NBC and PointsBet extend betting deal by two years
PointsBet are extending their five-year sports betting deal by two years. The extension amends the initial deal terms to reduce PointsBet’s annual ad spend commitment with NBCU properties and to shift some of its ad spend obligations to more regional NBCU assets.
PointsBet has been trying to expand its U.S. presence since launching in New Jersey in 2019. It’s since launched in states including New York, Colorado, Indiana, and others.
It inked its initial five-year deal with NBC Sports, worth nearly $500 million, in 2020. The deal gave NBCU an equity stake in PointsBet and made PointsBet the exclusive sports betting partner of NBC Sports.
In addition to advertising, the agreement also gave PointsBet exclusive game day integrations across the NBC’s regional sports networks.
Moving forward, PointsBet will be required to spend roughly $58 million per year on marketing with NBCU channels, compared to the roughly $90 million per year spend that was required when the initial deal was signed in 2020. The total committed marketing spend for the remaining next five years of the deal between August 2022 and August 2027 is $294 million, per a source familiar with the deal.