Fantics Betting & Gaming has launched a partnership with Claymore Solutions to outsource gaming support services to the Philippines.
The online sportsbook will work with Claymore to set up a hub in Taguig City to support its operations. Claymore is accredited as a Special Class Business Process Outsourcing (BPO) company by the Philippine Amusement and Gaming Corporation (PAGCOR).
Fanatics CTO Ian Botts commented on the partnership, ”We are excited to access world-class talent to support our operations as we continue our mission to deliver a premier gaming experience for our customers.”
Philippines ditches offshore betting in favor of BPO
More than 40,000 workers in the Philippines were displaced from jobs as the country moved away from issuing offshore betting licenses. President Ferdinand Marcos Jr. introduced a ban on offshore licenses in July last year, and all licenses were terminated by the end of the year.
Previously, President Rodrigo Duterte established the Philippine Offshore Gaming Operator (POGO) industry in 2016. POGOs were a source of jobs for the country, employing 118,000 workers at their peak in 2019 when 300 operators held licenses.
The country shifted away from POGOs, however, citing that despite generating PHP 166.49 billion ($3 billion) annually, the associated economic costs, including reputational damage and criminal activities, amounted to around PHP 265.74 billion ($4.76 billion), resulting in a net loss.
The Chinese government expressed concerns over POGOs targeting Chinese nationals, leading to diplomatic tensions and calls for stricter regulations.
PAGCOR is now looking to establish the country as a hub for gaming support services. Chairman Al Tengco commented on the Fanatics partnership by stating, “We are witnessing the beginning of a transformative chapter in the Philippine BPO sector, with Special Class BPOs like Claymore leading the charge.”
The country holds between 10% and 15% of the global BPO market. Last November, the Philippine BPO industry was valued at $38.7 billion with a workforce of 1.3 million.
Fanatics expansion requires more support
The outsourcing of operations to the Philippines marks a strategic move by Fanatics to catch up in the US betting industry. The company has expanded its reach in recent years and was estimated to hold 5% of the US market, with revenue of $8.1 billion last year.
The operator recently launched online casinos in Michigan, New Jersey, Pennsylvania, and West Virginia, and the expansion has led to a greater need for support for its operations.
As well as expanding its casino sector, the company operates in 22 states across the US and plans to launch in Missouri later this year as the state opens up to sportsbooks. The company is also expanding internationally, with acquisitions in Italy and Latin America in the company’s commerce sector.
Speaking at the opening of the first office in the Philippines, Fanatics Betting and Gaming CFO Andrea Ellis, commented, “It’s a real honor to help open this beautiful new space. It represents so much more than just desks and whiteboards – it’s a physical symbol of a partnership that’s been years in the making.”
Adam is an experienced writer with years of experience in the gambling industry. He has worked as a content writer and editor for five years on sites such as Oddschecker, CoinTelegraph and Gambling Industry News, bringing excellent knowledge of the world of sports betting and online gambling. Adam focuses on emerging stories in the ever changing landscape of betting in the US. Read the latest on prediction markets, changing legislation, and sweepstakes.
