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00:00But first, let's start off with the story that feels like we've been going at all year long.
00:04It is the biggest story in sports.
00:05It is the ability to predict outcomes in sports without calling it sports betting.
00:11But I guess Massachusetts doesn't like it very much.
00:14And they're saying, basically, you can't operate in our market without having a license like FanDuel and DraftKings.
00:19And they're coming at this company, Robinhood, who you may be familiar with.
00:23Robinhood right now says, hey, we should be able to operate just like these other companies,
00:27filing a federal lawsuit against the Massachusetts Attorney General and the Gaming Commission,
00:32seeking an injunction to prevent the state from shutting them down in the sports event contract trading in Massachusetts,
00:40a.k.a. the prediction markets.
00:42So if other states follow suit, like Massachusetts, there's certainly a chance companies like Calci and some others would not be able to operate in that state.
00:51But as of right now, it looks like it's the Wild Wild West and it continues to operate.
00:55We'll get into it with Sam McQuillen later in the show.
00:58But Massachusetts, one state as of right now that's saying no.
01:01Also, the company that is the daily fantasy company called Sleeper that operates in that space would also like to open up the prediction markets.
01:10Of course, they can.
01:11Of course, they should.
01:12This is very similar to sports betting, but not quite.
01:14Except for the Commodities Future Trading Commission, the CFTC, says, nope, you're violating a law.
01:22And right now, the company says we should be able to operate.
01:26So the partner named Joshua Sterling has sent a letter to the Office of the Inspector General for the CFTC and the United States Department of Treasury,
01:33saying that they should be able to operate just like Calci and some of these others.
01:37It's a very, very confusing and wild time to be involved in sports betting.
01:43And we'll see if Sleeper is able to jump in just like some of these other companies like, of course, Crypto.com and Robinhood and some of these others that are operating these prediction markets as well.
01:52We'll see.
01:53All right.
01:53Tom Brady was in the news yesterday and probably not for the best reasons.
01:57The NFL says Brady did not violate rules for being in the Raiders booth while they were making play calls on offense next to Chip Kelly.
02:06Right now, Brady can operate by staying in the Raiders booth and sit in the coaching box.
02:14Okay, fine.
02:15He's also a broadcaster from Fox.
02:17And that means that he'll do the games on Sunday and maybe fly to Vegas to be in the Raiders booth as well.
02:23Kind of crazy.
02:23All right.
02:25Injured reserve for Aaron Jones, which means it's the Jordan Mason show moving forward.
02:29The Vikings have now lost their starting quarterback and they're starting running back for an extended period of time.
02:35The commanders have signed Preston Smith to bolster their banged up defense.
02:39Right now, the commander is still wondering if Jayden Daniels is going to play this week.
02:43We also found out that one quarterback is not going to play this week.
02:46That is Justin Fields.
02:48A little bit over 15 minutes ago, the Jets announced that he's still in concussion protocol.
02:52Also, Tyrod Taylor going to start for the Jets this week.
02:55The good news for the Buffalo Bills tomorrow night is they will have Josh Allen back starting despite breaking his nose or injuring his nose in last week's game against the Jets.
03:05Allen says he will wear a protective visor on Thursday night.
03:10Yeah.
03:10Yeah, we'll see.
03:11We'll probably wear it in the game.
03:12I'm just trying to get used to it.
03:14Like, what is it like wearing that?
03:16How does that impact your vision?
03:17It doesn't really impact much.
03:20It is, it's weird to say, but it's a little warmer in there.
03:23Like, your voice kind of echoes off of it, too.
03:25So, just, it's just a little bit weirder.
03:28Is that your first year wearing a fight like that?
03:30I mean, I wore one all throughout college.
03:32I just, I don't think I've worn one in a game in the NFL.
03:37But, it's all right.
03:39I'm a little bruised up, but we're all good.
03:41Dabo Swinney and the Clemson Tigers on the outside looking in of the AP Top 25.
03:49They did not expect that to happen this season.
03:52Swinney seems to be, I don't know, I got to say losing it a little bit.
03:55In his weekly press conference with the media, Swinney says, basically, the team has been really good in the past.
04:00And you have to acknowledge the past.
04:02And we've won a lot in the past.
04:03So, don't worry about the present.
04:06What's so bad about our program?
