DraftKings May Sell VSiN at a Loss, Brent Musburger emerges as Possible Buyer

A murmur has been rippling through the American sports wagering world, suggesting that DraftKings, one of the country’s leading online gambling enterprises, is mulling over the sale of its high-profile asset – the Vegas Sports Information Network (VSiN). The Las Vegas sports radio network, an esteemed forum of which Brent Musburger, a prominent sports betting promoter and the network’s founder, is an integral part, was brought under DraftKings’ wing in March 2021 for a hefty $70 million.

According to a disclosure made by Eilers & Krejcik Gaming (EKG), renowned gaming analysts, DraftKings appears to be on the brink of parting ways with VSiN, with the asking price rumored to be a pittance compared to the purchase price. Some industry insiders, drawing parallels to last year when Penn Entertainment auctioned off Barstool Sports to its founder, Dave Portnoy, for a nominal fee of just $1, suggest that such could be the fate of VSiN. EKG additionally hinted that Brent Musburger, the experienced broadcaster who laid the groundwork for VSiN in 2017, could be the most probable contender for the acquisition.

VSiN, which has a commendable coverage of 18 hours a day on sports betting, also provides a constant 24/7 stream to all its listeners. With dedicated channels on iHeartRadio and TuneIn, extended reach on various smaller radio stations nationwide, and featured slots on many streaming services like fuboTV and Sling TV, VSiN’s influence is pervasive. Most of the station’s presentations are taped from the heart of Las Vegas, at Circa Sportsbook and The D Hotel.

A noteworthy aspect is that neither DraftKings nor VSiN has publicly acknowledged the speculated transaction as of yet. However, if such a deal were to be exposed, it would highlight the challenges that gaming enterprises are facing when attempting to extract sufficient profits from their media contracts, contracts that were once considered highly promising. This could signify a pivot away from these collaborations, shifting the industry perception that “media companies don’t necessarily make good betting companies”.

Back when DraftKings procured VSiN in 2021, the $70 million purchase seemed hefty but justified. The industry conjectures at that time were that the convergence of media and sports betting corporations would ultimately generate about $30 billion in revenue, inclusive of iGaming, by the end of this decade. However, the expectations have been starkly contravened by the current scenario, strongly evidenced by cases similar to Penn’s dismissive disinvestment from Barstool – all for a meager dollar.

As an intriguing twist to the tale, Barstool had inked an advertising deal with DraftKings earlier this year.

Evolving circumstances could apply a fresh lick of paint on VSiN’s façade if DraftKings does ultimately sell it off. Although VSiN’s broadcasts are primarily relayed from the heart of gambling, Las Vegas, it’s observable how guests tend to quote DraftKings odds – even though DraftKings does not facilitate betting in the state of Nevada. Given DraftKings’ exit, VSiN might adopt a new odds provider, possibly Circa, guided by the fact that VSiN holds substantial resonance among the betting community and that Musburger is a familiar face to both bettors and fans.

VSiN, proudly the pioneering sports media enterprise committed to delivering news, insights, and exclusive data to countless Americans who wager on sports, continues to play a pivotal role in the advancement of America’s multi-billion-dollar sports betting industry.