After Deal With UNLV, Could A DraftKings Sportsbook In Nevada Be In The Cards?

Finally, DraftKings is making its way to Nevada. Sort of.

DraftKings declared last week that they have entered into a multi-year contract to be a principal sponsor of the Center for Gaming Innovation at UNLV.

Collaborating with gaming corporations is not a novel concept for UNLV. The university already has many other sponsorships with gaming firms and casino operators owning properties across Nevada. Rush Street Gaming is the only other UNLV sponsor that does not operate within Nevada.

Although DraftKings is not currently licensed to run its sportsbook or daily fantasy sports site in Nevada, this agreement could be an indication of future developments.

DraftKings Gaming Innovation Studio

The agreement entails the launch of the new DraftKings Gaming Innovation Studio at UNLV. This gives DraftKings the advantage of sourcing local talent from the university and enhances the company’s connection with the Las Vegas community.

“Working with the University of Nevada, Las Vegas and its well-respected International Gaming Institute to innovate global online gaming is an exciting opportunity for us,” said Paul Liberman, DraftKings’ co-founder and COO.

This agreement positions DraftKings and UNLV at the forefront of the next wave of technological development in the global gaming industry. Not only does it provide DraftKings with access to the newest ideas from the Gaming Innovation Studio, but it also strengthens our ties with the Las Vegas community.

Collaborating with UNLV brings DraftKings nearer to the Las Vegas market.

DraftKings expands in Las Vegas

Despite not operating in Nevada, DraftKings is expanding its presence in the state. The company opened a 300-person office in Las Vegas in January 2020. Through a partnership with UNLV, DraftKings will have direct access to young local talent and university innovations.

This deal isn’t solely about gaining access to potential future employees or new technology. It also has a marketing aspect.

Those visiting UNLV will notice new signage for the DraftKings Gaming Innovation Studio and DraftKings branding across the Stan Fulton Building.

DraftKings adds UNLV to its extensive list of partners.

• Boyd Gaming
• Caesars Entertainment
• Dotty’s
• IGT
• Konami
• The Venetian and The Palazzo (Las Vegas Sands)
• MGM Resorts
• Mohegan Sun, recently granted a license to manage the casino at Virgin.
• Penn National Gaming
• Resorts World
• Scientific Games
• Station Casinos
• Wynn Resorts

Will DraftKings open a Nevada sportsbook?

This UNLV deal represents the most recent development in Nevada’s constantly evolving sports betting scene, potentially indicating DraftKings’ entry into the Silver State.

DraftKings entered into a multi-year, multi-state contract with Caesars Entertainment last year. However, this doesn’t guarantee DraftKings a smooth transition to operations in Nevada. The situation for Caesars is now different.

Since merging with Eldorado Resorts, Caesars has transformed into a new version of Caesars Entertainment. Eldorado had a partial ownership stake in sportsbook operator William Hill. After the merger, the revamped Caesars Entertainment acquired the remaining stake in William Hill.

The Nevada Gaming Control Board has approved Caesars Sportsbooks by William Hill as the official operator for the company. Shortly thereafter, William Hill was granted approval to acquire and operate the assets of CG Technology sportsbooks.

What does this have to do with DraftKings?

Meanwhile, DraftKings has remained silent about its deal and potential future partnerships. The company does not appear to be in a hurry to establish its presence in Nevada. Primarily, it operates online and mobile sports betting in other areas and relies largely on remote account registration, a service that is currently not available in Nevada.

The Nevada Gaming Control Board had planned a workshop this week to consider permitting mobile sportsbook registration. However, that session has been canceled, with plans to reschedule it at a future date.

DraftKings may consider seeking another partner in Nevada. Theoretically, the company could negotiate a fresh agreement with Resorts World Las Vegas, which is still set to open in summer 2021.

Likewise, the company could anticipate a new operator’s entry into Las Vegas. For instance, Hard Rock International could be the next casino operator venturing into the Las Vegas market.

The announcement timing from DraftKings could be coincidental, or it might be an indicator of future events.