MGM Resorts Kicks US Partner Entain to the Curb as BetMGM Mobile Comes to UK
MGM Resorts International announced Thursday the launch of its BetMGM iGaming and online sports betting brand in the United Kingdom, kicking off MGM Resorts' strategy of expanding the BetMGM brand into international markets. But the real news here is that MGM Resorts has chosen not to join forces with Entain, the company's current mobile betting partner in the US. Instead it will directly compete with Entain on its own turf by leveraging the technology and platform of LeoVegas, the Swedish-based gaming company acquired by MGM Resorts last year. Entain operates both the Ladbrokes and Coral brands in the United Kingdom.
Entain, which is responsible for operating the BetMGM brand, has come under extreme fire over the past two weeks after an apparent software glitch resulted in what that mobile sportsbook called "an obvious error". That so-called "obvious error", however, was only caught eight hours after a series of parlays totaling $3000 were placed on Same Game Parlays involving a Vietnam-Netherlands Woman's World Cup match. BetMGM went on to completely cancel Fairfax County, Virginia Special Ed teacher Kris Benton's bet, resulting in what would have been a $215,000 payout.
Surgical Stream host Trent Attyah posted a video calling BetMGM's action "the most ridiculous move by a sportsbook he's seen in the last five years".
Imagine winning $200,000 on parlays and not getting paid out…
— Trent Attyah (@BookitWithTrent) August 17, 2023
(via @gambling911) pic.twitter.com/PAEYMaxlrt
Attyah's more than 185.6K followers seemed to all agree with his assessment.
Prophet Props tweeted: "Y’all already know if those bets lose MGM is pocketing that shit no questions asked about the misprice. Pay the man."
The Conductor wrote: "Really hope this guy can get his cash out of the book. Wonder how many times this happens on smaller wins and bettors just walk away. Add up all those reversed bets."
NorthsideCapper expressed his concerns regarding the controversy: "Bro, that’s my fear everyday. It’s why I’m scared to win all these $1 million dollars bets."
Bigfoot writes: "Woulda been at their headquarters like Ice Cube every single day. This is BEYOND nasty and I’m sure there’s more stories we never even hear about."
Joshua: "Teach needs his retirement funds. Effed up @BetMGM."
T.A. writes: "Ive had so many issues as well with @BetMGM. Total joke of a sportsbook. Pay that man his money."
luukahhhdawnchick had this to share: "Bro MGM sucks. I couldn’t withdraw my money without becoming a VIP member or driving 3 hours to pick it up in cash. They had no issues with me depositing."
And Sam demanded: "Pay the teachers".
Calling for everyone to #boycott @BetMGM for not paying out Chris his winning parlay. You’re a disgusting company and I hope this ruins you and any chance you people ever had at happiness. #JIHYO #thursdayvibes #sportsbet #sportsbettingtwitter
— Robert Gangi (@Josh28796782) August 18, 2023
Attyah called BetMGM's $100 free bets bonus offered as a concession "so fucking disrespectful".
The Virginia Lottery, which oversees BetMGM in the commonwealth where the bets were placed, only found out about the cancelled $215,000 bet after being alerted by Gambling911.com. On Thursday, the Lottery advised G911 that Mr. Benton has since filed an official complaint and is unable to comment in regard to ongoing investigations at this time.
MGM Resorts International move to partner with a different gaming company in the UK took some analysts by surprise.
Sports Handle writer Matt Rybaltowski tweeted: "Now that BetMGM's intl brand will leverage LeoVegas' tech platform in the U.K., it's only natural to question whether the move will revive M&A talks between MGM Resorts and Entain. BetMGM UK will become a direct competitor w/ top Entain brands Coral and Ladbrokes."
MGM sought to buy Entain last year, but its bid was rejected. Entain owns Ladbrokes and Coral in the UK.
Now that BetMGM's intl brand will leverage LeoVegas' tech platform in the U.K., it's only natural to question whether the move will revive M&A talks between MGM Resorts and Entain. BetMGM UK will become a direct competitor w/ top Entain brands Coral and Ladbrokes #GamblingTwitter pic.twitter.com/eNLr0xIQ7V
— Matt Rybaltowski (@MattRybaltowski) August 17, 2023
Shares in Entain fell 4.8% at 1,174p by Thursday's end of day trading.
The cancelled bet scandal broke the same week that Entain reportedly set aside $744.5M for potential settlement over bribery probe of former Turkish unit.
Last December, BetMGM confirmed a massive customer data breach months prior.
MGM is said to be at the center of a federal probe involving current and former casino executives.
Federal agents out of California are investigating allegations these high ranking employees at MGM properties used comps and promo chips to pay off personal gambling debts to Wayne Nix, a former minor league baseball player, and money owed to an illegal sports betting operation Nix admits he operated with a handful of others. The Nevada Current's Dana Gentry also reports that casino customer data may also have been compromised.
For now, MGM says "the joint venture between MGM Resorts and Entain, will continue to operate the BetMGM brand in the United States and Canada utilizing the technology and platform provided by Entain.”
Emphasis on the "for now".
- Alejandro Botticelli, Gambling911.com Senior Correspondent