04:09What's so bad about it?
04:11Like, what's so bad about the worst season that we've had 14 years?
04:16How many programs in college football would sign up for, and only once, 14 years of nine wins?
04:23How many programs would sign up for that?
04:25In the playoffs, we all talk about, we've been seven times in 10 years.
04:28Who can say that?
04:30If we stink because we haven't played for the national championship since January of 20,
04:35well, I guess we stink.
04:38Or we haven't won it since January of 19.
04:41We haven't won the national championship.
04:43Well, then I guess we stink.
04:44But why are we held to a different standard from all these other teams out there who ain't
04:48ever won nothing?
04:50We're not perfect.
04:51And we may suck this year.
04:52We may lay a freaking egg and go six and six.
04:55But I don't think so.
05:00All right.
05:00Dabo had a good morning.
05:02That's for sure.
05:03All right.
05:03Florida Gators got into a little skirmish before the game against LSU in their Saturday night affair.
05:09And their associate head coach, Jabbar Jaluki, gets a three-game ban for participating in that scuffle.
05:15That would include this Saturday night when, of course, the University of Miami takes on Florida.
05:21Meanwhile, we've got a new favorite to win the Heisman Trophy Award this week.
05:25It is Carson Beck of Miami.
05:26He's plus 750, followed by John Mateer of Oklahoma.
05:31The New York Mets at one point lost eight straight games.
05:33It seems like they've got things going now back in the right track.
05:36They've won a couple of games in a row, including beating the Padres, thanks to a five-run first inning yesterday.
05:43Final score, 8-3.
05:44Carlos Mendoza supremely happy.
05:47The Bats have started to get going.
05:49Not really.
05:52Yeah, it was good to get that one on Sunday against, you know, something positive for the off day.
05:59But I just thought today, nothing in particular other than really good at Bats, you know, executing a good game plan,
06:07and especially against King there from the first inning.
06:11But as far as, like, not really, but just like I said, good players going out there and executing.
06:17Obviously, the piggyback situation worked about as well as you could have hoped for.
06:21Is that now something that you think you'll plan on rolling out again on Sunday?
06:26Yes, but we still got to talk about whether we want to go the same way with Clay or Sean,
06:33or do we start Sean because of the lineups, looking at the Nationals and some of their lefties at the top.
06:39So we got to have those discussions, but that's the plan, to do it again on Sunday.
06:44Diamondbacks are hanging tight in the race for the final wildcard behind the Mets.
06:49They beat the Giants 6-5.
06:52Unfortunately, the Giants seem to be falling further and further back.
06:55Here's Bob Melvin.
06:56Before I first started, I was going to have that early lead, get that early lead.
07:01It's frustrating.
07:02It's frustrating.
07:03All these games we lose like that are frustrating, especially against a lefty who, you know, we've had trouble against,
07:10and had a tough time with them last time to be able to score four in the first, get another one in the third.
07:16After that, we didn't even feel like we got a base running.
07:19All these losses are frustrating to lose like that where a ball doesn't, you know, after Carroll doesn't even leave the infield.
07:25It's really frustrating.
07:26You know, we got to step on the bag at first.
07:30Got to make a cleaner play.
07:31You know, as far as going by walk, it's just, yeah.
07:38Well, yeah, we did some good things, too.
07:41But, you know, in Flo's case, you know, he's got to get the out at home so you can understand you're not perfect trying to get, you know, the priorities getting it at home.
07:50But, you know, there's a lot of new things for Casey at second base.
07:54But one of them, he's got to get on the bag, and obviously he didn't.
07:59And that was a huge part of the inning right there.
08:02Dodgers had Shohei Otani on the mound yesterday.
08:05He threw five hitless innings and also hit a home run.
08:08Phillies beat the Dodgers.
08:10Welcome back to Newswire here on Sports Grid.
08:12Great to have Sam McQuillen in the house.
08:13You can read more of Sam's work over at legalsportsreport.com.
08:17And Sam, of course, locked into everything happening with the start of the football season, both college and pro.
08:22Great to have Sam on.
08:23And so, Sam, I know downloads are down a little bit for the sports betting apps, of course, across the United States because we just have no legalized sports betting states this year outside of Missouri.
08:36And we have to wait until December for that.
