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ESPN takes name off betting app and partners with DraftKings

ESPN is shifting its strategy on online sports gambling, ending its partnership with Penn Entertainment.

The companies announced Thursday they were terminating an agreement that offered ESPN equity in Penn, which operated the ESPN Bet sportsbook app. The app will no longer carry the familiar red ESPN logo. It will operate under a new name.

ESPN said it will partner with DraftKings, a leading sports betting company, which will provide odds and other gaming-related data for the Walt Disney Co. unit’s programs and its digital platforms. ESPN’s on-air staff will use DraftKings’ odds starting Dec. 1.

According to people familiar with the ESPN-Penn arrangement, the app simply didn’t reach its financial targets in the highly competitive business, which operates in the 31 states where online gambling is legal.

In 2023, Penn agreed to pay $1.5 billion in cash over the next 10 years for the rights to use the ESPN name on its app. As part of the deal, ESPN promoted the product across its programming and provided access to on-air talent. ESPN had the right to purchase up to 31.8 million shares of Penn stock for $500 million over the 10-year period.

“When we first announced our partnership with ESPN, both sides made it clear that we expected to compete for a podium position in the space,” said Jay Snowden, CEO and President of Penn Entertainment. “Although we made significant progress in improving our product offering and building a cohesive ecosystem with ESPN, we have mutually and amicably agreed to wind down our collaboration.”

The end of the deal comes shortly after an FBI investigation led to the arrest of Miami Heat player Terry Rozier, who allegedly pulled out of a game claiming injury to deliver a win on one of his prop bets.

ESPN’s decision is unrelated to the recent news, as the company has been in talks for months with DraftKings about a new partnership. But no longer having the ESPN name on a betting app will keep the brand out of the line of fire if the NBA case escalates.

Beginning in December, DraftKings will have its app exclusively integrated across ESPN’s platforms.

The companies said they will “collaborate to advance their shared commitment to responsible gaming, by dedicating prominent assets to educate, raise customer awareness and promote responsible play through campaigns and integrations.”

DraftKings will provide the betting tab within the ESPN app and its customers will receive special promotions for ESPN’s newly launched direct-to-consumer streaming product.

DraftKings operates in 28 states and in Washington, D.C., and Ontario, Canada, and has more than 10 million customers across its products.

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Where to get coffee while shopping for holiday gifts

The newly opened coffee shop-cum-arboretum Creature’s was created to provide a place where one could “be a creature amongst other creatures.” To that effect, the establishment filled with native plants and succulents hosts events that promote compassion for all — there’s been a free clothing swap, local makers fairs, a nature sketching gathering and a presentation in tandem with Citizens for Los Angeles Wildlife (otherwise known as CLAW) about peacefully coexisting with L.A.’s native animals.

Owned by Hope Creature, the business sells plants, gifts and garden supplies in one building and organic drinks and pastries in another. A 50-foot greenhouse shelters indoor tropicals, organic edibles, drought-tolerant native plants and small potted succulents, which go for less than $2. The outdoor seating area is outfitted with plants available for purchase.

“A lot went into making this space architecturally stunning as well, with every design detail considered,” Creature says. “The space also serves as a platform for our ongoing community programming, which showcases what the space is all about — bringing people together to explore, learn and connect.”

The queer-owned-and-run cafe offers standard coffee fare including matcha, espresso, cortado, cold brew and drip options from local roaster Unity, as well as a selection of teas and pastries.

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Best gifts made in Los Angeles

Handwritten notes. Free product samples. Email responses to questions. And in some cases (shout-out to Surfing Cowboys in Malibu), an old-school phone call to discuss a gift item.

This is the kind of service that sets local businesses apart, offering personalized experiences you won’t find on Amazon.

From independent artists working at home to brands manufacturing in downtown Los Angeles, these businesses offer a diverse range of products and services that reflect the unique character of our city, which has been affected by wildfires, ICE raids and a struggling economy.

The gifts I’ve included here are all from Los Angeles-based businesses. They carry a personal touch — a connection to the people and the city. Some are handmade while others are manufactured, but all of them are a part of our city’s unique fabric.

Let’s keep it going and support small businesses in Los Angeles this holiday season. Our connection to one another is our strength.

If you make a purchase using some of our links, the L.A. Times may be compensated. Prices and availability of items and experiences in the Gift Guide and on latimes.com are subject to change.

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