1 00:00:02,040 --> 00:00:05,680 Speaker 1: Hello, I'm Evan, Will Scott sash. Every week at this 2 00:00:05,760 --> 00:00:08,680 Speaker 1: time plus Monday's, Wednesdays and Thursdays, we explore the big 3 00:00:08,680 --> 00:00:10,720 Speaker 1: money issues in the world of sports. Let's look at 4 00:00:10,760 --> 00:00:13,800 Speaker 1: our top stories of the week. Number one Evan the 5 00:00:14,120 --> 00:00:18,640 Speaker 1: NBA no surprise heading to India they are and one 6 00:00:18,680 --> 00:00:23,800 Speaker 1: of the teams, Kings, also not a surprise. Vivek Ran, 7 00:00:23,840 --> 00:00:26,759 Speaker 1: a DV majority owner of the Kings out there. We've 8 00:00:26,760 --> 00:00:30,040 Speaker 1: seen the NBA has been obviously an early mover into China. 9 00:00:30,080 --> 00:00:31,560 Speaker 1: They were the first league to have a team there. 10 00:00:31,680 --> 00:00:34,080 Speaker 1: They've been doing stuff in India for a while now. 11 00:00:34,400 --> 00:00:36,440 Speaker 1: This seems like a natural next step for them. But 12 00:00:36,520 --> 00:00:39,560 Speaker 1: we should say ve the first Indian owner. He signed 13 00:00:39,600 --> 00:00:41,640 Speaker 1: an Indian player. What was his name, let's say how 14 00:00:41,680 --> 00:00:45,640 Speaker 1: on top of the big guy. I don't remember, but 15 00:00:45,680 --> 00:00:48,199 Speaker 1: he signed the first Indian player. We all know that 16 00:00:48,280 --> 00:00:51,600 Speaker 1: Asia is a huge growth market for all sports leagues 17 00:00:51,640 --> 00:00:54,240 Speaker 1: here in the US. They're they're looking to outsource, especially 18 00:00:54,280 --> 00:00:57,800 Speaker 1: in a world where media is scaled. It's about delivering 19 00:00:57,880 --> 00:01:00,520 Speaker 1: snippets and highlights. You don't have to necessar severally play 20 00:01:00,600 --> 00:01:03,880 Speaker 1: games there, but you do want to have an engaged 21 00:01:03,920 --> 00:01:06,759 Speaker 1: audience that watches your highlight shows, watches your shoulder programming. 22 00:01:07,160 --> 00:01:10,480 Speaker 1: Nobody does that better right now in Asia, then the NBA, 23 00:01:10,560 --> 00:01:13,800 Speaker 1: their players are stars. They sneaker companies. Take Steph Curry 24 00:01:13,800 --> 00:01:16,920 Speaker 1: and Kevin Durant or Lebron James go to Asia every 25 00:01:16,920 --> 00:01:20,320 Speaker 1: off season, huge market, treated like rock stars. We've seen that. 26 00:01:20,800 --> 00:01:23,039 Speaker 1: UM keep an eye on. By the way, one name 27 00:01:23,080 --> 00:01:26,360 Speaker 1: to remember, Mukesham Banni, the richest man in India, just 28 00:01:26,360 --> 00:01:28,319 Speaker 1: through like a hundred million dollar wedding for it for 29 00:01:28,400 --> 00:01:34,039 Speaker 1: his daughter. But Mukesham Banni also a sports fan. Do 30 00:01:34,160 --> 00:01:37,440 Speaker 1: not be surprised if moving down the ride five tenures, somehow, 31 00:01:37,520 --> 00:01:41,200 Speaker 1: some way he the NBA aligned and creates some sort 32 00:01:41,440 --> 00:01:45,240 Speaker 1: whether it's a branded league or something NBA related with 33 00:01:45,319 --> 00:01:47,720 Speaker 1: him at the help or possibly a potential investment into 34 00:01:47,760 --> 00:01:49,720 Speaker 1: a team we've saw recently. You can kind of connect 35 00:01:49,760 --> 00:01:52,360 Speaker 1: the dots. But we saw, i believe two years ago now, 36 00:01:52,680 --> 00:01:56,680 Speaker 1: the first Chinese minority investor in an NBA franchise I 37 00:01:56,720 --> 00:01:59,120 Speaker 1: believe was in Minnesota. So yeah, you can see kind 38 00:01:59,120 --> 00:02:02,040 Speaker 1: of how as the NBA's involvement within within a big 39 00:02:02,080 --> 00:02:05,160 Speaker 1: growth opportunity overseas starts up, you kind of see the 40 00:02:05,200 --> 00:02:07,280 Speaker 1: threads as they as they continue to work through next Door. 41 00:02:07,320 --> 00:02:08,960 Speaker 1: I'm just leaving it a tossing to you, just a 42 00:02:09,000 --> 00:02:11,720 Speaker 1: simple toss to you. E Sports has a public company. Yeah, 43 00:02:11,720 --> 00:02:15,320 Speaker 1: this is this is a special acquisitions group that was 44 00:02:15,360 --> 00:02:18,640 Speaker 1: originally launched by black Bridge Oil and Gas decided they 45 00:02:18,639 --> 00:02:22,040 Speaker 1: wanted to get into East Way Oil and Gas. Yeah, 46 00:02:22,080 --> 00:02:24,000 Speaker 1: and they decided they wanted to get into the sports. 47 00:02:24,040 --> 00:02:27,440 Speaker 1: They've bought both Allied E Sports, which is an E 48 00:02:27,520 --> 00:02:31,240 Speaker 1: sports entertainment company specializes in E sports venues, and World 49 00:02:31,280 --> 00:02:33,920 Speaker 1: Poker Tour, which is the group that that launched and 50 00:02:33,919 --> 00:02:36,639 Speaker 1: helped grow the business around the World Poker Tour brand. 51 00:02:36,680 --> 00:02:39,480 Speaker 1: They bought those two properties, are rolling them together into 52 00:02:39,480 --> 00:02:42,800 Speaker 1: a new public company called Allied E Sports Entertainment, and 53 00:02:42,840 --> 00:02:45,320 Speaker 1: their goal is to essentially take the poker model, you know, 54 00:02:45,400 --> 00:02:49,320 Speaker 1: the an online gaming phenomenon from a couple of decades ago, right, 55 00:02:49,480 --> 00:02:51,560 Speaker 1: and it had a similar trajectory as the sports in 56 00:02:51,600 --> 00:02:54,240 Speaker 1: its early years, to take that model and apply it 57 00:02:54,280 --> 00:02:57,080 Speaker 1: to E sports. Right. So that is both live shows, 58 00:02:57,639 --> 00:03:01,000 Speaker 1: in person events that is creating con hint, selling that 59 00:03:01,080 --> 00:03:03,880 Speaker 1: content across a number of platforms, and then launching their 60 00:03:03,919 --> 00:03:07,320 Speaker 1: own online tournament site. You know, to use the people 61 00:03:07,320 --> 00:03:09,920 Speaker 1: who are attracted to that content and then roll that 62 00:03:10,000 --> 00:03:11,680 Speaker 1: into the into the gaming. So they're trying to own 63 00:03:11,680 --> 00:03:14,880 Speaker 1: the entire ecosystem. Especially interesting now because, as you said, 64 00:03:14,880 --> 00:03:17,639 Speaker 1: it's a public company. Those investors trying to get into 65 00:03:17,680 --> 00:03:19,880 Speaker 1: e sports, and on the public side of things, they 66 00:03:19,919 --> 00:03:24,000 Speaker 1: traditionally have two options. There's your your big publishers like Activision, Blizzard, 67 00:03:24,360 --> 00:03:27,240 Speaker 1: or there's your your smaller hardware producers, you know, companies 68 00:03:27,280 --> 00:03:30,560 Speaker 1: like Razor out in Asia. This presents a new option, 69 00:03:31,040 --> 00:03:33,320 Speaker 1: a group that is publicly traded and is going after 70 00:03:33,720 --> 00:03:36,640 Speaker 1: the fans side of things and not necessarily the game 71 00:03:36,720 --> 00:03:38,640 Speaker 1: or the hardware side. I so love that. I could 72 00:03:38,640 --> 00:03:42,440 Speaker 1: absolutely shut my microphone. Scott, what do you think about that? Yes, 73 00:03:42,720 --> 00:03:46,640 Speaker 1: the Oily Gas company into sports. I love it. RSNS Chicago, 74 00:03:47,440 --> 00:03:49,520 Speaker 1: this one's gonna be fun, fun to watch see how 75 00:03:49,560 --> 00:03:51,800 Speaker 1: it works out. The Bulls, the White Sox, and the 76 00:03:51,800 --> 00:03:55,600 Speaker 1: black Hawks. They're staying with NBC Sports Chicago. They will 77 00:03:55,600 --> 00:03:58,640 Speaker 1: have equal ownership group with the RSN. Now there's a 78 00:03:58,640 --> 00:04:01,280 Speaker 1: big team in Chicago whose name I did not mention. 79 00:04:01,520 --> 00:04:03,440 Speaker 1: It's on the tip of my time right there. Yeah, 80 00:04:03,600 --> 00:04:07,440 Speaker 1: So the Cubs looks as if they're gonna partner with 81 00:04:07,480 --> 00:04:10,800 Speaker 1: Sinclair on their own rs N, I mean, the Cubs 82 00:04:10,840 --> 00:04:14,400 Speaker 1: brand is bigger, especially lately with the World Series title. 83 00:04:14,480 --> 00:04:16,640 Speaker 1: Cubs think they can go on their own. Take a 84 00:04:16,640 --> 00:04:18,720 Speaker 1: look at the Dodgers. Yes they're fully funded, but they 85 00:04:18,720 --> 00:04:23,560 Speaker 1: don't have carriage. What's the price gonna be? But interesting 86 00:04:23,600 --> 00:04:24,920 Speaker 1: to see that the Cubs have decided to go it 87 00:04:24,920 --> 00:04:26,440 Speaker 1: on their own. Let's see how these works out. Yeah, 88 00:04:26,440 --> 00:04:28,080 Speaker 1: we've been hearing rumors for a while now that the 89 00:04:28,080 --> 00:04:30,560 Speaker 1: Cubs were looking at possibly doing their own thing. As 90 00:04:30,600 --> 00:04:33,680 Speaker 1: it stands right now, the four teams plus NBC are 91 00:04:33,720 --> 00:04:37,480 Speaker 1: all owners in the NBC idea, So you know the 92 00:04:37,720 --> 00:04:39,800 Speaker 1: Cub steak is going to be diluted to the other three. 