- PointsBet has announced a horse racing betting partnership for the US market with 1/ST TECHNOLOGY.
- 1/ST TECHNOLOGY will provide a ‘fully integrated white label’ advanced deposit wagering (ADW) solution to PointsBet customers across the US.
- 1/ST TECHNOLOGY is owned by North American racing powerhouse The Stronach Group.
PointsBet has announced that they’ve entered into an agreement with 1/ST TECHNOLOGY for horse racing betting in the US market. 1/ST will provide a ‘fully integrated, white-label Advance-deposit Wagering (ADW)’ horse race betting platform to PointsBet clients across the United States. Technically, the partnership is with PointsBet’s subsidiary Premier Turf Club, LLC but the end result is that a first rate horse racing product will soon be integrated into the sportsbook platform in relevant states. In addition, 1/ST will develop a PointsBet branded stand alone ADW platform in states where parimutuel wagering is legal but sports betting is not. Under the terms of the deal, PointsBet will pay 1/ST a portion of ADW. It was noted that there are no advanced payments or minimum guarantees over the five year term of the deal.
Here are some more details of the partnership from the press release announcing the deal (link to PDF file):
Under the partnership, 1/ST TECHNOLOGY will provide market leading horse racing betting products and content solutions to be fully integrated within the PointsBet sportsbook app. The partnership will also deliver a PointsBet branded stand-alone ADW offering in eligible states outside those in which the Company currently offers sports betting.
Utilising BetPTC’s licences, PointsBet will own and operate the ADW business, with the ownership of customer data remaining with PointsBet. It is anticipated that the PointsBet branded ADW solution will launch in early 2023, delivering PointsBet an online betting presence in over 30 US states, including in jurisdictions in which it does not currently offer sports betting.
Significantly, racing customers of 1/ST TECHNOLOGY’s currently operated brands,Xpressbet and 1/ST BET, will be introduced to the world of sports betting and iGaming via PointsBet products through this unique marketing partnership.
1/ST TECHNOLOGY is owned by The Stronach Group, one of the most powerful companies in the North American horse racing industry. Among many other things, they own Santa Anita Park, Gulfstream Park, Pimlico Race Course and Laurel Park Race Course.
Of course, we’ve got some quotes. Here’s PointsBet Group CEO Sam Swanell talking about the deal in terms of his company’s US strategy:
“Today marks a pivotal moment in the evolution of our US expansion strategy. Horse racing has a unique role to play alongside sports betting in the United States, and despite already generating over US$6.5 billion per annum in industry online handle, we consider it an attractive category on the cusp of further expansion on the back of the ongoing shift from brick and mortar to digital.”
“With PointsBet’s mature market Australian racing expertise, and now a strategic partner in 1/ST TECHNOLOGY that provides us with a market leading portfolio of racing products and services, we can introduce new and existing customers to a dynamic and interactive PointsBet branded horse betting experience. This will be supported through cost effective offers and marketing, along with the utilisation of our extensive US sports betting database.”
Paul Williams, Chief Executive Officer, 1/ST TECHNOLOGY, shared his view:
“1/ST TECHNOLOGY is excited to be partnering with the truly innovative team at PointsBet to bring the great sport of horse racing to a growing customer base across US markets. We are uniquely aligned on a superior product vision as well as the value that this relationship brings to our collective organizations and horse racing industry stakeholders at large.” It is estimated that United States horse racing gross revenue TAM will surpass US$3 billion by the end of 2025, with over US$2 billion (65%) being delivered through ADW1 .
Here’s the PDF of the press release announcing the partnership: