Last Friday (26), Fortune reported a possible collaboration between X, Elon Musk’s company, and BetMGM, with the financial details of the agreement remaining confidential.
This alleged relationship could involve BetMGM presenting odds and direct links to online sportsbooks on social media site X.
BetMGM, a 50/50 joint venture between MGM Resorts International and Entain Plc, celebrates its sixth anniversary in July.
Ranked as the third-largest online sports betting operator in the U.S. behind FanDuel and DraftKings, the company is also the exclusive sports betting partner of MGM Resorts nationwide.
Both online and in MGM’s land-based casinos. Additionally, BetMGM excels in online casino games and poker, along with its sister brands Borgata Online, Party Casino and Party Poker.
BetMGM’s strength in the betting scene
With operations in 13 states and Washington, D.C., BetMGM is a significant force in the online and retail sports betting landscape.
The possible collaboration with X comes at a strategic time, approximately two weeks before the Super Bowl. The American football final is a pivotal event for X, whose focus on live events is vital to user engagement.
While the partnership may not be a significant revenue driver for X, it represents an opportunity to signal to other mainstream businesses that advertising on the social media platform is a viable choice.
X, which has seen a sharp drop in sales over the past year, is looking to diversify its revenue sources, and the proposed deal with BetMGM aligns with that strategy.
While the social network faces financial challenges, BetMGM is also in a moment of reflection.
Rumors suggest that investors may put pressure on Entain, forcing the sale of its stake in BetMGM to MGM. This transaction, if completed, could be favorable for the casino operator.
Finally, the potential partnership between X and the betting company represents a strategic move for both parties.
