DraftKings Set to Enter the Irish Market
One of the daily fantasy giants, a Boston-based company DraftKings, is ready to increase its presence on the other side of the Atlantic Ocean, and if we are to believe what recent reports are saying, the next stop is Ireland.
The plans became public only a couple of weeks after the long-awaited merger between two great market rivals, DraftKings and FanDuel, was canceled by the US Federal Trade Commission. The Commission justified this decision by stating the merger would monopolize the DFS market in the United States.
Arriving by the End of 2017
According to the available information, DraftKings plans to offer its gaming services in Ireland before the end of the year.
Jeffrey Haas, DraftKings’ Chief International Officer, confirmed the company would offer its services to Ireland-based consumers, but he added there are no plans to open a headquarter in that region.
Haas didn’t want to reveal any details regarding the amount of money that the company plans to invest in Ireland. He said it would be best to see how the business developed over time.
According to the reports, DraftKings sent a letter to the Irish Finance Department, while the main topic of it was related to tax reviews.
Taxation and Other Issues
The letter, signed by Haas, suggests that the size of the tax on the net revenue generated by the operators should be between 4% and 5%. Haas also expressed the company’s intention to increase its presence in the Irish market.
Haas stated the Irish sports fans were incredibly passionate and that they made themselves known wherever they were found.
Whether this will be a good business move is yet to be seen, mainly because daily fantasy sports is not as popular as some other forms of online gambling.
Apart from that, Draft Kings will have a strong competition in the form of sportsbook Paddy Power-Betfair, which recently purchased US-based fantasy sports operator Draft in a transaction worth $19 million.
DraftKings currently operates in North America and in three European countries (UK, Germany, Malta), with seven million players across the globe.