DraftKings will officially move to its own platform and likely end its relationship with Kambi by the end of Q3 in 2021, according to press releases from the companies.
DraftKings moving on from Kambi … sometime
Kambi has agreed to help with the transition of the DraftKings platform to SBTech‘s software by Sept. 30, 2021, although the migration could happen sooner than that, according to DraftKings.
A Kambi version of the press release said the relationship would “end no earlier than 30 September 2021,” making it sound like there is a chance the deal could be extended. Legal Sports Report has reached out to the companies for clarification.
Kambi will continue to receive the same level of revenue share payments from DraftKings through the end of September 2021. That will not change no matter when DraftKings completes its migration to SBTech, according to Kambi.
Kambi said in its release that the companies will “mutually support and cooperate” on the migration.
Enter SBTech
The process of migrating to a new platform is likely not a painless one for DraftKings.
DraftKings and SBTech merged as part of a reverse merger that took place earlier this year that saw the companies combine and go public. The new company has pushed the narrative that owning its own tech stack will help set it apart from competitors in the US space.
More from DraftKings and Kambi
“Kambi has been a collaborative partner and was instrumental in DraftKings being first to market in New Jersey with our sportsbook,” Paul Liberman, DraftKings president of global technology and product, said via a press release. “We appreciate the efforts they have made, and will continue to make, in helping to ensure a smooth migration for us as we move on to our own platform.”
“Since partnering in June 2018, the Kambi-DraftKings relationship has proven to be highly rewarding for both parties, delivering first-class sports betting experiences to players across more states than any other sportsbook, and establishing Kambi and DraftKings as true leaders in their respective fields,” Kambi CEO Kristian Nylén said in a release:
The agreement we’ve announced today works to secure a strong revenue stream for Kambi for the next 15 months, while our growing and exciting portfolio of partners leaves me with no doubt that Kambi is well placed to extend its leadership position over the months and years to come.”