93 00:04:40,160 --> 00:04:42,400 Speaker 1: I was interested or the other four. Sorry, I was 94 00:04:42,440 --> 00:04:44,600 Speaker 1: interested in the fact that these other teams all get 95 00:04:44,640 --> 00:04:47,360 Speaker 1: equal share. I would be surprised if and I don't 96 00:04:47,400 --> 00:04:49,680 Speaker 1: even know what the breakdown would be, but I would 97 00:04:49,680 --> 00:04:53,320 Speaker 1: be surprised if the White Sox, the Bulls, and the 98 00:04:53,360 --> 00:04:57,400 Speaker 1: Blackhawks all drawn equal amount of attention and eyeballs to 99 00:04:57,520 --> 00:05:00,880 Speaker 1: the RSN. But they're all equal owners. What the Hawks 100 00:05:00,880 --> 00:05:03,080 Speaker 1: would have and you would think perhaps the hockey would 101 00:05:03,080 --> 00:05:05,440 Speaker 1: have the lower of the number of all. But I 102 00:05:05,480 --> 00:05:07,960 Speaker 1: mean it is a hardcore audience there. But what the 103 00:05:08,000 --> 00:05:12,360 Speaker 1: Cubs do not have right now is winter programming, which 104 00:05:12,400 --> 00:05:15,240 Speaker 1: is integral to R S n S. That's why you 105 00:05:15,320 --> 00:05:18,080 Speaker 1: have on let's say, Yes Network. There's a reason why 106 00:05:18,080 --> 00:05:20,600 Speaker 1: they took the Nets because that gives you winter programming 107 00:05:20,600 --> 00:05:24,240 Speaker 1: opposite the Yankees. It's good to have something else year round, 108 00:05:24,360 --> 00:05:28,760 Speaker 1: especially for pricing and advertising. You're gonna test here the 109 00:05:28,800 --> 00:05:31,799 Speaker 1: Cubs brand. The Rickets famili is testing this Cubs brand 110 00:05:32,360 --> 00:05:34,159 Speaker 1: to see how much demand and you'll probably still have 111 00:05:34,200 --> 00:05:36,240 Speaker 1: plenty of games free b over the air, by the way, 112 00:05:36,400 --> 00:05:38,720 Speaker 1: but learn from some other markets. Rs and didn't work 113 00:05:38,760 --> 00:05:41,320 Speaker 1: in Houston, that was a nightmare. It's not just started 114 00:05:41,360 --> 00:05:43,799 Speaker 1: network and it'll work. I know this is the Cubs, 115 00:05:43,880 --> 00:05:46,880 Speaker 1: I know this is Chicago. I get it. But there's 116 00:05:46,880 --> 00:05:49,839 Speaker 1: still going to be a test of the brand to 117 00:05:49,960 --> 00:05:52,960 Speaker 1: see what people are willing to pay per month for this. 118 00:05:53,200 --> 00:05:55,160 Speaker 1: RS and the Cubs historically have done kind of their 119 00:05:55,200 --> 00:05:58,280 Speaker 1: own TV thing, right. I remember growing up, Cubs games 120 00:05:58,279 --> 00:06:03,120 Speaker 1: were available in New Jersey. Yeah, channel nine nine. Yeah, 121 00:06:03,320 --> 00:06:05,960 Speaker 1: so yeah, be interested to see how how strong the 122 00:06:06,000 --> 00:06:08,320 Speaker 1: Cubs brand is when it comes to to standing up 123 00:06:08,360 --> 00:06:10,640 Speaker 1: their own RSN alone. It's time to get to this 124 00:06:10,680 --> 00:06:12,960 Speaker 1: week's interview with Patrick Keane. He is the CEO of 125 00:06:12,960 --> 00:06:15,000 Speaker 1: the Action Network. Patrick, thank you for taking a few 126 00:06:15,000 --> 00:06:17,039 Speaker 1: minutes in chatting today. Thank you for having me. What 127 00:06:17,040 --> 00:06:19,280 Speaker 1: should I be betting on today? Come on? You must 128 00:06:19,279 --> 00:06:21,359 Speaker 1: know everything that's going on with what? What should I 129 00:06:21,360 --> 00:06:23,479 Speaker 1: be looking at today? What am I betting up? And 130 00:06:23,520 --> 00:06:24,880 Speaker 1: I'm not a better by the way, so tell me 131 00:06:24,880 --> 00:06:27,200 Speaker 1: what should I be looking at? Well? Hopefully the Action 132 00:06:27,240 --> 00:06:29,120 Speaker 1: Network will be the first place that you come to 133 00:06:29,200 --> 00:06:32,080 Speaker 1: make informed decisions about how you bet. I won't specifically 134 00:06:32,120 --> 00:06:34,280 Speaker 1: tell you where you should be betting today because we 135 00:06:34,320 --> 00:06:37,480 Speaker 1: want to be an impartial advocate for the more informed better. 136 00:06:37,600 --> 00:06:40,679 Speaker 1: But Action Network dot Com and the Action Network App 137 00:06:40,839 --> 00:06:43,880 Speaker 1: is built to give you and help you make those decisions. 138 00:06:44,000 --> 00:06:46,880 Speaker 1: You said, the inform better? What about the moron? What 139 00:06:46,960 --> 00:06:50,080 Speaker 1: about me? Do you want me? Is there a place 140 00:06:50,120 --> 00:06:53,599 Speaker 1: for me as well? Just for entertainment and fun? Absolutely? 141 00:06:53,680 --> 00:06:55,159 Speaker 1: I mean we think when we look at the Action 142 00:06:55,160 --> 00:06:57,520 Speaker 1: Network as a platform, we can sort of inform what 143 00:06:57,600 --> 00:06:59,440 Speaker 1: I call the shallow into the pool, the medium end 144 00:06:59,440 --> 00:07:00,960 Speaker 1: of the pool, and the deep end of the pool. 145 00:07:01,279 --> 00:07:03,600 Speaker 1: Deep end being the person who bets like they do 146 00:07:03,680 --> 00:07:06,599 Speaker 1: as a Wall Street trader. That shallow in the pool 147 00:07:06,680 --> 00:07:09,120 Speaker 1: is someone who is new to betting and maybe has 148 00:07:09,160 --> 00:07:12,800 Speaker 1: with pasta being overturned and with legality becoming part of 149 00:07:12,800 --> 00:07:16,640 Speaker 1: the equation is trying to have edge with their friends, 150 00:07:16,880 --> 00:07:19,240 Speaker 1: or have edge with their office, or have edge with 151 00:07:19,640 --> 00:07:21,920 Speaker 1: the people they live with. I mean, it's really for 152 00:07:22,000 --> 00:07:25,000 Speaker 1: all spectrum of betters, you know, Patrick, We do take 153 00:07:25,040 --> 00:07:27,679 Speaker 1: sponsors for this very podcast, and I think my bosses 154 00:07:27,720 --> 00:07:29,679 Speaker 1: will be happy. Sounds like we have a target audience. 155 00:07:29,680 --> 00:07:34,800 Speaker 1: You might like, Hey, we'll do anything to find additional customers. 156 00:07:34,800 --> 00:07:37,480 Speaker 1: Where a subscription product. So anytime I can find someone 157 00:07:37,480 --> 00:07:39,760 Speaker 1: who's willing to pay us their harder in cash to 158 00:07:39,800 --> 00:07:41,960 Speaker 1: make better decisions of how that how they bet, is 159 00:07:42,640 --> 00:07:45,120 Speaker 1: good for me. So, Patrick. The Action Network launched in 160 00:07:45,120 --> 00:07:49,280 Speaker 1: two thousand seventeen. Obviously earlier this year a pretty monumental 161 00:07:49,280 --> 00:07:52,240 Speaker 1: Supreme Court decision that that allows states now to legalize 162 00:07:52,240 --> 00:07:55,280 Speaker 1: sports betting. How big a deal was that in the 163 00:07:55,360 --> 00:07:57,160 Speaker 1: office at the time. I mean, that seems like a 164 00:07:57,560 --> 00:08:01,040 Speaker 1: huge moment in Action Network history. Absolutely, it was massive 165 00:08:01,080 --> 00:08:03,240 Speaker 1: for the business. I think it's massive for the category. 166 00:08:03,320 --> 00:08:05,480 Speaker 1: But I think we would have a great business even 167 00:08:05,480 --> 00:08:07,520 Speaker 1: without that happening. I think that if you look at 168 00:08:07,560 --> 00:08:10,080 Speaker 1: the world in the US, there's ten million active better 169 00:08:10,080 --> 00:08:12,480 Speaker 1: as people that are betting a minimum of fifty dollars 170 00:08:12,480 --> 00:08:15,200 Speaker 1: a week. We think that only increases. We think there's 171 00:08:15,240 --> 00:08:18,800 Speaker 1: this big opportunity to turn fantasy fans, people that are 172 00:08:18,840 --> 00:08:21,520 Speaker 1: doing daily or weekly fantasy into betters as more and 173 00:08:21,560 --> 00:08:23,640 Speaker 1: more states get knocked down. But we would have had 174 00:08:23,680 --> 00:08:26,920 Speaker 1: a great business without the Supreme Court coming in and 175 00:08:26,960 --> 00:08:28,720 Speaker 1: making it legal and more and more states. But we 176 00:08:28,760 --> 00:08:31,280 Speaker 1: think we have a colossal business with more and more 177 00:08:31,280 --> 00:08:33,040 Speaker 1: states getting knocked out. So you guys are kind of 178 00:08:33,040 --> 00:08:36,640 Speaker 1: agnostic to whether they're gambling legally on a William Hill 179 00:08:36,679 --> 00:08:38,480 Speaker 1: app or if they're doing it on an offshore book 180 00:08:38,559 --> 00:08:41,280 Speaker 1: or just two buddies in an office, you know, laying 181 00:08:41,280 --> 00:08:43,440 Speaker 1: a bet between each other on on what's who's gonna 182 00:08:43,440 --> 00:08:45,800 Speaker 1: win tonight's ball game. I think we can inform any 183 00:08:45,840 --> 00:08:49,079 Speaker 1: of those people whether you're using offshore books today, whether 184 00:08:49,120 --> 00:08:51,319 Speaker 1: you're going to Vegas with your buddies this weekend, or 185 00:08:51,360 --> 00:08:54,160 Speaker 1: to your point, you know, thinking about the box pool 186 00:08:54,200 --> 00:08:56,600 Speaker 1: for the Super Bowl or thinking about a Thursday night 187 00:08:56,640 --> 00:08:59,160 Speaker 1: football game we we have this opportunity to sort of 188 00:08:59,520 --> 00:09:02,079 Speaker 1: a last sticklely appeal to any of those users, which 189 00:09:02,120 --> 00:09:06,360 Speaker 1: I think makes this a massively uh potentially large business. Patrick, 190 00:09:06,480 --> 00:09:09,679 Speaker 1: tell me, what is your book look like when you're 191 00:09:09,720 --> 00:09:12,600 Speaker 1: courting investors in the Churning group is an investor? What 192 00:09:12,640 --> 00:09:15,000 Speaker 1: does the book look like pre paps and you just 193 00:09:15,120 --> 00:09:17,840 Speaker 1: use the word colossal? What would that book look like 194 00:09:18,000 --> 00:09:21,480 Speaker 1: post pass? Well, when we look at opportunity for revenue, 195 00:09:21,480 --> 00:09:24,040 Speaker 1: there certainly is a subscription product which we have today, 196 00:09:24,040 --> 00:09:25,960 Speaker 1: which is which is really the sort of the tip 197 00:09:26,000 --> 00:09:27,640 Speaker 1: of the spirit, if you will, in terms of revenue. 