OpenBet and Fanatics Join Forces on Safer, Smarter Sports Betting

The partnership between OpenBet and Fanatics Betting & Gaming is more than a standard supplier deal, it is a snapshot of where the sports betting industry is heading. Operators are leaning heavily on AI, real time data, and cloud tech to make betting safer, more compliant, and easier to scale across many markets.

Under this agreement, Fanatics is rolling out OpenBet’s full Protect Suite. That means two core products are being wired into Fanatics’ sportsbook and casino stack: OpenBet Locator, which handles geolocation and fraud checks, and Neccton, an AI powered platform for responsible gambling and anti money laundering (AML). Together, they form the backbone of OpenBet’s Protect pillar, the part of its portfolio focused on compliance, player protection, and operational efficiency.

Fanatics frames the move as a way to offer customers a secure but low friction experience while strengthening its internal safety and compliance framework. OpenBet describes the dual integration as a milestone for its Protect Suite and a new benchmark for responsible gaming, AML monitoring, and geolocation compliance. Both sides present it as an example of what happens when two tech driven companies align around trust, safety, and player experience.

The sections below break down who these companies are, what the Protect Suite actually does, how it compares to rival solutions, and why this matters in the wider betting ecosystem.

The Companies Behind the Deal

OpenBet in brief

OpenBet traces its roots back to 1996, when it launched as Orbis Technology in London. It rebranded to OpenBet in 2010 as its sportsbook platform gained traction with major European bookmakers. Over the years it has been owned by several groups, including Scientific Games and Endeavor. In 2022 it was acquired by Endeavor for hundreds of millions of dollars, then in 2025 it completed a management led buyout under the OB Global Holdings banner.

Over close to three decades, OpenBet has become one of the most established B2B sportsbook and platform providers in the industry. Its systems have processed a large share of digital sports bets in mature markets such as the UK, Canada, and Australia, and historically have powered a significant percentage of online bets in the United States. The company now serves more than 200 customers worldwide, ranging from tier one sportsbooks to state lotteries and tribal operators. It is particularly strong in the World Lottery Association space, where it powers around 20 lottery operators.

Financially, OpenBet sits in the mid sized but high value category. Public and industry estimates generally place its annual revenue in the low hundreds of millions of dollars, with transaction values in recent acquisitions and disposals around the 800 million dollar mark. In competitive terms, it operates alongside other major sportsbook platform providers such as Kambi, EveryMatrix with its OddsMatrix product, BetConstruct, and Amelco. All of these companies focus on modular, API based platforms that operators can configure for their own front ends and markets.

OpenBet’s big differentiators are scale, reliability, and compliance expertise. Its platform regularly handles billions of bets per year and is engineered for zero downtime during major events like the Super Bowl or World Cup finals. The architecture is multi tenant and microservice based, deployed across multiple AWS regions so it can absorb traffic spikes quickly and fail over gracefully. That same cloud infrastructure now underpins newer services such as OpenBet Locator.

Fanatics Betting & Gaming inside a larger sports empire

Fanatics Betting & Gaming (FBG) is one business line inside the broader Fanatics group. Fanatics itself is best known as the dominant retailer and wholesaler of officially licensed sports merchandise, from team jerseys and hats to memorabilia and collectibles. It runs online shops for many major leagues and teams, and over the last few years has expanded into trading cards, live commerce, and other fan engagement products.

By 2024, Fanatics’ total revenue was estimated at roughly 8.1 billion dollars, growing at about 15 percent year over year. The bulk of that still comes from its core commerce operation, with a smaller but fast growing slice from collectibles and an even smaller contribution, around a few percent, from betting and gaming. Even though betting is still a minor share of revenue, it is one of the company’s main growth levers.

Fanatics Betting & Gaming accelerated its entry into US sports betting by acquiring PointsBet’s US operations. That move allowed Fanatics Sportsbook to launch quickly across roughly 20 states, covering around 95 percent of the total addressable US online betting market. From a cold start, Fanatics has gone to an estimated mid single digit market share in US online betting handle in just a couple of years, with some jurisdictions and months showing above average gains.

