The proposed merger between the top two fantasy sports platforms, DraftkIngs and FanDuel, has been terminated. Announced way back in November of last year, both companies would have owned 90 percent of the daily fantasy sports market which included football, basketball and “human cock-fighting.” There have been questions of the profitability for both companies for some time, especially with the amount of money both were throwing out for advertising in the past years. Another factor would be the legal cost that were estimated to be range from $12-15 million to combat the FTC. In other news everyone else’s inter-office company fantasy leagues are under no legal threat.



“If everyone is being honest with themselves, the merger was off the second the FTC’s decision was announced,” a source with close ties to the companies and their CEOs told ESPN. “Both companies can use the money that would have been spent on litigation on government affairs … I think it is a sign of their maturation. Rather than burn a pile of cash with little to show for it, use the money to continue to shore up any remaining concerns about legality in key states.”

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Source: [H]ardOCP – DraftKings and FanDuel Merger Off