198 00:09:27,679 --> 00:09:31,160 Speaker 1: But with pasta being overturned and with the ability to 199 00:09:31,200 --> 00:09:35,240 Speaker 1: work with operators, we have this opportunity to both drive 200 00:09:35,679 --> 00:09:39,360 Speaker 1: present users of our platform into those books and potentially 201 00:09:39,400 --> 00:09:42,680 Speaker 1: get a cost per acquisition fee for turning those uh 202 00:09:42,679 --> 00:09:45,440 Speaker 1: fans that also want to bet in those legal areas 203 00:09:45,480 --> 00:09:48,080 Speaker 1: be at William Hill, Draft Kings or fan Duel. And 204 00:09:48,400 --> 00:09:50,480 Speaker 1: we think that that's a big opportunity for the business 205 00:09:50,480 --> 00:09:52,760 Speaker 1: as well. It isn't today. We really were not in 206 00:09:52,800 --> 00:09:56,000 Speaker 1: that business. Now. I see us getting into that business eventually, 207 00:09:56,040 --> 00:09:58,040 Speaker 1: but right now we just want to build the best 208 00:09:58,240 --> 00:10:01,200 Speaker 1: media platform you know, we sort of ambitiously to give 209 00:10:01,240 --> 00:10:03,520 Speaker 1: you guys a NodD We like to think of ourselves 210 00:10:03,520 --> 00:10:06,720 Speaker 1: as the Bloomberg for sports betting, data and information. We 211 00:10:06,800 --> 00:10:10,319 Speaker 1: only charge what what are we about? Yeah, something like that. 212 00:10:10,480 --> 00:10:14,400 Speaker 1: What's your what's your pricing? So we're month very Netflix 213 00:10:14,400 --> 00:10:16,880 Speaker 1: of your very Netflix of you. Yeah, yeah, you know 214 00:10:16,880 --> 00:10:19,560 Speaker 1: you gotta be under that number. Uh uh, you know, 215 00:10:19,760 --> 00:10:21,760 Speaker 1: it's funny. I mean, it's a very different product obviously 216 00:10:21,840 --> 00:10:24,280 Speaker 1: than the Netflix or a Spotify, but I think there's 217 00:10:24,360 --> 00:10:26,640 Speaker 1: you know, consumer psychology about how they think about what 218 00:10:26,679 --> 00:10:28,520 Speaker 1: they're gonna willing to pay for for a month. I 219 00:10:28,559 --> 00:10:30,480 Speaker 1: have said, wait, Patrick, I have said many times on 220 00:10:30,520 --> 00:10:33,360 Speaker 1: this show. I was I'm always wondering what sort of 221 00:10:33,360 --> 00:10:37,520 Speaker 1: psychological analysis went into like read Hastings pricing, because there's 222 00:10:37,559 --> 00:10:40,040 Speaker 1: got to be something to the number where I, oh, 223 00:10:40,120 --> 00:10:42,240 Speaker 1: I didn't use it this month, but it's on my 224 00:10:42,280 --> 00:10:44,959 Speaker 1: credit card now I'll let it ride. Did you do that? 225 00:10:45,080 --> 00:10:48,000 Speaker 1: What was there real study into what the proper price 226 00:10:48,080 --> 00:10:50,920 Speaker 1: point was? Absolutely? And the thing that's really unique about 227 00:10:50,960 --> 00:10:53,760 Speaker 1: the Internet or the web or mobile is it's the 228 00:10:53,800 --> 00:10:57,719 Speaker 1: world's largest laboratory. You're able to see almost nearly instantly 229 00:10:57,880 --> 00:11:01,280 Speaker 1: if offerings depending on price or the work. But there's 230 00:11:01,280 --> 00:11:04,520 Speaker 1: also sort of this in some ways an obvious consumer psychology. 231 00:11:04,559 --> 00:11:09,120 Speaker 1: There's a there's a weirdly massive difference between eight and nine, 232 00:11:09,240 --> 00:11:14,280 Speaker 1: like so massive it's almost inexplicable, even though it's two bucks. Um. 233 00:11:14,360 --> 00:11:16,920 Speaker 1: And we we really do try and think about a consumer. 234 00:11:16,960 --> 00:11:18,160 Speaker 1: You know, I'm not one to walk in here and 235 00:11:18,160 --> 00:11:20,360 Speaker 1: say we're the same price as you're gonna pay for 236 00:11:20,360 --> 00:11:22,440 Speaker 1: a beer in Midtown Manhattan during a month, you know, 237 00:11:22,760 --> 00:11:25,040 Speaker 1: or you're gonna pay for two cups of Starbucks coffee. 238 00:11:25,080 --> 00:11:28,640 Speaker 1: But that kind of thinking goes into a consumer almost 239 00:11:28,679 --> 00:11:31,040 Speaker 1: subconsciously when they make these decisions. I would think for 240 00:11:31,080 --> 00:11:34,360 Speaker 1: you guys, there's also kind of a direct return on 241 00:11:34,440 --> 00:11:36,480 Speaker 1: investment for people for the money they put in. Right 242 00:11:36,480 --> 00:11:39,240 Speaker 1: when I when I pay for Netflix, I'm paying a 243 00:11:39,320 --> 00:11:41,520 Speaker 1: sunk cost for my enjoyment and what I get out 244 00:11:41,520 --> 00:11:43,839 Speaker 1: of it. For you guys, there's kind of a direct 245 00:11:43,920 --> 00:11:46,560 Speaker 1: line I would imagine for some betters in terms of sure, 246 00:11:46,600 --> 00:11:49,920 Speaker 1: I'm paying seven for this service, but I'm making so 247 00:11:50,040 --> 00:11:52,400 Speaker 1: much more on the gambling side of things that it 248 00:11:52,440 --> 00:11:55,440 Speaker 1: pays for itself. Yeah, I mean, that's the calculus. We 249 00:11:55,440 --> 00:11:57,840 Speaker 1: hope consumers are making and hopefully their decisions are going 250 00:11:57,880 --> 00:11:59,600 Speaker 1: to be better and the hopefully you're gonna they're gonna 251 00:11:59,640 --> 00:12:02,280 Speaker 1: have more wins. But absolutely, I mean, we don't want 252 00:12:02,280 --> 00:12:04,600 Speaker 1: to be in the business of the sort of touts 253 00:12:04,640 --> 00:12:07,080 Speaker 1: that we all remember from magazines of ten years ago 254 00:12:07,160 --> 00:12:09,720 Speaker 1: or even one eight hundred numbers and things that you 255 00:12:09,760 --> 00:12:12,920 Speaker 1: see in in in really schlocky videos on the internet. 256 00:12:13,160 --> 00:12:16,480 Speaker 1: We we just want to on a daily, weekly, monthly basis, 257 00:12:16,520 --> 00:12:19,160 Speaker 1: better informed these people and not be about touts and 258 00:12:19,280 --> 00:12:21,760 Speaker 1: not be about that kind of equation. But we want 259 00:12:21,840 --> 00:12:24,800 Speaker 1: them to realize that they're making better decisions and they're winning. 260 00:12:24,920 --> 00:12:27,240 Speaker 1: You know, find your next win is one of our 261 00:12:27,280 --> 00:12:30,640 Speaker 1: sort of mantras, and we think we can very effectively 262 00:12:30,640 --> 00:12:32,520 Speaker 1: do that. You mentioned the touts. You were not going 263 00:12:32,559 --> 00:12:35,640 Speaker 1: to see John Anthony on Action Network. I don't think so. 264 00:12:35,760 --> 00:12:38,640 Speaker 1: Not today. We we want to focus on talent and 265 00:12:38,679 --> 00:12:40,560 Speaker 1: we want to bring in great people to the platform. 266 00:12:40,640 --> 00:12:43,080 Speaker 1: But touts is not our business and it never will be. 267 00:12:43,559 --> 00:12:45,520 Speaker 1: It seems like such Charlotte and that was great, but 268 00:12:45,520 --> 00:12:50,520 Speaker 1: you know, twenty five years ago, CBS lost the NFL 269 00:12:50,640 --> 00:12:54,600 Speaker 1: to Fox, and part of that CBS show was Jimmy 270 00:12:54,640 --> 00:12:58,000 Speaker 1: the Greek, and I can't fathom what took so long. 271 00:12:58,600 --> 00:13:02,120 Speaker 1: We knew forever that people loved this. What took so 272 00:13:02,200 --> 00:13:06,840 Speaker 1: long for sort of a widespread media platform aimed at 273 00:13:06,840 --> 00:13:09,760 Speaker 1: the folks who like to bet. It's a really good question. 274 00:13:09,800 --> 00:13:11,640 Speaker 1: I'm not sure the answer. When I look at sort 275 00:13:11,640 --> 00:13:15,760 Speaker 1: of Generation Z and millennials and submillennials, this is all 276 00:13:15,800 --> 00:13:17,960 Speaker 1: they think about. It's the reason they stay in the game, 277 00:13:18,040 --> 00:13:20,840 Speaker 1: it's the reason they play fantasy. They like action and 278 00:13:20,880 --> 00:13:22,560 Speaker 1: everything they do. I mean, it's funny you bring up 279 00:13:22,600 --> 00:13:25,280 Speaker 1: Jimmy the Greek. My good friend Michael Lombardi, who was 280 00:13:25,960 --> 00:13:28,679 Speaker 1: a former NFL executive, always told me when he used 281 00:13:28,679 --> 00:13:30,840 Speaker 1: to work at CBS and would walk through an airport 282 00:13:31,280 --> 00:13:34,800 Speaker 1: with the Greek, he would get attacked more than Summer All. 283 00:13:34,840 --> 00:13:36,960 Speaker 1: He would get attacked more than John Madden. It was. 284 00:13:37,240 --> 00:13:39,280 Speaker 1: It was a huge part of the equation back in 285 00:13:39,320 --> 00:13:41,520 Speaker 1: the day. And I don't know what happened psychologically in 286 00:13:41,559 --> 00:13:45,040 Speaker 1: the universe, but it's really interesting because I think there's 287 00:13:45,080 --> 00:13:47,959 Speaker 1: a massive audience and it's singularly what they care about. 