The company’s big strategic advantage is customer acquisition. Fanatics already has access to tens of millions of known sports fans who buy merch and collectibles. Instead of relying only on expensive national TV campaigns, the company can cross sell betting directly to this base using email, app notifications, and on site placements. At the center of this approach is FanCash, a universal rewards currency that works across commerce, collectibles, and betting.

Fanatics’ founder and CEO Michael Rubin has said that he expects gaming to become a much larger driver of profits by the late 2020s, and that the company is willing to invest aggressively in technology and acquisitions to get there. That view helps explain why Fanatics is choosing advanced third party technology like Neccton and OpenBet Locator instead of building minimal internal tools.

What OpenBet’s Protect Suite Actually Does

OpenBet structures its product lineup into several pillars, and Protect is the one focused on risk and compliance. The Protect Suite combines three main elements:

• OpenBet Locator, which provides geolocation checks and location based fraud detection

• Neccton, which provides AI driven responsible gambling, AML, and fraud monitoring

• Supporting compliance services, reporting, and integrations with regulators and third party data providers

The aim is to give operators a single, unified way to address several regulatory obligations at once. Through one set of integrations, an operator can verify that each user is in an allowed jurisdiction, flag suspicious financial activity, and identify early signs that a customer may be at risk of gambling harm.

OpenBet’s 2023 acquisition of Neccton was a pivotal step. Before that, OpenBet could integrate various responsible gambling tools, but Neccton gave it an academically grounded, battle tested system that had already been deployed by dozens of operators. Launching OpenBet Locator then broadened that into the geolocation domain, turning Protect into a more complete regtech layer rather than a collection of add ons.

In the Fanatics deal, both Locator and Neccton are being used together. They plug into Fanatics’ sportsbook stack on top of OpenBet’s core betting platform, so Fanatics can treat Protect as a built in capability instead of stitching together several separate point solutions.

OpenBet Locator, Geolocation and Fraud in Real Time

Geolocation has become essential in modern betting because many regulators license online wagering on a state or provincial basis. Operators have to prove not only that a customer is of legal age and properly verified, but also that each bet was placed inside a legal geographic boundary.

OpenBet Locator is designed to solve that with a cloud native approach. It runs on Amazon Web Services and is engineered to deliver:

• High accuracy location checks, with low latency so users do not feel delays

• Flexible management of geo fenced areas, so operators can define and modify allowed and restricted zones without long release cycles

• Detection of behaviors such as VPN use, GPS spoofing, and other location fraud patterns

• Real time data feeds that can be used in risk monitoring tools and customer engagement systems

Instead of being one large monolithic application, Locator is delivered as a modular set of services that can scale independently. It integrates closely with OpenBet’s sportsbook platform, but can also be offered in a more standalone way to other customers.

OpenBet has explicitly positioned Locator to serve complex regulatory environments such as the United States and Brazil, where legal and illegal regions can be tightly interwoven and may evolve quickly. In this space, it competes directly with specialists like GeoComply and newer players such as IC360, which have historically dominated geolocation in North American betting.

For Fanatics, bringing in Locator through OpenBet means it can standardize on one main technology partner for both the trading platform and the location compliance layer. That reduces integration overhead, simplifies incident handling, and can make onboarding journeys cleaner, since location checks are tightly coupled to the session and account state.

Neccton, AI for Player Protection and AML

If Locator is about where the player is, Neccton is concerned with what the player is doing and whether that behavior looks healthy or risky.

Neccton was founded by Dr Michael Auer, a long time researcher in gambling behavior and player protection. The company’s flagship product, often branded as mentor, takes in real time transactional and behavioral data from an operator’s systems and uses machine learning models to detect patterns linked to problem gambling, fraud, or money laundering.

