American casino operator, Churchill Downs Incorporated, and DraftKings Inc., prominent sports betting operator, announced a long-term agreement for the provision of horse racing wagering technology services.
CDI’s vertical, TwinSpires – market leading online horse racing wagering platform in the U.S. – will provide DraftKings with advanced deposit wagering, or ADW technology. DraftKings will launch the standalone brand app, DK HORSE, a few months after signing the agreement with CDI to allow DraftKings’ customers to place wagers on horse racing through a single branded app.
DK HORSE standalone app:
During the initial launch of DK HORSE, customers will be required to sign up and deposit funds with exclusive reference to the DK HORSE app. The signup and funding procedure will be separated from the existing user account, one wallet tethered to DraftKings Sportsbook, casino, and daily fantasy sports apps.
It is expected that DK HORSE will be available in 21 states soon after the launch, as soon as all necessary approvals are obtained. Taking these procedures into account, DraftKings is scheduled to start running the application a couple of days before the 149th running of the Kentucky Derby in May 2023.
Jason Robins, CEO and Chairman of the Board of DraftKings commented: “We are excited to collaborate with Churchill Downs Incorporated, not only to give our existing customers an opportunity to engage with pari-mutuel horse wagering but also to acquire new customers efficiently during marquee horse racing moments.”
The two companies will discuss the inclusion of DK HORSE in the Kings’ portfolio at a later stage. However, one may assume that the Kentucky Derby will be the test ride for future reference.
The agreement will be performed over the long term and there will be enough room for respectable annexes and adjustments to the mutual benefit of the parties. Robins is optimistic in this regard: “Due to the structure of the agreement, we expect this new product offering to be immediately profitable.”
Long-term B2C partnership:
Under the terms of the agreement, CDI will provide DraftKings pari-mutuel betting rights to CDI’s horse racing content including the Kentucky Oaks and Kentucky Derby. CDI will also secure, on behalf of DraftKings, additional horse racing content for use on DK Horse.
Bill Carstanjen, CEO of CDI is confident: “We believe the depth and quality of our online offering through TwinSpires is unmatched in horse racing.”
Carstanjen also confirmed: “We are excited to establish this relationship with DraftKings and to deliver a full end-to-end white label ADW solution that will introduce their significant base of sports betting customers to horse racing wagering.”