288 00:13:48,120 --> 00:13:51,560 Speaker 1: We're speaking with Patrick Keane, Action Network CEO, and Patrick, 289 00:13:51,600 --> 00:13:55,520 Speaker 1: You've got a extensive career background in media board member 290 00:13:55,520 --> 00:13:58,600 Speaker 1: at bleacher Report, you're an early investor and in action network. 291 00:13:58,960 --> 00:14:01,760 Speaker 1: You worked at CBS at Google. How early did you 292 00:14:01,800 --> 00:14:04,840 Speaker 1: think about this as a potential career path for your 293 00:14:04,840 --> 00:14:08,760 Speaker 1: specifically this whole in the market for for for a 294 00:14:08,800 --> 00:14:11,320 Speaker 1: media company aimed at gamblers. Yeah, as you mentioned, I 295 00:14:11,360 --> 00:14:13,240 Speaker 1: was an investor in this product when it was really 296 00:14:13,280 --> 00:14:15,800 Speaker 1: a power point and idea because I really did believe 297 00:14:15,840 --> 00:14:19,400 Speaker 1: when I looked at my my nephews and friends and 298 00:14:19,400 --> 00:14:21,320 Speaker 1: and folks that are that are younger than me, this 299 00:14:21,360 --> 00:14:23,240 Speaker 1: is again as I mentioned, this is what they care about, 300 00:14:23,240 --> 00:14:26,080 Speaker 1: what they think about, and you know, to be mercenary 301 00:14:26,120 --> 00:14:28,600 Speaker 1: for a second, I really did believe that this could 302 00:14:28,600 --> 00:14:30,760 Speaker 1: be a billion dollar media company. I think this is 303 00:14:30,800 --> 00:14:33,560 Speaker 1: sort of the future for how people think about the games, 304 00:14:33,600 --> 00:14:36,280 Speaker 1: they care about, the sports they care about, and what 305 00:14:36,320 --> 00:14:39,320 Speaker 1: they really think about how they want to consume entertainment. 306 00:14:39,400 --> 00:14:42,000 Speaker 1: So I sort of in some way selfishly thought this 307 00:14:42,080 --> 00:14:46,040 Speaker 1: was a big opportunity for me. What's as much for 308 00:14:46,040 --> 00:14:48,000 Speaker 1: for the opportunity for the business as it was for 309 00:14:48,080 --> 00:14:50,360 Speaker 1: my career. But I just think the timing is perfect 310 00:14:50,440 --> 00:14:54,160 Speaker 1: and startups the success is about moments in time, and 311 00:14:54,200 --> 00:14:56,360 Speaker 1: I think we we couldn't have a better moment in 312 00:14:56,360 --> 00:14:58,480 Speaker 1: time to build a big business in the category. What's 313 00:14:58,520 --> 00:15:00,320 Speaker 1: the time frame you see to potentially be coming a 314 00:15:00,320 --> 00:15:03,720 Speaker 1: billion dollar media network? Oh, you know, it's that's an 315 00:15:03,720 --> 00:15:06,240 Speaker 1: ambitious ambition I would love to see. It's hard to 316 00:15:06,280 --> 00:15:08,680 Speaker 1: put sort of a timing basis on that, but I 317 00:15:08,720 --> 00:15:10,760 Speaker 1: think it's the future of of sports. I think it's 318 00:15:10,760 --> 00:15:13,840 Speaker 1: the future of content. I think it's the future of 319 00:15:13,520 --> 00:15:17,200 Speaker 1: of of media to have a subscription driven, highly vertical, 320 00:15:17,360 --> 00:15:21,040 Speaker 1: highly specialized content franchise that is in a category that's 321 00:15:21,040 --> 00:15:23,320 Speaker 1: just exploding, and I think we have all those ingredients. 322 00:15:23,320 --> 00:15:26,720 Speaker 1: Fear at Action Network and Patrick, we're talking about growth goals. 323 00:15:26,960 --> 00:15:29,200 Speaker 1: Give us a sense of the numbers you guys are seeing. 324 00:15:29,200 --> 00:15:31,840 Speaker 1: I imagine that the past couple of months have been steady, 325 00:15:31,840 --> 00:15:35,960 Speaker 1: steady growth for you. Yeah, I mean we've seen explosive 326 00:15:35,960 --> 00:15:39,960 Speaker 1: growth in terms of subscribers, in terms of users, and 327 00:15:40,000 --> 00:15:42,520 Speaker 1: in terms of people that are downloading our app. You know, 328 00:15:42,560 --> 00:15:45,120 Speaker 1: we're a private company. I can't I'm not able to 329 00:15:45,160 --> 00:15:48,880 Speaker 1: share all the sort of metrics around the business. I'm 330 00:15:48,880 --> 00:15:53,320 Speaker 1: sorry that they're not saying, Patrick there Bo, that's okay. 331 00:15:54,400 --> 00:15:56,920 Speaker 1: I will say the numbers aren't small, and we're growing 332 00:15:57,400 --> 00:16:00,160 Speaker 1: as much as three a month just a user as 333 00:16:00,200 --> 00:16:02,920 Speaker 1: consumers and audience. From what I know about at least 334 00:16:02,920 --> 00:16:05,440 Speaker 1: the betting platforms, I know this is not that what 335 00:16:05,600 --> 00:16:08,960 Speaker 1: they measure most is time on platform. Do you see 336 00:16:09,200 --> 00:16:12,640 Speaker 1: the engagement going up? How much time are people spending 337 00:16:12,680 --> 00:16:16,200 Speaker 1: on your platforms? And is it increasing? It definitely is 338 00:16:16,280 --> 00:16:18,960 Speaker 1: and and and it's interesting to see that. What we're 339 00:16:19,000 --> 00:16:21,320 Speaker 1: also seeing is it's not just the consumers that are 340 00:16:21,360 --> 00:16:26,320 Speaker 1: thinking about Sunday football or thinking about Thursday football, because 341 00:16:26,360 --> 00:16:29,600 Speaker 1: we're such a helpful platform to the informed better, we're 342 00:16:29,600 --> 00:16:33,479 Speaker 1: seeing people that are looking at women's basketball, college basketball, 343 00:16:33,600 --> 00:16:36,840 Speaker 1: really any category where there's an opportunity to have edge 344 00:16:36,920 --> 00:16:39,800 Speaker 1: and an opportunity to have action. I think is is 345 00:16:39,800 --> 00:16:43,760 Speaker 1: really interesting because we have great talent, people like Stucky, 346 00:16:43,920 --> 00:16:47,520 Speaker 1: people like black Jack and others that are really in 347 00:16:47,520 --> 00:16:50,480 Speaker 1: our platform that are really driving consumers in an entertaining 348 00:16:50,480 --> 00:16:53,120 Speaker 1: way but also giving them the edge so that they're 349 00:16:53,120 --> 00:16:57,280 Speaker 1: not only informing themselves on their own decisions. But you know, 350 00:16:57,360 --> 00:16:59,800 Speaker 1: we have a product called Sports Insights, and sports Insights 351 00:17:00,000 --> 00:17:02,160 Speaker 1: and around for well north of a decade, and they 352 00:17:02,200 --> 00:17:06,160 Speaker 1: have algorithm science and data going back to how does 353 00:17:06,280 --> 00:17:09,600 Speaker 1: a how does a road dog perform in a windy 354 00:17:09,680 --> 00:17:12,080 Speaker 1: game on the road. You know, those kind of things 355 00:17:12,960 --> 00:17:17,520 Speaker 1: are are are for the data driven sports better sports enthusiasts, UH, 356 00:17:17,720 --> 00:17:20,520 Speaker 1: completely enthralling and we want to build and continue to 357 00:17:20,520 --> 00:17:23,240 Speaker 1: inform those people. And when you think about those different 358 00:17:23,280 --> 00:17:25,639 Speaker 1: subsets of you were talking about the deep end of 359 00:17:25,640 --> 00:17:27,800 Speaker 1: the pool, shallow under the pool, etcetera. Which one of 360 00:17:27,840 --> 00:17:30,800 Speaker 1: those what's the profile of the person that's most valuable 361 00:17:31,119 --> 00:17:33,000 Speaker 1: for you guys from a business standpoint? Is it the 362 00:17:33,040 --> 00:17:36,280 Speaker 1: casual better or is it the Bob vulgaris the super 363 00:17:36,320 --> 00:17:39,520 Speaker 1: intense avid betters? You know, it's somewhere in between, but 364 00:17:39,600 --> 00:17:43,120 Speaker 1: closer to the more to the more avid better. Today, 365 00:17:43,400 --> 00:17:45,240 Speaker 1: I think what we're going to see is, you know, 366 00:17:45,280 --> 00:17:49,240 Speaker 1: one of our ambitious goals is really appealing to future betters. 367 00:17:49,280 --> 00:17:51,640 Speaker 1: And I think future betters is really any sports fan. 368 00:17:52,080 --> 00:17:54,160 Speaker 1: I think we are talking earlier, but it's the person 369 00:17:54,160 --> 00:17:56,960 Speaker 1: who might participate in a March Madness pool, a box 370 00:17:57,000 --> 00:18:00,119 Speaker 1: pool for the Super Bowl, that does an oscar pool mean? 371 00:18:00,160 --> 00:18:02,639 Speaker 1: These are the people that want to have the discussion 372 00:18:02,640 --> 00:18:05,520 Speaker 1: in the office, the discussion with their friends, and you know, 373 00:18:05,600 --> 00:18:08,639 Speaker 1: the the internet being the sort of the massive library 374 00:18:08,680 --> 00:18:11,680 Speaker 1: of data and information. It informs people on how they 375 00:18:12,040 --> 00:18:14,200 Speaker 1: how they trade stocks, and informs people on how they 376 00:18:14,200 --> 00:18:16,399 Speaker 1: buy real estate. Why can't it inform people on how 377 00:18:16,440 --> 00:18:19,080 Speaker 1: they make bests and how they participate and play with 378 00:18:19,119 --> 00:18:21,600 Speaker 1: their friends too. We're chatting with Patrick Keene, CEO of 379 00:18:21,600 --> 00:18:24,440 Speaker 1: the Action Network. I'm always interested in demographics. Patrick, break 380 00:18:24,440 --> 00:18:26,360 Speaker 1: it down for me. All these leaks tell me their 381 00:18:27,040 --> 00:18:30,080 Speaker 1: gender wise? Just about what about your clientele? We're definitely, 382 00:18:30,119 --> 00:18:32,480 Speaker 1: I'll be honest, we're definitely more male today. We're younger 383 00:18:32,480 --> 00:18:34,440 Speaker 1: and more male, but I think that's going to change 384 00:18:34,480 --> 00:18:37,920 Speaker 1: over time as well. And being in that demographic today, 385 00:18:37,960 --> 00:18:40,560 Speaker 1: I don't think it's necessarily a negative. Um. You know, 386 00:18:40,640 --> 00:18:43,719 Speaker 1: one thing that really excites me about this business as 387 00:18:43,760 --> 00:18:46,400 Speaker 1: well is that I don't have to rely on ads. 388 00:18:46,440 --> 00:18:49,000 Speaker 1: I've been a media executive for north of twenty years 389 00:18:49,000 --> 00:18:52,000 Speaker 1: and have been really participating in an ADS driven economy. 