What Neccton looks for

Neccton’s models examine a wide range of signals, including:

• Sudden jumps in deposit frequency or stake size

• Extremely long, uninterrupted sessions or repeated late night play

• Chasing losses by quickly redepositing after a big loss or after hitting a limit

• Switching payment methods after a decline or failed transaction

• Ignoring or disabling existing responsible gambling tools, such as deposit limits or time reminders

Research and regulator funded studies have identified many of these as strong indicators of elevated risk. Payment related behavior, such as repeated deposits in short timeframes or escalating amounts, is particularly predictive of future harm. Neccton combines these indicators into player specific risk scores that update over time as new data arrives.

Neccton’s platform usually comes with three core modules:

• A responsible gambling module, which focuses on identifying at risk players and supporting early, proportionate interventions

• An AML module, which helps operators detect patterns that might indicate money laundering or other financial crime

• A fraud module, which targets bonus abuse, account takeovers, collusion and similar threats

Because all three modules share the same data integration, operators do not need to deploy multiple separate systems to cover these areas.

How Neccton supports action, not just scoring

Neccton is designed to be more than a dashboard. It helps operators decide what to do about high risk situations. Some common uses include:

• Sending timely, personalized messages directly in the betting interface when a player’s behavior changes sharply, often with links to deposit limits, reality checks, or cash out options

• Recommending or automatically applying cooling off periods or limit changes when risk scores spike beyond set thresholds

• Packaging relevant activity into case files that responsible gambling or AML teams can review and act on manually

• Generating structured reports that show regulators how the operator has identified and managed at risk players over time

Studies referenced by Neccton and several regulators suggest that clear, behavior linked messages can materially change outcomes. For example, when players are shown a message after a sudden risky change in behavior, along with a simple one click cash out option, a meaningful share of them choose to withdraw funds or reduce activity.

Neccton’s tools are already in use at dozens of operators, including online crypto casinos and lotteries across Europe, North America and other regions. For Fanatics, integrating Neccton through OpenBet gives access to this experience without having to build an internal data science and behavioral research team from scratch.

How Fanatics Plans to Use the Protect Suite

From the start, Fanatics has presented its betting arm as a technology focused challenger. It has repeatedly said that the goal is not simply to copy the existing leaders, but to use its unique data and customer base to build a differentiated experience.

In that context, Protect Suite plays several roles:

• OpenBet Locator handles geolocation and related fraud checks in US states and any future markets Fanatics enters. This helps ensure that every bet can be traced to a permitted location, in line with state or provincial rules.

• Neccton provides the analytical and workflow engine for player protection and AML. It helps identify players whose behavior is changing in worrying ways, or whose transaction patterns may fit money laundering risk profiles, so that Fanatics can intervene early and document those interventions.

Ari Borod, chief business officer at Fanatics Betting & Gaming, has described Neccton and Locator as critical integrations. They are seen as essential pieces of a broader strategy to deliver a secure, low friction experience that satisfies both users and regulators.

On the OpenBet side, CEO Jordan Levin has called the Fanatics deployment a pivotal step for the Protect Suite and for OpenBet’s positioning more generally. Launching Locator and Neccton together for a fast growing operator allows OpenBet to showcase a more holistic compliance and safety offering, not just a betting engine.

Fanatics’ Competitive Position, Tech, Rewards, and Scale

In the United States, FanDuel and DraftKings still dominate online sports betting, with BetMGM, Caesars, and ESPN Bet forming a second tier. Fanatics is entering as a challenger, but it brings some unusual weapons to the fight.

Cross selling from an existing sports audience

Fanatics already has a large and engaged base of sports consumers. That changes how it can acquire betting customers. Instead of buying as much mass market ad inventory, Fanatics can:

• Promote sportsbook and casino products inside its existing apps and websites

• Use email and push notifications to reach fans who have already shown willingness to spend on sport

• Tie promotions to real world events, merchandise drops, and collectibles launches

The FanCash rewards system is the glue between these lines of business. Sportsbook users earn back a share of their stake in the form of FanCash. The percentage typically depends on the type of bet. Straight bets might earn a small percentage, parlays a bit more, and complex same game parlays more again, with higher rates for longer odds.

