Fantasy Sports have become a billion dollar worldwide industry. Draft Kings and FanDuel in a very short time have become the bench marks for the industry. Earlier today the CEOs of both companies announced the fantasy giants will merge to become a much larger, industry-leading, innovative super site.

When one factor in a particular industry gets too large, that industry tends to suffer from price gouging and reduced competition. Draft Kings CEO Jason Roberts and FanDuel CEO Nigel Eccles in a joint email to patrons of both sites say this will not happen to fantasy sports when the merger is completed sometime next year.

Merging the top minds in fantasy sports

By bringing together the top minds and innovators in the industry Roberts and Eccles say that through combined efforts they will be able to provide users with an enhanced user experience. “Once approved, we envision this merger will create a stronger, more sustainable entity that can focus on growth, product development, delivering enhanced user experiences and creating an overall stronger fantasy sports community” Roberts said in the email.

For the near future, and possibly through the 2017 NFL season the casual player will see little to no difference from what they experience today.

Both Draft Kings and FanDuel will continue to operate as independent platforms until at least 2017, after that the unknown comes into play. New scrutiny and oversight will surely be on the horizon as lawmakers around the USA and other countries look for ways to tap into the huge amounts of money passing from player to player.

No increase in fees promised

There are no current plans to increase the fees the players pay on their winnings. Like everything else in commerce that will happen as it always does in emerging industries. Along the way there will be legal challenges to overcome, but one would have to assume that two companies this large have done exhaustive research to make sure this merger can go forward.

While at first glance the merger may look bad for competition due to what is known as the Wal-mart Effect of running the little guy out of business, Roberts said this is not the case in this instance. There is competition in the online sports world, and Roberts noted that users would leave for those other platforms if Draft King and FanDuel started trying to raise fees.

The world of fantasy sports while still in the infant stages promises to be lucrative for some, entertaining for all, and here to stay according to Roberts and Eccles. For more about the merger visit either site as many of your questions will be addressed in the FAQ tab on your account page.

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