08:38But what are the numbers showing thus far as far as the two leaders are concerned?
08:42Is there a big discrepancy between FanDuel and DraftKings in this point?
08:47And also the bottom line, is there anyone viable in third place with a chance to jump over the two leaders?
08:55Right.
08:56So that's a lot to unpack right there.
08:58Week one, of course, downloads were down for every sports book not named Bet365 or Fanatics.
09:05You know, those were our newest sports books to the race.
09:07So they're working from a smaller kind of pool from last year, have launched in more states, launched more promos.
09:13But good news for the sports books this week is the apps, the download numbers, which had been on the decline, actually increased by 34 percent this past week of football.
09:23So numbers bounce up after a slower start.
09:26Again, you mentioned that we don't have any new sports betting states on the onset of the NFL this year.
09:31We do, of course, have more people that turn 21 every year.
09:34So that's, of course, a little bit responsible for the bump there.
09:37And you also had the Canelo Crawford fight, which I think a lot of people in the industry believe attracted a lot of new bettors, a lot of casual bettors.
09:45The fight was on Netflix.
09:46So you're working from that pool last week as opposed to week one of the NFL, where you don't have as much.
09:51Now, as far as who's in the lead and who's benefiting where we're going from here, DraftKings overtook FanDuel for the top spot.
09:57They're now the most downloaded sports book this NFL season with about 750,000 downloads.
10:03Really interesting when you look at the third and the fourth spot, you have Bet365 and Fanatics, which were, again, that first week, they were the only sports books that grew.
10:13The good news for the other sports books in terms of downloads this week is even when you take out Fanatics and Bet365, app downloads still grew about 20 percent across the board overall.
10:23So it's no longer where these apps are kind of outliers pulling those numbers forward on the actual game outcome front and how they're doing this NFL season.
10:32It's not a great start.
10:34You actually had a report come out today that the Ravens versus the Bills, the first Sunday night football game, was the single worst game outcome in DraftKings history.
10:44So they're reeling from that.
10:46Obviously, the game went over.
10:47A lot of people met Bet on the Bills live when they were down.
10:50Bills completed the comeback on the popular player props have cashed as well.
10:55Just this past week, you had about 80 percent of the games, I believe, go over, which, again, is not good for the sports books.
11:00This is all stuff that gets looked at as well as the app data and the download data for how they're kind of doing overall this year.
11:08You kind of have them holding at about eight percent right now, which isn't great.
11:12They're targeting about 10 percent on the season.
11:14So investors are going to want to see some more improvement there as well.
11:17But definitely encouraged by the app downloads week to seem to have gone a little bit better from the game standpoint versus week one.
11:24So it's not quite a success story where they're turning everything around.
11:27But it definitely wasn't as bad a start to a start to the week as it was for week one, where they kind of were starting from that that lower standpoint.
11:35So, you know, going forward, I think we're just going to have more attention paid to the game outcomes from a stock standpoint.
11:41You have DraftKings down about seven percent from the start of the season, which, you know, a lot of Wall Street investors predicted.
11:48This year, more than ever, we're going to have the game outcomes really matter.
11:51FanDuel down about seven percent as well.
11:53So it's something we're going to keep monitoring every week on this show and talk about kind of how the app downloads are moving and then how the sports books are doing as well.
12:00You know, from a profit standpoint, week to week.
12:04Yeah, it is great insight.
12:06It's also strange to me that through two weeks of the NFL season, we really haven't had any big upsets again in the NFL.
12:13I would have to think that that would normalize, but it's almost back to where we were a year ago.
12:17OK, so the biggest difference in sports betting from a year ago is if you live in Texas and California, you can't bet legally on sports.
12:24But you could pop up Kalshi and some of these other prediction markets and kind of do the same thing.
12:29And it looks like, Sam, to me, that Kalshi in particular has decided, hey, no one's stopping us.
12:34So let's throw some more props on our board and our app as well.
12:38And so the story that just keeps growing is growing even more in terms of finances.
12:44And by adding more props, it's only going to mean more money for them, right?
12:47Yeah, 100 percent.
12:50They've done a ton of business so far in the NFL, so it's no surprise, you know, every week they're making more steps to grow the business even more.