390 00:18:52,400 --> 00:18:56,000 Speaker 1: And when you're fighting digitally against the duopoli of Google 391 00:18:56,040 --> 00:18:59,159 Speaker 1: and Facebook, which are you know, sixt of the market 392 00:18:59,200 --> 00:19:02,240 Speaker 1: and the growth or whatever the data is today, I 393 00:19:02,560 --> 00:19:05,359 Speaker 1: just really like not having those kinds of businesses in 394 00:19:05,400 --> 00:19:08,920 Speaker 1: my crosshairs and really driving a media platform that's more 395 00:19:08,960 --> 00:19:12,840 Speaker 1: about subscription and licensing and affiliate revenue. I can I 396 00:19:12,880 --> 00:19:15,720 Speaker 1: can bet that somebody coming from CBS Linear TV and 397 00:19:15,840 --> 00:19:18,439 Speaker 1: you've hired people from ESPN, you know all about that. 398 00:19:18,480 --> 00:19:21,159 Speaker 1: Do revenue stream of subscription and ed model sure does 399 00:19:21,200 --> 00:19:23,480 Speaker 1: take some pressure off. It does, it does, and it's 400 00:19:23,600 --> 00:19:26,280 Speaker 1: it's it's just really really tough to play in those 401 00:19:26,400 --> 00:19:29,200 Speaker 1: in those worlds today. I mean, I think that having 402 00:19:29,200 --> 00:19:32,520 Speaker 1: a product again that's super vertical, that's super specialized, that 403 00:19:33,320 --> 00:19:37,000 Speaker 1: people make decisions that are profit and lost to them. 404 00:19:37,119 --> 00:19:39,280 Speaker 1: I just love being in that category. And I think 405 00:19:39,359 --> 00:19:42,880 Speaker 1: we we have a high high ceiling and a high tan, 406 00:19:42,960 --> 00:19:44,919 Speaker 1: as we like to say, in this world now. You know, 407 00:19:44,960 --> 00:19:47,800 Speaker 1: we always have our ears to the grindstone here. I 408 00:19:47,800 --> 00:19:49,479 Speaker 1: don't know how much you can say, hopefully you can 409 00:19:49,480 --> 00:19:51,720 Speaker 1: help us out here, but a little Bertie tells me 410 00:19:51,800 --> 00:19:54,960 Speaker 1: there's a series be funding around coming for the Action Network. 411 00:19:55,400 --> 00:19:57,640 Speaker 1: What what can you let us know about timing, how 412 00:19:57,720 --> 00:20:01,119 Speaker 1: much valuation. Well, you know are funded by the Churning 413 00:20:01,160 --> 00:20:04,520 Speaker 1: Group today, um, and they've funded us into the growth 414 00:20:04,520 --> 00:20:06,919 Speaker 1: that we see right now. I mean, we'll certainly be 415 00:20:07,000 --> 00:20:09,440 Speaker 1: in market for funding, I would say in early next year. 416 00:20:09,480 --> 00:20:13,200 Speaker 1: But those investors, UM, you know, we're having great conversations 417 00:20:13,200 --> 00:20:16,040 Speaker 1: and deep conversations with But I'll just say there will 418 00:20:16,080 --> 00:20:18,520 Speaker 1: be more news in January. Okay, can you say how 419 00:20:18,600 --> 00:20:23,159 Speaker 1: much you're looking for? I cannot, okayan more than a 420 00:20:23,240 --> 00:20:26,159 Speaker 1: dollar and less than a billion? Oh okay, headline, we 421 00:20:26,240 --> 00:20:29,320 Speaker 1: got it right now. But most interesting, frankly, is going 422 00:20:29,359 --> 00:20:32,119 Speaker 1: to be I'm well, the dollar figure is great. How 423 00:20:32,160 --> 00:20:35,240 Speaker 1: much are they getting? But as you know, what shows 424 00:20:35,560 --> 00:20:37,679 Speaker 1: the perceived strength of the business is going to be 425 00:20:37,680 --> 00:20:40,840 Speaker 1: at what valuation that that'll tell? That'll tell the market 426 00:20:40,880 --> 00:20:43,520 Speaker 1: where they think this network is going. Well, we'll see 427 00:20:43,560 --> 00:20:45,840 Speaker 1: what We'll see what that eventually bears out. But one 428 00:20:45,840 --> 00:20:48,320 Speaker 1: thing that I'm super excited about is these will be 429 00:20:48,440 --> 00:20:52,680 Speaker 1: names you're familiar with. I think that the league's UM 430 00:20:52,840 --> 00:20:55,560 Speaker 1: you think about teams, and it's not just the bat 431 00:20:55,560 --> 00:20:59,560 Speaker 1: and Ball Sports. All of these companies, all of these franchises, 432 00:20:59,600 --> 00:21:02,240 Speaker 1: all of these leagues know that this is the next 433 00:21:02,280 --> 00:21:05,160 Speaker 1: frontier of revenue, the next frontier of opportunity. I mean, 434 00:21:05,400 --> 00:21:07,840 Speaker 1: I thought it was really exciting to see. And I 435 00:21:07,840 --> 00:21:10,119 Speaker 1: don't know if you're your friends are competitors, but Sports 436 00:21:10,119 --> 00:21:13,679 Speaker 1: Business Journal, which UM is really covers this in a 437 00:21:13,680 --> 00:21:16,440 Speaker 1: really deep and vertical way. I thought it was interesting 438 00:21:16,600 --> 00:21:19,000 Speaker 1: this year, for the first time ever, they had a 439 00:21:19,080 --> 00:21:22,240 Speaker 1: non singular executive or human as the number one most 440 00:21:22,240 --> 00:21:25,960 Speaker 1: important person in the business of sports, and that was 441 00:21:26,000 --> 00:21:29,280 Speaker 1: the sports gambler. You know, it wasn't Roger Goodell, it 442 00:21:29,320 --> 00:21:32,120 Speaker 1: wasn't Adam Silver, it was thus sports gambler. I think 443 00:21:32,160 --> 00:21:35,360 Speaker 1: that this is this is a category. As I mentioned earlier, 444 00:21:35,600 --> 00:21:38,679 Speaker 1: startups in businesses in this category about timing, and I 445 00:21:38,720 --> 00:21:43,320 Speaker 1: feel so good about our opportunity to time this this business. 446 00:21:43,359 --> 00:21:45,800 Speaker 1: More states are gonna get locked down. We'll see Illinois, 447 00:21:45,840 --> 00:21:49,840 Speaker 1: will see Pennsylvania, Massachusetts, more and more of these massive 448 00:21:49,920 --> 00:21:53,280 Speaker 1: states are going to have an opportunity for people every weekend, 449 00:21:53,440 --> 00:21:57,280 Speaker 1: every evening, whatever their fancy is, to to bet and 450 00:21:57,320 --> 00:21:59,200 Speaker 1: to be informed about how they bet. And we want 451 00:21:59,240 --> 00:22:01,600 Speaker 1: to be the first source to help them make those decisions. 452 00:22:01,800 --> 00:22:04,520 Speaker 1: And Patrick, all the leagues have spent the past six 453 00:22:04,600 --> 00:22:08,920 Speaker 1: or seven years fighting I mean, uh, we're talking amicus 454 00:22:09,000 --> 00:22:13,119 Speaker 1: briefs fighting legalized sports betting. I've always said that they 455 00:22:13,160 --> 00:22:15,600 Speaker 1: would find religion when there was enough money for them 456 00:22:15,640 --> 00:22:18,119 Speaker 1: to find religion. I guess there's enough money these days, 457 00:22:18,600 --> 00:22:21,040 Speaker 1: there certainly is. I mean if you look at just 458 00:22:21,200 --> 00:22:25,280 Speaker 1: New Jersey, I mean New Jersey is is approaching north 459 00:22:25,320 --> 00:22:29,120 Speaker 1: of nine million dollars in just three months. I think, 460 00:22:29,359 --> 00:22:31,760 Speaker 1: you know, it's it's really proven itself just in terms 461 00:22:31,800 --> 00:22:35,159 Speaker 1: of of rank across all the different legalized platforms in 462 00:22:35,200 --> 00:22:38,200 Speaker 1: New Jersey. But I think those same leagues are super 463 00:22:38,280 --> 00:22:41,440 Speaker 1: super excited about this opportunity to get that casual fan 464 00:22:41,920 --> 00:22:43,680 Speaker 1: to have a little action at the game. I mean, 465 00:22:43,960 --> 00:22:46,960 Speaker 1: you look at the NBA, Major League Baseball. I think 466 00:22:47,000 --> 00:22:50,960 Speaker 1: this opportunity for prop betting is almost bigger or even 467 00:22:51,040 --> 00:22:55,679 Speaker 1: bigger than the opportunity for for game game outcome betting. 468 00:22:56,400 --> 00:22:58,640 Speaker 1: I think that when you when you have this opportunity 469 00:22:58,640 --> 00:23:02,000 Speaker 1: to sort of bring the fantasy to experience, to say, hey, 470 00:23:02,000 --> 00:23:04,159 Speaker 1: how many three pointers is Steph Curre you're going to 471 00:23:04,240 --> 00:23:06,560 Speaker 1: have in the second quarter? Is the kind of thing 472 00:23:06,600 --> 00:23:09,880 Speaker 1: that an average fan understands really well, versus the sort 473 00:23:09,920 --> 00:23:12,720 Speaker 1: of complexity of what's a plus one ten, what's a over, 474 00:23:12,800 --> 00:23:15,800 Speaker 1: what's an under, um, you know those kind of things. 