US media giant Gannett has altered its affiliate partnership with Tipico, removing exclusivity for the operator.
Gannett – which owns the country’s leading newspaper by circulation, USA Today, as well as a large network of local newspapers – had signed a deal with German market leader Tipico last year, as the operator looked set to expand in the US.
The operator committed to $90m in media spend over the five-year agreement, while Gannett would also receive referral fees for customers that place bets after being directed to Tipico from Gannett properties.
That agreement replaced Gannett’s partnership with MGM-Entain joint venture BetMGM, meaning the media business would promote Tipico odds instead of BetMGM’s.
At the time, Tipico looked set to expand in the US, having recently gained approval to launch in Colorado and having already launched in New Jersey.
However after launching in Colorado the following month, Tipico has now not entered any new US markets in the following year. In Ohio, the operator has applied for a license, but this market has not yet launched.
Now, Gannett and Tipico have restructured the deal.
“We restructured the terms of our agreement to better align the goals of both parties,” a Gannett spokesperson told iGB.
Under the new deal, instead of exclusively promoting Tipico, Gannett properties may now promote other operators in states where Tipico does not hold a license.
“The newly structured four-year agreement enables us to work with other parties in different states where Tipico is not licensed while still providing Gannett with qualified player referral fees.”
“This continues our close relationship and strategically allows us to also explore opportunities with other sports gaming providers.”
Previously, the deal also allowed Gannett to purchase equity in Tipico, but this has also stopped.
Tipico has been subject to acquisition rumors with a focus on the US, with sportswear giant Fantatics being linked to a takeover of the business. Representatives for both companies declined to comment on the rumors.