Australia’s largest bookmaker, Tabcorp says it is preparing to enter UK’s GBP 3 billion (US$4.2 billion) a year online gambling market with News UK in Spring, according to the Financial Times.
Sun Bets is scheduled to launch within six months, with Tabcorp in charge of the gambling platform, and News UK to promote the joint venture through its titles.
Tabcorp is reportedly spending A$20 million over 12 months to get the venture off the ground. Under the deal, Tabcorp will provide News UK with a share of revenue from Sun Bets.
Tabcorp’s chief executive officer, David Attenborough says the deal with The Sun will ensure it will not need to spend a lot of energy in establishing a new brand, instead it can concentrate on the product and delivering great customer service.
“High quality global journalism requires investment. You can’t carve out a share of a new market without a brand people know”, says Attenborough in a quote to Financial Times.
The Sun has more than 10 million readers a week and one million fans engaged in its fantasy football competition.
“It is a natural step for us” said Attenborough. “We have worked with News Ltd closely in Australia and built up a high degree of trust. They have one of the strongest brands in the UK with half of the UK betting population regularly reading or engaging with The Sun.”