475 00:23:15,840 --> 00:23:17,480 Speaker 1: I think you're gonna bring a casual fan into it, 476 00:23:17,520 --> 00:23:20,480 Speaker 1: and the leaves are super super excited about that. As 477 00:23:20,520 --> 00:23:22,760 Speaker 1: a revenue operation. They're probably asking you come up with 478 00:23:22,800 --> 00:23:26,840 Speaker 1: as many fourth quarter blowout bets as possible. Just keep 479 00:23:26,920 --> 00:23:30,040 Speaker 1: people on the screen, keep people engaged. We don't care 480 00:23:30,040 --> 00:23:32,280 Speaker 1: if they're watching on the primary screen. As long as 481 00:23:32,320 --> 00:23:33,960 Speaker 1: they're engaged with the game and have a reason to 482 00:23:34,000 --> 00:23:37,520 Speaker 1: stick around, they are happy. That's absolutely true, and you've 483 00:23:37,520 --> 00:23:40,679 Speaker 1: seen that in fantasy and Fantasy is a is a 484 00:23:40,840 --> 00:23:45,520 Speaker 1: infantessinely smaller business compared to general betting, and that has 485 00:23:45,560 --> 00:23:47,920 Speaker 1: been the story for the league's to get more enthusiastic 486 00:23:47,960 --> 00:23:50,560 Speaker 1: about fantasy. It keeps a fan in the game, It 487 00:23:50,640 --> 00:23:53,159 Speaker 1: keeps fan watch, It keeps fans watching games out of 488 00:23:53,160 --> 00:23:56,040 Speaker 1: their network, It keeps fans watching games that might not 489 00:23:56,160 --> 00:23:58,640 Speaker 1: be their singular focus as a fan, just because they 490 00:23:58,640 --> 00:24:01,879 Speaker 1: care about fantasy and they have another group with with 491 00:24:01,960 --> 00:24:04,240 Speaker 1: a stake in that obviously is the is the big 492 00:24:04,240 --> 00:24:08,840 Speaker 1: media companies, how much competition do you anticipate seeing from 493 00:24:09,000 --> 00:24:11,560 Speaker 1: you know, your ESPNS, your Fox Sports, is, your NBC's, 494 00:24:11,600 --> 00:24:14,159 Speaker 1: et cetera. Because they seem to also be kind of 495 00:24:14,160 --> 00:24:17,119 Speaker 1: realizing what you've realized right that that there is tremendous 496 00:24:17,200 --> 00:24:20,720 Speaker 1: thirst for content right now surrounding gambling. There certainly is. 497 00:24:20,760 --> 00:24:23,000 Speaker 1: I mean, we see them as partners today ESPN as 498 00:24:23,040 --> 00:24:25,920 Speaker 1: a partner. We have a show, an Action Networks show 499 00:24:25,960 --> 00:24:29,719 Speaker 1: on ESPN Plus. We talked at virtually every single media company. 500 00:24:29,760 --> 00:24:32,439 Speaker 1: They all realized that this is becoming a bigger part 501 00:24:32,480 --> 00:24:35,200 Speaker 1: of the vernacular for their fans. I mean, it's interesting 502 00:24:35,200 --> 00:24:37,920 Speaker 1: when I watched the the national Games of the week 503 00:24:37,960 --> 00:24:41,320 Speaker 1: in the NFL, You're starting to see the analysts creep 504 00:24:41,359 --> 00:24:44,439 Speaker 1: into the discussion of handling a little bit more. I 505 00:24:44,480 --> 00:24:46,880 Speaker 1: think all of those mediums companies have been a little 506 00:24:46,880 --> 00:24:50,359 Speaker 1: bit reluctant to embrace the category, but I think with 507 00:24:50,480 --> 00:24:52,840 Speaker 1: more legality as we've been mentioning in the overturn in 508 00:24:52,840 --> 00:24:56,080 Speaker 1: the Sucreme Court. Plus just a you know, I don't 509 00:24:56,080 --> 00:24:57,720 Speaker 1: know what the term is for it. Always joked there's 510 00:24:57,720 --> 00:25:00,320 Speaker 1: probably a German term for it. But something that that 511 00:25:00,520 --> 00:25:03,560 Speaker 1: took a very long time yet seemingly happened overnight. I 512 00:25:03,600 --> 00:25:06,879 Speaker 1: feel like this is a category of embrace for media 513 00:25:06,920 --> 00:25:09,440 Speaker 1: companies that's going to happen overnight. It's not quite there, 514 00:25:09,440 --> 00:25:12,400 Speaker 1: but it's very soon. And you see yourself as instead 515 00:25:12,400 --> 00:25:15,000 Speaker 1: of them creating rival content, you see Action Network as 516 00:25:15,040 --> 00:25:17,840 Speaker 1: creating the content for them. In some cases. I do. 517 00:25:18,000 --> 00:25:20,680 Speaker 1: I think that we have. We have sort of laid 518 00:25:20,720 --> 00:25:23,200 Speaker 1: the rails, if you will, and and have been kind 519 00:25:23,200 --> 00:25:25,720 Speaker 1: of the business to sort of in advance of them 520 00:25:26,000 --> 00:25:29,639 Speaker 1: provide lots of content. We're creating pieces of content a 521 00:25:29,760 --> 00:25:33,360 Speaker 1: day that consumers are telling us and raising their hands saying, yes, 522 00:25:33,440 --> 00:25:36,199 Speaker 1: this is really valuable content. We like it. And I 523 00:25:36,240 --> 00:25:39,560 Speaker 1: think it's really difficult for a very large multinational media 524 00:25:39,600 --> 00:25:43,280 Speaker 1: company to turn that ship overnight into having their writers, 525 00:25:43,320 --> 00:25:48,320 Speaker 1: their videographers, their podcasters address gambling in a very specific way, 526 00:25:48,400 --> 00:25:50,560 Speaker 1: and a guest and address the sports better in a 527 00:25:50,640 --> 00:25:53,080 Speaker 1: very specific way. We've been doing it since day one 528 00:25:53,119 --> 00:25:56,040 Speaker 1: at the Action Network. Tell me what's the most valuable 529 00:25:56,200 --> 00:25:59,120 Speaker 1: kind of content for your subscribers right now? Long form? Sure? 530 00:25:59,160 --> 00:26:01,399 Speaker 1: From how long do they want to be engaged? You know, 531 00:26:01,560 --> 00:26:04,560 Speaker 1: it's people are reading articles, they're they're sometimes getting the 532 00:26:04,560 --> 00:26:06,880 Speaker 1: snippets of articles. You know, we we try to create 533 00:26:06,920 --> 00:26:09,240 Speaker 1: an experience that allows you to get in depth, to 534 00:26:09,320 --> 00:26:12,679 Speaker 1: get um really how you want to consume. But you know, 535 00:26:12,720 --> 00:26:15,240 Speaker 1: it's people that are highly engaged. They're engaging in the app, 536 00:26:15,359 --> 00:26:17,479 Speaker 1: and the app obviously is an experience is different than 537 00:26:17,480 --> 00:26:21,120 Speaker 1: the desktop one, but it's users reading multiple pieces of content, 538 00:26:21,680 --> 00:26:24,200 Speaker 1: sinking their bets. You know, we have a product inside 539 00:26:24,240 --> 00:26:27,480 Speaker 1: the app where you're able to select bets and you're 540 00:26:27,520 --> 00:26:29,359 Speaker 1: able to follow your own bets, and you're able to 541 00:26:29,400 --> 00:26:31,879 Speaker 1: get alerts against those And that's a business that is 542 00:26:31,920 --> 00:26:35,359 Speaker 1: just massively explosive for us. Is just people tracking bets 543 00:26:35,640 --> 00:26:37,880 Speaker 1: and people tracking the action they might have in other 544 00:26:37,920 --> 00:26:41,240 Speaker 1: places with their friends, and to be able to sort 545 00:26:41,240 --> 00:26:44,080 Speaker 1: of see in real time and to get alerts. You know, 546 00:26:44,200 --> 00:26:46,840 Speaker 1: I've I've I've people, I've heard many smart people in 547 00:26:46,880 --> 00:26:49,280 Speaker 1: the in the media and app business often say that 548 00:26:49,320 --> 00:26:52,600 Speaker 1: alerts are the mother's milk of mobile and for us, 549 00:26:52,640 --> 00:26:54,320 Speaker 1: we've seen it as well. We want to drive the 550 00:26:54,359 --> 00:26:57,439 Speaker 1: best alerts, the best information, the best injury reports, and 551 00:26:57,480 --> 00:27:00,560 Speaker 1: help those people make those decisions literally, and I've heard 552 00:27:00,560 --> 00:27:03,040 Speaker 1: all we it's so it's so interesting that you say that. 553 00:27:03,440 --> 00:27:05,439 Speaker 1: I think the apps, the ones that are available in 554 00:27:05,440 --> 00:27:08,880 Speaker 1: New Jersey that I've used, do a terrible job of 555 00:27:09,160 --> 00:27:11,760 Speaker 1: letting you keep track of bets that you've already placed, 556 00:27:12,280 --> 00:27:15,679 Speaker 1: seeing your historic bets, giving you alerts on games that 557 00:27:15,720 --> 00:27:17,920 Speaker 1: you've wagered on already, you know how much money you lost, 558 00:27:17,920 --> 00:27:19,840 Speaker 1: and you won't do it in. It's shocking to me 559 00:27:19,920 --> 00:27:23,000 Speaker 1: how difficult it is to just get an easy rundown 560 00:27:23,000 --> 00:27:26,240 Speaker 1: of what what bets you have open, what bets recently closed, 561 00:27:26,240 --> 00:27:28,600 Speaker 1: what you've wanted, what you've lost? Come on, do get 562 00:27:28,640 --> 00:27:30,359 Speaker 1: on the action. Now there you go. This this is 563 00:27:30,359 --> 00:27:33,439 Speaker 1: a solution to my problem. I love it. You're pitching 564 00:27:33,440 --> 00:27:36,960 Speaker 1: my own products. The other thing that's super useful that 565 00:27:37,040 --> 00:27:39,720 Speaker 1: we can do as well is say you're getting destroyed 566 00:27:39,720 --> 00:27:41,800 Speaker 1: in the