sports leagues have increasingly cozied up to the gaming industry as sports betting becomes legal in more states. Last year the Supreme Court overturned a 1992 law that said sports gambling could only take place in Nevada. Today, sports betting is legal in eight states, and more than a dozen others are considering legislation that would let people legally wager on sports.
Just yesterday, Illinois Gov. J.B. Pritzker announced that he wants to legalize sports betting, as well as marijuana, to boost revenue for the state. In his first budget address, Pritzker said that legalizing sports gambling and pot, along with other measures, could bring in more than $1 billion in new revenue. Sports betting alone could net the state $200 million, Pritzker said.
The Action Network, founded in January 2018, wants to give gamblers the tools they need to win their bets. Riding the wave of legalized sports betting, the startup offers subscription-based analysis and insights from personalities like Darren Rovell, a former ESPN business reporter. The Action Network's app provides real-time betting information, as well as the ability for users to track their wagers.
"The Action Network is the benchmark for modern sports betting data, content and analytics," Patrick Keane, CEO of The Action Network, said in a statement. "... we see an incredible opportunity as we focus on securing the necessary approvals in regulated US sports betting jurisdictions as well as those around the world."