12:57You had just this week, Kalshi submitted a self-certification filing with the CFTC, which will allow it at some point, could be tomorrow, could be, you know, this weekend,
13:08to start offering player props on passing yards, rushing yards, pretty much everything that you see at a sportsbook.
13:15Now, Kalshi already offered touchdown props, but that was it.
13:18You didn't have the robust menu of betting options that you have at a sportsbook.
13:22So, you know, just a week ago, we were talking about how they changed their entire interface to include spreads, money lines, and totals in kind of a box format that really looks a lot like a sportsbook.
13:31And it's funny, Craig, too, you mentioned that, you know, in California and Texas, where there is no legal sports betting,
13:36you actually have Kalshi putting ads out there saying that sports betting is legal in California, sports betting is legal in Texas, as long as you bet with Kalshi.
13:44So you have on, they're kind of talking on both sides of their mouth.
13:48We're on the marketing, on the marketing end of things.
13:50They want to be a sports betting product.
13:52They're certainly, you know, from a technological standpoint, trying to become more and more of a sportsbook.
13:57But then you have on the flip side, the regulatory front, where you have several states, including Nevada, New Jersey, Maryland, all suing to stop Kalshi.
14:05Massachusetts recently as well saying that, hey, what you're doing is unlicensed sports betting, and you need to go through us first in order to do it.
14:12In California, you have the tribes have sued there as well.
14:14Obviously, you know, sports betting isn't legal in that state.
14:17In the meantime, you have judges so far ruling in favor of Kalshi saying that, you know, this is regulated by the CFTC until the CFTC declares that these are markets that we cannot be offering,
14:27and that these actually should be under the states.
14:29Then you can kind of go ahead and let the lawsuits play out.
14:32So the backdrop of that is Kalshi investing more and more.
14:35They've made some, you know, key hires in the gaming business.
14:37You had their competitors jump in as well, Polymarket planning to reenter the U.S. with a very similar product, Underdog Fantasy, now Underdog Sports,
14:45doing the same thing with the sports prediction market that just launched last week under partnership with Crypto.com.
14:51So kind of the story here is they're going to keep expanding and keep expanding.
14:54And, you know, next week, next week, we could be talking about them adding parlays and who knows what after that.
15:00And meantime, kind of regulation is struggling to keep up.
15:03Yeah, I'm very curious how the year ends with these prediction markets.
15:09I know in less than 90 days we're going to have a legalized sports betting market in Missouri.
15:15December 1st is the launch date.
15:17Are we clear exactly which sports betting operators, Sam, at this point will launch on that day?
15:22Yeah, it looks to be the major eight that you see in pretty much every state.
15:27That's the DraftKings, the FanDuel, the Caesars, the BetMGMs, ESPN Bet hasn't quite completed their application process yet.
15:35But we're rounding out the date when they need to.
15:36And they're expected to join in as well in Missouri, which, again, will be the only state that launches sports betting this year.
15:43So it's going to be a little bit different than in the past when maybe you had, you know, 10 states launch in one year.
15:48And some operators kind of tried to prioritize their presence in different markets, tried to rationalize their promo spending because they were giving out tons of money.
15:56That's a lot different now because you only have this one state.
15:59Missouri obviously is home to some, you know, very valuable sports teams and sports teams that garner a lot of interest, especially the Kansas City Chiefs.
16:06So it'll be really interesting to see kind of how the market shapes up ahead of the launch.
16:11And especially when we only have, you know, a couple of states on the board left to legalize sports betting.
16:16So over these next few months before December, you're going to have them going through all the application process, them figuring out what you can bet and can't bet in the state, which will be key.
16:26I'm in a state like New York where you can't bet on things that are decided by, you know, opinion awards like MVP or Coach of the Year.
16:35So we're going to be able to find out whether or not that happens in Missouri pretty soon.
16:39So we'll take a look at how their market is shaping up in the coming weeks.
16:42And a lot of that is from the feedback that these sports books are going to give.
16:44But so far, you have all the major ones really interested in Missouri, which, again, isn't a huge state, but it'll be pretty important because it's the only one this year.
16:53I agree. All right, Sam. Great stuff, as always. Have a great rest of your week. We'll catch up again.
16:57Will I see you Friday? Are you back here, Fred?
17:00You will see me Friday. God willing.
17:02Okay. So I'll see you then. Thanks, Sam, for coming on. Appreciate it.
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