ESPN Ends Partnership with Penn Amid Gambling Scandal

NEW YORK, Nov. 6, 2025 – In light of a significant gambling scandal, ESPN has decided to terminate its partnership with Penn Entertainment. On Thursday, the two companies announced the early end of their U.S. online sportsbook deal, effective Dec. 1, 2025. As part of this shift, ESPN Bet will be rebranded as theScore Bet.

Under the initial agreement, which was established in August 2023, ESPN provided its name, trademark, and marketing services in exchange for $150 million annually, along with stock purchase warrants. The deal was set to last for ten years but included a termination clause allowing either party to withdraw after the third year if certain market performance indicators were unmet. It appears those thresholds were not achieved.

Jimmy Pitaro, chairman of ESPN, stated, “We are now pursuing other media and marketing opportunities within this space.” The final payments to ESPN will cease in the current quarter, though Penn will still advertise on ESPN’s platforms.

Jay Snowden, CEO of Penn Entertainment, commented on the partnership’s end, saying, “While we made significant progress in improving our product offering, we have mutually agreed to wind down our collaboration. We plan to refocus our digital strategy on our growing iCasino business.” He added that theScore Bet is set to launch in Missouri on the same day the partnership ends, pending regulatory approvals.

Despite the partnership’s collapse, Pitaro praised the collaboration, noting that ESPN drove over 2.9 million new users to Penn’s ecosystem, leading to an increase in first-time bettors this fall. “We appreciate the collaboration we had with Penn,” he said. “Together, ESPN and Penn created a truly unique offering.”

This decision comes amid a federal investigation into illegal sports betting that recently implicated NBA player Terry Rozier and other high-profile figures, adding more complexity to the gambling landscape in the sports industry.