DraftKings Pays $50 Million for Rights to Dan Le Batard's Show

DraftKings has agreed to pay at least $50 million over three years to distribute Dan Le Batard's show, which he took on his own after leaving ESPN last year.According to the Wall Street Journal, DraftKings will look to make money on the show by selling advertising and by sub-licensing the podcast to radio stations and other audio providers.

Le Batard and former ESPN President John Skipper formed Meadowlark Media earlier this year. The media start-up owns Le Batard's podcast and other podcasts included on his network.

Meadowlark Media has been described as a “progressive response to OutKick," a company that will go further Left than ESPN. Jemele Hill is already involved.

An interesting note in the report is that DraftKings will try to sub-license the podcast to radio stations. Le Batard's show, while a digital success, did not perform even average on ESPN Radio. Outside of Miami, where Le Batard made his name, the terrestrial radio market could be limited.

Le Batard's podcast averages 10 million to 12 million monthly downloads. The WSJ adds that Meadowlark opted to license the podcast as it does not have a "dedicated ad sales staff or a team of deal makers who can strike deals with different providers."

OutKick's Sam Amico previously wrote that Meadowlark Media's investors include DraftKings, Snap Inc. chairman Michael Lynton and DAZN, where Skipper most recently served as a chairman. Lynton is also the former head of Sony Pictures.