Disney CEO: We are “working very hard” on sports betting app

Disney has confirmed the company is working to develop an ESPN sports betting app as the media giant looks to diversify its product output.

Speaking at Disney’s D23 fan event in Anaheim, California, Walt Disney Group CEO Bob Chapek confirmed plans to use its ESPN brand to expand into the world of sports betting sooner rather than later.

Disney was first linked with exploring sports betting opportunities in November 2021 when Chapek suggested Disney could partner with third parties to bring about an ESPN sportsbook.

These comments were then echoed by ESPN president Jimmy Pitaro in June 2022, who suggested sports betting was a “must-have” area of development.

Returning to a potential launch of sports betting, Chapek noted that data from Disney’s younger customers revealed a desire for sports betting.

He said: “Sports betting is a part of what our younger, say, under-35 sports audience is telling us they want as part of their sports lifestyle. We’re working very hard on [developing a sports betting product].”

Last month, a New York-based hedge fund called on Disney to spin off ESPN as a separate business to help support its sports betting aspirations.

Third Point CEO and chief investment officer Daniel Loeb said: “ESPN would have greater flexibility to pursue business initiatives that may be more difficult as part of Disney, such as sports betting.

“Customers of ESPN and sports leagues would be better served by a focused management team driving a leadership position in sports distribution.”

At the D23 event, Chapek revealed he had received as many as 100 enquiries from interested parties following Loeb’s call.

Reflecting on the worth of the ESPN business, Chapek remarked: “If you have a house that you’re going to put up for sale and you have a hundred buyers, you’ve probably got a pretty cool house.”