Reports have emerged that Elon Musk’s X, formerly known as Twitter, is currently in discussions with BetMGM to incorporate sports betting into the popular social media platform. The potential partnership between the two companies is expected to involve offering BetMGM odds and direct links to the operator’s online sportsbook through the X platform.
While the financial terms of the agreement have not been disclosed, the collaboration could signal a new direction for X, which has recently experienced a decline in sales following disagreements with some left-leaning companies. The move to integrate sports betting aligns with Musk’s strategy to diversify X’s revenue streams through subscriptions and licensing deals.
On the other hand, BetMGM, a 50/50 joint venture between MGM Resorts International and UK-based Entain Plc, is the third-largest online sportsbook operator in the US. The company has both internet and retail sportsbooks in 13 states and Washington, DC, and is also a leader in online casino gaming and poker.
The timing of the potential partnership is crucial, as it comes just before the Super Bowl, presenting opportunities for user engagement on the X platform. The incorporation of sports betting could also serve as a signal to other consumer-facing companies that advertising on X is acceptable.
It remains to be seen how much of an impact X could have on BetMGM, especially as activist investors circle around Entain, prompting rumors that they may push the company to sell its stake in BetMGM to MGM. This transaction would likely be viewed favorably by the casino operator.
Overall, the potential BetMGM/X partnership holds promise for both companies, as it opens up new avenues for user engagement and revenue generation. While the details of the agreement are still to be finalized, the move represents a notable step towards integrating sports betting into mainstream social media platforms.