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DraftKings opens new Las Vegas office

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Daily fantasy and sports betting operator DraftKings has opened a new office in Las Vegas, Nevada, to support its ongoing growth plans in the US market.

The Las Vegas facility will house teams dedicated to customer experience, fraud, casino, sportsbook traders, HR and IT. Almost 300 employees will be based at the new site.

The move comes after DraftKings last month agreed a deal to be acquired by a special purpose acquisition company alongside betting and gaming technology provider SBTech. As part of this transaction, the business agreed be reincorporated in Nevada.

Since October 2018, DraftKings said it has seen a 40% increase in its overall employee headcount, while the operator also recently announced a 20,000sq ft expansion of its Boston global headquarters.

“From our humble origins less than a decade ago, out of a Massachusetts spare bedroom, it is both thrilling and surreal to now have Las Vegas join DraftKings’ team of offices,” DraftKings co-founder and president of North America, Matt Kalish, said.

“This new space further exemplifies our continued investment in the success of our company and employees as we establish our technological prowess within one of the world’s top entertainment destinations.”

The combined SBTech-DraftKings business has set an aim of creating what it described as “the only vertically integrated pure-play sports betting and online gaming company” based in the US.

However, it was also revealed last week that DraftKings made a loss of $114.1m in the first nine months of 2019, with revenue for the period amounting to $192.0m.

The document also confirmed that DraftKings will – eventually – migrate from its current sportsbook technology partner Kambi to SBTech’s solution. Diamond Eagle did not provide a timeline for when this process would start or finish, but did suggest it would continue to use its technology until December 2020.