FanDuel Is Playing Catch-Up on Prediction Markets
The company remains a leader in online sports betting, yet it has mostly missed the prediction markets boom led by Kalshi and Polymarket. It’s trying to change that.
A FanDuel ad at Yankee Stadium.
Photographer: New York Yankees/Getty ImagesIn the almost two decades since five entrepreneurs in Edinburgh founded daily fantasy sports platform FanDuel, the company has grown to become the leader in the US’s $17.5 billion online sports-betting market. It boasts a roughly 35% market share, according to researcher Eilers & Krejcik Gaming, operating online sportsbooks in more than two dozen states, with 4.8 million monthly players last year.
Yet when it comes to prediction markets—a new spin on wagering in which people can bet on the outcome of future events, including sports matchups—FanDuel was late to the table. Now it’s racing to catch up, hoping to snag a slice of the prediction-market pie dominated by Kalshi and Polymarket. As users flock to these newer platforms, FanDuel’s parent company, Flutter Entertainment Plc, has lost more than half its value since August, a drop of some $30 billion.