DraftKings Slashes Workforce Due to Changes in Priorities

DraftKings is undergoing another round of internal changes, resulting in layoffs. Speaking to gaming news outlet NEXT.io, a DraftKings spokesperson explained that this reorganization comes amid changes in priorities.

DraftKings’ Priorities Continue to Evolve

As numerous DraftKings workers suddenly found themselves without a job, a DraftKings spokesperson contacted NEXT.io to make some clarifications. The layoffs affected workers across various business segments, including software engineers and recruiters.

The company spokesperson explained that these layoffs were due to the internal reorganization of some of the company’s teams. They elaborated that this seeks to align DraftKings’ people with the company’s most important priorities and areas of investment.

The spokesperson said that, unfortunately, these changes will inevitably impact multiple people across the company. However, they argued that this reorganization is necessary to ensure DraftKings’ long-term growth.

The changes come amid certain headwinds for the company. DraftKings stock has been on the decline for several months, forcing the business to consider restructuring and new business ideas.

DraftKings Still Looking to Fill Certain Roles

At the same time, DraftKings’ website still lists 80 open roles. The operator’s recruiters recently announced on LinkedIn that they are looking for a new lead analyst for trading analytics, a new senior product manager for DraftKings’ marketing team, and a senior director of compliance to join the DraftKings Predictions team.

The latter position aligns with DraftKings’ exploration of the growing prediction markets sector. In recent statements, DraftKings highlighted prediction markets and artificial intelligence as core aspects of its business plan.

Prediction markets remain a point of contention, but their success is an undisputed fact. At the same time, regulators, traditional sports betting industry stakeholders, and tribal operators have all rejected this novel form of trading, accusing it of being betting in disguise.

DraftKings Keeps Exclusive Spot in NH, Looks for a License in AR

In other news, DraftKings just cemented its position as the only online sports betting provider in New Hampshire after securing an extension to its deal with the New Hampshire Lottery. The company has held an exclusive position in the state’s regulated betting market since the market’s launch in 2019.

In the meantime, DraftKings, along with FanDuel, is looking to secure a license to operate sports betting in Arkansas.