second half and you want an opportunity to 567 00:27:41,920 --> 00:27:44,679 Speaker 1: hitch um, we we can alert you. Maybe you have 568 00:27:44,760 --> 00:27:46,840 Speaker 1: tons of bets and you're not aware of it, but 569 00:27:46,840 --> 00:27:49,240 Speaker 1: but um, you know, alerts or something that we have 570 00:27:49,320 --> 00:27:51,280 Speaker 1: a singular focus on. We think we're the best in 571 00:27:51,280 --> 00:27:54,400 Speaker 1: the business, and we think you can help make those 572 00:27:54,440 --> 00:27:56,960 Speaker 1: decisions in the back, you know, portion of a game. 573 00:27:57,240 --> 00:28:00,240 Speaker 1: And it's super helpful with prop bets I was discussing earlier, 574 00:28:00,320 --> 00:28:04,159 Speaker 1: but we think prop action and prop opportunities are the 575 00:28:04,200 --> 00:28:07,800 Speaker 1: easiest entree for for fans that that are are trying 576 00:28:07,800 --> 00:28:10,280 Speaker 1: to figure out betting. But it's it's the thing that 577 00:28:10,320 --> 00:28:12,560 Speaker 1: you're going to see in venue. I know the NBA's 578 00:28:12,600 --> 00:28:14,359 Speaker 1: focused here. I'm not saying they're going to have an 579 00:28:14,400 --> 00:28:17,480 Speaker 1: instant sort of ticket driven business. But think about having 580 00:28:17,480 --> 00:28:19,840 Speaker 1: an app where you and your friends can can have 581 00:28:19,960 --> 00:28:22,440 Speaker 1: fun in the fourth quarter of the game that's a blowout. 582 00:28:22,440 --> 00:28:24,320 Speaker 1: It will keep you in your seats, it'll keep you 583 00:28:24,400 --> 00:28:28,000 Speaker 1: engaged and alerts against those kinds of things we think 584 00:28:28,080 --> 00:28:30,359 Speaker 1: we're going to be really successful with. We are chatting 585 00:28:30,359 --> 00:28:33,160 Speaker 1: with Patrick Kean, the CEO of the Action Network. Where 586 00:28:33,160 --> 00:28:35,159 Speaker 1: does the where do the league stand on? I'm not 587 00:28:35,200 --> 00:28:37,440 Speaker 1: sure does this help drive ticket sales at all? Does 588 00:28:37,480 --> 00:28:39,880 Speaker 1: this help set all sort of in venue versus at home? 589 00:28:39,920 --> 00:28:41,360 Speaker 1: It sounds to me like I'd rather be doing all 590 00:28:41,400 --> 00:28:44,360 Speaker 1: this at home, even if my broadband is connection is 591 00:28:44,400 --> 00:28:46,360 Speaker 1: great in the venue, I don't need to be there 592 00:28:46,400 --> 00:28:48,840 Speaker 1: for any of this. Yeah, I mean, you know you 593 00:28:48,960 --> 00:28:51,360 Speaker 1: you've pointed out something that's not so trivial, which is 594 00:28:51,400 --> 00:28:53,960 Speaker 1: the broadband literally in some of these venues is not 595 00:28:54,080 --> 00:28:56,320 Speaker 1: strong and they've got to figure that out step one. 596 00:28:56,440 --> 00:28:58,560 Speaker 1: But you're absolutely right. I mean, I think a lot 597 00:28:58,560 --> 00:29:00,800 Speaker 1: of consumers, whether you're using them a device. I mean 598 00:29:01,040 --> 00:29:02,760 Speaker 1: you look at here in New York where I live, 599 00:29:03,200 --> 00:29:05,600 Speaker 1: people are getting on trains and going to Jersey City 600 00:29:05,600 --> 00:29:09,600 Speaker 1: and Hoboken and turning small, small bars into day facto 601 00:29:09,680 --> 00:29:12,960 Speaker 1: sports books every weekend and every weeknight. I think that's 602 00:29:12,960 --> 00:29:15,880 Speaker 1: going to continue to happen. I think it's super convenient 603 00:29:15,960 --> 00:29:17,800 Speaker 1: to be able to engage in a platform where you're 604 00:29:17,800 --> 00:29:19,760 Speaker 1: able to do it mobile and you're able to sort 605 00:29:19,800 --> 00:29:23,000 Speaker 1: of have your data in your hand. Um. But the 606 00:29:23,040 --> 00:29:27,320 Speaker 1: teams and the leaves are very focused on this enhancing 607 00:29:27,440 --> 00:29:31,479 Speaker 1: the in venue entertainment experience, and we're the great thing 608 00:29:31,480 --> 00:29:33,360 Speaker 1: about our platform is we can feel to any of 609 00:29:33,400 --> 00:29:35,840 Speaker 1: those users. There's also a lot of states when they 610 00:29:35,920 --> 00:29:38,920 Speaker 1: legalize it, don't legalize mobile, you know, which which means 611 00:29:38,960 --> 00:29:41,280 Speaker 1: that gambling from your couch might not be and it's 612 00:29:41,280 --> 00:29:43,960 Speaker 1: not an option in Mississippi. But if you go to 613 00:29:44,000 --> 00:29:47,640 Speaker 1: a place, either a venue or a casino down there, 614 00:29:47,680 --> 00:29:49,640 Speaker 1: you are able to vet you know, brick and mortar. 615 00:29:49,720 --> 00:29:53,040 Speaker 1: So yeah, it's sort of in some ways a sort 616 00:29:53,040 --> 00:29:57,080 Speaker 1: of a ludicrous protectionary interim strategy to be successful here. 617 00:29:57,280 --> 00:29:59,880 Speaker 1: I think the reality is it will be mobile like 618 00:30:00,080 --> 00:30:03,600 Speaker 1: anything that consumers are engaged in. UM, you know, you 619 00:30:03,640 --> 00:30:06,479 Speaker 1: need to offer that option. Certainly, people might feel more 620 00:30:06,520 --> 00:30:09,800 Speaker 1: comfortable to walking to a to uh, you know, a 621 00:30:09,800 --> 00:30:11,640 Speaker 1: book where they can talk to a vendor that can 622 00:30:11,680 --> 00:30:13,920 Speaker 1: help them fill out their slips and do those things. 623 00:30:13,920 --> 00:30:16,600 Speaker 1: But if you're not focused on mobile as an opportunity, 624 00:30:16,680 --> 00:30:20,440 Speaker 1: you're missing the longer term, better opportunity to be successful. 625 00:30:20,480 --> 00:30:23,360 Speaker 1: Here here at Bloomberg, A lot of the gambling coverage 626 00:30:23,400 --> 00:30:25,600 Speaker 1: that we do covers the business behind it, you know, 627 00:30:25,680 --> 00:30:29,000 Speaker 1: companies like sport Radar and Genius Sports and deals that 628 00:30:29,080 --> 00:30:31,600 Speaker 1: league sign etcetera. Do you find that your readers care 629 00:30:31,640 --> 00:30:34,880 Speaker 1: about the the underlying business behind it or do they 630 00:30:34,960 --> 00:30:38,280 Speaker 1: really more care about, you know, the the on field 631 00:30:38,360 --> 00:30:41,120 Speaker 1: and the way that you know, players interact with the gambling. Yeah, 632 00:30:41,120 --> 00:30:43,960 Speaker 1: our users care about it all. Um. We recently hired 633 00:30:44,000 --> 00:30:46,360 Speaker 1: Darren Ravel from ESPN, who's really been the sort of 634 00:30:46,440 --> 00:30:50,680 Speaker 1: marquee sports business reporter there for several years. And Darren 635 00:30:50,760 --> 00:30:55,200 Speaker 1: covers the culture of sports betting, the entertainment around sports betting, 636 00:30:55,200 --> 00:30:59,600 Speaker 1: the characters, the icons, and we think that the consumer 637 00:30:59,640 --> 00:31:02,080 Speaker 1: that's bet on sports is interested in those things as 638 00:31:02,120 --> 00:31:03,560 Speaker 1: they are in the game on the field or the 639 00:31:03,560 --> 00:31:05,640 Speaker 1: game on the court, or the game on the ice. 640 00:31:06,040 --> 00:31:08,680 Speaker 1: We we we really want to cover the entire gamut 641 00:31:08,720 --> 00:31:12,240 Speaker 1: of sports betting, sports culture of betting, and sports entertainment 642 00:31:12,240 --> 00:31:15,640 Speaker 1: of betting. Does that include the nightmare stories? Absolutely. I mean, 643 00:31:15,720 --> 00:31:18,040 Speaker 1: big beats to our our users are as interesting as 644 00:31:18,080 --> 00:31:20,240 Speaker 1: big wins. I mean, the person that turns a thirty 645 00:31:20,280 --> 00:31:23,320 Speaker 1: dollar parlay into fifty grand is something that's really great. 646 00:31:23,360 --> 00:31:25,960 Speaker 1: But the big the big beats is interesting, is the 647 00:31:25,960 --> 00:31:27,800 Speaker 1: big win. I find it interesting though that I said 648 00:31:27,800 --> 00:31:30,280 Speaker 1: the nightmare stories and that's your response. I meant the 649 00:31:30,320 --> 00:31:33,120 Speaker 1: person who loses his house loses his family. Oh well, 650 00:31:33,520 --> 00:31:36,840 Speaker 1: you know, we don't think that's a funny thing at all. 651 00:31:36,880 --> 00:31:38,680 Speaker 1: I mean we we think that if you look at 652 00:31:38,680 --> 00:31:42,080 Speaker 1: this category, it's about entertainment. If you're really good at it, 653 00:31:42,120 --> 00:31:43,920 Speaker 1: you're really good at at fifty one and a quarter 654 00:31:44,000 --> 00:31:46,160 Speaker 1: percent of the time. So to make a living doing this, 655 00:31:46,360 --> 00:31:49,240 Speaker 1: that's a you know, that's that's that's the size of 656 00:31:49,240 --> 00:31:51,800 Speaker 1: a symbol full of people that we really think that 657 00:31:51,840 --> 00:31:55,040 Speaker 1: this is about entertainment. This is about enjoying what you're 658 00:31:55,040 --> 00:31:57,239 Speaker 1: doing with your friends, family, or who remember that might be. 659 00:31:57,320 --> 00:32:01,120 Speaker 1: But we would never want to to to think about 660 00:32:01,160 --> 00:32:03,960 Speaker 1: this and that and that. We think about this absolutely 661 00:32:04,080 --> 00:32:06,080 Speaker 1: and the challenges of addiction and things like that. But 662 00:32:06,440 --> 00:32:09,080 Speaker 1: we're more focused on this being a platform for entertainment 663 00:32:09,080 --> 00:32:11,840 Speaker 1: and it's being a flat platform for information. Let me 664 00:32:11,920 --> 00:32:15,120 Speaker 1: just play corporate synergies here for fun. What I'm hearing 665 00:32:15,160 --> 00:32:18,040 Speaker 1: from you, and when I think of the other possible partners, 666 00:32:18,080 --> 00:32:21,760 Speaker 1: you said you produced content for ESPN Barstool Sports. For me, 667 00:32:21,800 --> 00:32:24,120 Speaker 1: seems like a no brainer. Like this seems like there's 668 00:32:24,160 --> 00:32:26,280 Speaker 1: a lot that if you give me the ven diagram, 669 00:32:26,320 --> 00:32:29,360 Speaker 1: you have big overlapping circles here and charn In relationships 670 00:32:29,400 --> 00:32:31,960 Speaker 1: and Scharnon is an investor in Barstool as well. Yes, yeah, 671 00:32:31,960 --> 00:32:34,880 Speaker 1: you guys did your homework. Um, you know, I I 672 00:32:34,920 --> 00:32:36,760 Speaker 1: guess I would say, are they a sister company a 673 00:32:36,760 --> 00:32:40,040 Speaker 1: cousin company. I'm not sure how I would sort of yeah, 674 00:32:40,040 --> 00:32:43,160 Speaker 1: I guess. You know, we've done work with with Barstool. 