FanCash is not locked to gambling. It can be converted into bonus bets or spent on jerseys, hats, and other items in Fanatics’ commerce stores. People who primarily shop for apparel can also earn FanCash on purchases and later apply it inside the sportsbook where legal. This circular flow is designed to lower the effective cost of acquisition and to deepen loyalty across products.

Analysts have suggested that Fanatics may distribute on the order of a billion dollars worth of FanCash over the coming years as it scales this ecosystem.

Where Protect Suite fits into that picture

Promotions and cross selling might bring players in, but long term success depends on product quality and regulatory trust. To compete with entrenched leaders, Fanatics needs:

• A robust sportsbook platform that can handle heavy in play traffic during major events

• Personalization and product innovation that keep customers engaged

• Strong compliance and player safety frameworks that can withstand regulator and public scrutiny

OpenBet covers the platform layer, with its proven history in large, regulated markets and its support for tools like bet builders and rich pre match and in play coverage. Neccton and Locator then give Fanatics credible, scalable answers on responsible gambling, AML, and geolocation.

Fanatics is also experimenting beyond standard sportsbook products. Its Fanatics Markets initiative, for example, explores prediction market and finance style structures that sit at the intersection of sports fandom and trading. As such products evolve, having solid AML and player protection systems will only become more important.

How OpenBet Compares to Rival Platforms

OpenBet operates in a crowded field of sportsbook technology providers, but it has carved out a clear role.

It is often the partner of choice for lotteries and very large, regulation heavy operators, where transparency, reporting, and uptime are non negotiable. The platform supports multiple channels, including online, retail, call centers, and in some cases interactive TV, all backed by a single account and wallet structure. OpenBet also has long experience navigating complex regulatory environments in Europe and North America and holds licenses in many US states.

Other providers fill different niches. Kambi is well known for high quality odds, managed trading services, and a strong record with ambitious brands that want flexible front ends. EveryMatrix, BetConstruct, Digitain and others stand out for modular design, fast rollout to many jurisdictions, and tight integration between casino and sportsbook.

Industry comparisons frequently cluster OpenBet and Kambi together as the conservative, enterprise ready options, especially for operators that place a premium on margin stability and regulatory confidence. What OpenBet has been doing over the last few years is strengthening its story on compliance and safety by building out the Protect Suite, buying Neccton, and launching Locator. That moves it closer to a combined sportsbook and regtech provider, rather than a pure betting engine.

A Broader Shift Toward AI, Compliance, and Player Safety

The OpenBet and Fanatics partnership sits inside a much wider industry shift. Around the world, regulators are moving toward expectations of real time monitoring and proactive intervention, not just static limits and self exclusion lists.

Academic and regulatory research has identified many behavioral patterns that correlate strongly with gambling harm. These include sudden changes in deposit behavior, long and irregular playing sessions, signs of chasing losses, and ignoring tools designed to promote control. AI based systems like Neccton, and competing offerings from groups such as Mindway AI and Sportradar, now watch for these markers continuously and assign dynamic risk profiles to players.

At the same time, fines for poor AML controls or weak responsible gambling practices have become more frequent and, in some cases, very large. Operators are discovering that strong player protection is no longer only a moral or regulatory issue, it is also a business risk and reputation issue.

Regulatory regimes are also getting more granular in geography. In the US, state by state frameworks are the norm. In Canada, provinces set their own rules. Markets such as Brazil are introducing complex national but regionally sensitive structures. This creates a patchwork of boundaries and rules that operators have to respect with precision. That is why there is an intense focus on geolocation technology, from specialists like GeoComply to newer entrants like OpenBet Locator and others.

Within this environment, systems like Neccton and Locator are moving from optional extras to central components of the tech stack for serious operators. The Fanatics and OpenBet partnership is one clear example of that trend, pairing a fast growing consumer brand with a long standing B2B platform provider and layering modern AI based protection and geolocation capabilities on top.