ESPN reported this week that its long-awaited streaming service debuts in fall 2025 for a $29.99-per-month fee.
A greater integration with sports betting is at the heart of the new service, including a deal with PENN Entertainment and ESPN's BET brand.
Key takeaways
- ESPN’s new $29.99/month streaming service launches this fall with advanced betting integration.
- PENN Entertainment expects watch-and-bet features to boost ESPN BET engagement and market share.
- Personalized SportsCenter content and betting tools aim to differentiate ESPN’s platform from competitors.
The streaming service represents a turning point in the history of sports media. The move is a radical shift for the sports media giant Disney owns, one Chairman Jimmy Pitaro called potentially the "largest transition" in the company's history.
At the center of this strategy is a cascade of enhanced betting features incorporated into the new app. ESPN's betting brand, ESPN BET, which PENN will operate under an exclusive licensing deal, serves as the basis for these rollouts.
PENN entered a 10-year, $1.5 billion agreement with ESPN in 2023 to exclusively use ESPN's brand on its sportsbook operation. The contract has an opt-out clause after three years, keeping both parties on their toes to prove material market progress over the short term.
ESPN achieved a significant milestone in November 2024 when it introduced linking ESPN accounts with ESPN BET accounts. This let users switch between sports content and betting functionality seamlessly. According to Barclays analyst Brandt Montour, this feature led to a jump in time customers spent on ESPN BET, betting frequency, and increased parlays wagered.
Best in class
Its new app should leverage these early successes. PENN Entertainment Chief Technology Officer Aaron LaBerge touted the forthcoming watch-and-bet features as "best in class," where customers can place wagers on live broadcasts with minimal disruption.
Most industry analysts see this type of in-stream integration as central to future growth in the sports wagering sector. It enables more mainstream audience members to partake in the betting experience using familiar media environments.
One of the innovations waiting in the platform's pipeline is a personalized version of the network's flagship program, "SportsCenter," internally titled "SportsCenter for You." The service will use AI technology to personalize content based on the individual user's personal choices, such as preferred teams or rival clubs.
ESPN BET VP Mike Morrison explained that while the company desires a completely personalized betting experience, it would fall victim to regulatory and contractual issues surrounding broadcast rights. However, Morrison pointed out ESPN BET is seriously considering offering features such as a "streaming game pass" that reward customers with viewing access to select games if they bet on them.
The imminent launch is imperative not just for ESPN but also PENN, whose uneven performance on ESPN BET since its release has kept it anxious. With long-standing incumbents controlling the online sports betting market, the two companies are pinning their hopes on high-profile branding and frictionless product integration to boost growth.