675 00:32:43,160 --> 00:32:45,280 Speaker 1: I mean I think they're focusing more on sports betting 676 00:32:45,280 --> 00:32:48,760 Speaker 1: and sports gambling. Um, we think that they're You're absolutely right, 677 00:32:48,800 --> 00:32:50,840 Speaker 1: their audience is very similar to ours. We've done some 678 00:32:50,880 --> 00:32:53,800 Speaker 1: marketing partnerships with them. And just because we share an 679 00:32:53,800 --> 00:32:56,480 Speaker 1: investor doesn't mean that you know, we we get things 680 00:32:56,480 --> 00:32:59,400 Speaker 1: for free or we get integration instantly. Those are the 681 00:32:59,400 --> 00:33:02,360 Speaker 1: same kind of part otnership. Side debate with ESPN, Fox Sports, 682 00:33:02,360 --> 00:33:06,440 Speaker 1: CBS Sports and and turner um. But absolutely I think 683 00:33:06,480 --> 00:33:09,720 Speaker 1: you're seeing if your count if you're appealing to a millennial, 684 00:33:09,760 --> 00:33:13,720 Speaker 1: if you're appealing to a sports enthusiast, our audiences are 685 00:33:13,760 --> 00:33:17,040 Speaker 1: absolutely similar. All right, that's Patrick Keene, CEO of the 686 00:33:17,080 --> 00:33:20,000 Speaker 1: Action Network. Patrick, thank you very much for taking some time. Oh, 687 00:33:20,040 --> 00:33:23,240 Speaker 1: thank you so much. Guys. All right, Evan takeaways for 688 00:33:23,400 --> 00:33:29,280 Speaker 1: me the explosion. He did not say that this was 689 00:33:29,360 --> 00:33:32,640 Speaker 1: sort of an evolution. Every growth like this is an explosion. 690 00:33:32,680 --> 00:33:36,400 Speaker 1: I imagine his user rate is going to skyrocket. We're 691 00:33:36,400 --> 00:33:40,680 Speaker 1: going to see the engagement skyrocket. Leagues are thrilled. Everybody's 692 00:33:40,720 --> 00:33:42,840 Speaker 1: jumping in every even if they're not sure exactly where 693 00:33:42,840 --> 00:33:44,560 Speaker 1: to go, everybody knows this is where they want to 694 00:33:44,600 --> 00:33:47,200 Speaker 1: be or at least plant plant some flags here. Fox does, 695 00:33:47,480 --> 00:33:49,800 Speaker 1: ESPN does, bar Stool does they do? If all the 696 00:33:49,840 --> 00:33:52,920 Speaker 1: media companies there, all the leagues are there, the owners 697 00:33:52,920 --> 00:33:55,920 Speaker 1: are investing in these sorts of platforms, you know this 698 00:33:56,000 --> 00:33:57,640 Speaker 1: is going to be some serious business. And we've just 699 00:33:57,720 --> 00:33:59,959 Speaker 1: hit the tip of the iceberg in terms of jurisdictions 700 00:34:00,000 --> 00:34:02,280 Speaker 1: across the country that are legalizing this. Right. Just this 701 00:34:02,320 --> 00:34:04,840 Speaker 1: week we saw d C come on board with their 702 00:34:04,840 --> 00:34:07,840 Speaker 1: initial plan. We saw a push at the federal level 703 00:34:07,880 --> 00:34:11,799 Speaker 1: to get countrywide legislation. Um as more states come on 704 00:34:11,840 --> 00:34:16,440 Speaker 1: board and the big ones you're talking Florida, New York, Texas, California, 705 00:34:16,480 --> 00:34:19,480 Speaker 1: when they do, whether it's this year, next year, five 706 00:34:19,560 --> 00:34:21,759 Speaker 1: years from now, the growth opportunity is huge. And you 707 00:34:21,760 --> 00:34:23,360 Speaker 1: heard him say it. He thinks it's gonna be a 708 00:34:23,360 --> 00:34:27,160 Speaker 1: billion dollar plus media network. Can't wait for the series 709 00:34:27,200 --> 00:34:29,880 Speaker 1: beat Around we know is coming. Can't wait for the valuation. 710 00:34:29,920 --> 00:34:34,239 Speaker 1: We'll find out more in January. In germ us it 711 00:34:34,239 --> 00:34:36,440 Speaker 1: feels better to be number one than number five, a 712 00:34:36,520 --> 00:34:38,239 Speaker 1: number because of Mike. We have a chance to go 713 00:34:38,320 --> 00:34:40,120 Speaker 1: for three in a row, good numbers at a good time. 714 00:34:40,120 --> 00:34:42,239 Speaker 1: When I's first started wearing their number, How would just 715 00:34:42,320 --> 00:34:47,360 Speaker 1: have you Floomberg? Business of sports? The number of the week? Okay, Scott, 716 00:34:47,400 --> 00:34:48,959 Speaker 1: and let's move on to the number of the week. 717 00:34:49,200 --> 00:34:52,720 Speaker 1: And this is a number, two hundred and fifty thousand dollars. 718 00:34:52,800 --> 00:34:54,840 Speaker 1: This is where we missed bar because sometimes we discussed 719 00:34:54,920 --> 00:34:56,600 Speaker 1: or don't discuss. I'm sorry, Michael, we miss you in 720 00:34:56,640 --> 00:34:58,520 Speaker 1: more places, but this is when we really do so 721 00:34:58,920 --> 00:35:02,440 Speaker 1: I could not dis us and two hundred and fifty 722 00:35:02,800 --> 00:35:07,840 Speaker 1: thousand dollars. I don't know what's two That is the 723 00:35:07,880 --> 00:35:10,600 Speaker 1: amount of money that Nike is paying UNC basketball coach 724 00:35:10,719 --> 00:35:13,040 Speaker 1: Roy Williams. What we did, He just signed like a 725 00:35:13,040 --> 00:35:16,799 Speaker 1: fifty years he just signed an eight year extension, and 726 00:35:16,920 --> 00:35:20,400 Speaker 1: for the first time ever, the university also released his 727 00:35:20,440 --> 00:35:23,040 Speaker 1: outside revenue streams, which is something that I hope that 728 00:35:23,120 --> 00:35:25,799 Speaker 1: other schools are going to start doing because we think 729 00:35:25,840 --> 00:35:27,719 Speaker 1: about the money that these coaches get paid, and they 730 00:35:27,760 --> 00:35:30,600 Speaker 1: get paid millions of dollars, but what we don't see 731 00:35:30,680 --> 00:35:32,680 Speaker 1: is the money that they get on the side from 732 00:35:32,719 --> 00:35:38,280 Speaker 1: companies like lear Field, companies like Nike, etcetera. Exactly exactly, 733 00:35:38,280 --> 00:35:41,279 Speaker 1: So Roy Williams his base salary is, you know, there's 734 00:35:41,320 --> 00:35:43,960 Speaker 1: it's a little under three million dollars. But if you 735 00:35:44,040 --> 00:35:46,200 Speaker 1: add in money from from lear Field one point four 736 00:35:46,239 --> 00:35:48,680 Speaker 1: million dollars, you added money from Nike two hundred and 737 00:35:48,719 --> 00:35:51,520 Speaker 1: fifty thousand that goes up every year over the course. 738 00:35:51,560 --> 00:35:55,080 Speaker 1: Would you have guessed more or less Nike for it's 739 00:35:55,120 --> 00:35:57,080 Speaker 1: like about quarter of a million. Yeah, how you're right, 740 00:35:57,120 --> 00:36:01,120 Speaker 1: it's it's the original Jordan brand out there. Um. In general, 741 00:36:01,200 --> 00:36:03,120 Speaker 1: his his his salary is not all that high. He's 742 00:36:03,120 --> 00:36:05,800 Speaker 1: not in the top twenty five of college basketball coaches, 743 00:36:05,840 --> 00:36:08,640 Speaker 1: which is I guess a little surprising given the stature 744 00:36:08,680 --> 00:36:12,480 Speaker 1: that u NC has within college basketball. On the business side, um, 745 00:36:12,520 --> 00:36:14,680 Speaker 1: but you know, there's been a lot of turmoil over there, 746 00:36:15,239 --> 00:36:17,239 Speaker 1: but interesting. I would love to see more and more 747 00:36:17,280 --> 00:36:20,560 Speaker 1: companies start releasing or more and more schools start releasing 748 00:36:20,560 --> 00:36:23,040 Speaker 1: the pay their coaches are getting outside time, Scott, you 749 00:36:23,080 --> 00:36:25,800 Speaker 1: can follow me on Twitter at and I'm Eben Novi. Williams. 750 00:36:25,800 --> 00:36:28,520 Speaker 1: You can follow me at no V Underscore Williams. We 751 00:36:28,600 --> 00:36:30,680 Speaker 1: are here each and every week at this time and 752 00:36:30,760 --> 00:36:34,000 Speaker 1: catch our Apple podcast on Monday's, Wednesdays and Thursday. You're 753 00:36:34,000 --> 00:36:37,760 Speaker 1: listening to Bloomberg Business of Sports from Bloomberg Radio around 754 00:36:37,840 --> 00:36:38,320 Speaker 1: the world.