When Evoke, formerly 888 Holdings, broke its contract with Sports Illustrated in March it was the beginning of the end for the popular sports brand’s tenure in Michigan’s iGaming and mobile sports betting market. There will now be an open license for another online gaming platform to take its place.
Goodbye SI
888 Holdings, now Evoke, is getting out of the online gaming business in the United States, selling their U.S. assets to Hard Rock Digital. The exit is slated for the end of this year and will bring to an end a disappointing run for the brand that began just over a year ago in the Wolverine State.
The Michigan launch of the SI casino app was filled with optimism in March of 2023 when 888 Holdings U.S. president, Howard Mittman, said, “SI Sportsbook has received an extraordinary reception in the market, and we believe SI Casino ups the ante by not only providing new and innovative ways to play, but by introducing a new and differentiated experience for frequent and casual players throughout the state.”
That optimism was not enough to sustain a poor performance after replacing Twin Spires as Michigan’s 15th mobile gaming licensee. April’s iGaming numbers revealed SI was the lowest-producing platform of any, generating revenues of just $1.21 million while the leading online casino, FanDuel, reported $50.7 million in the same month according to the Michigan Gaming Control Board (MGCB).
April was a tremendous month in Michigan’s iGaming market, reporting the second-largest total in the state’s history of $192.9 million which was second only to Pennsylvania.
An Evoke spokesperson spoke about the company’s exit in Michigan, saying, “We’re currently planning our transition out of Michigan and aiming towards completion in Q4 of this year, subject to regulatory approvals. Until then, we remain very much open for business and committed to delivering fantastic betting and gaming experiences for players in the state.”
Value Creation Plan
Michigan isn’t the only market in which Evoke is pulling up its stakes.
New Jersey is another of the other markets to follow. 888 Holdings has announced its Value Creation Plan which has been rebranded as Evoke Plc. The company has stated it intends to pivot its focus on its primary markets including the United Kingdom, Italy, Spain and Denmark. The deal with SI in all of its domestic markets is all but done after 888 Holdings paid $25 million to Sports Illustrated to use its name and another $25 million at a later date.
888 CEO Per Widerström talked about the exit from the U.S. market, stating, “In the U.S., the intensity of competition and requirement for scale means huge investment is required to reach profitability. We have concluded that achieving sufficient scale in the U.S. market to generate positive returns within an accelerated timeframe is unlikely.”
A company post read as follows: “This morning, CEO Per Widerström and CFO Sean Wilkins presented our 2023 Full Year Results to analysts and investors. They laid out our new Value Creation Plan to drive profitable and sustainable revenue growth, and a higher return on equity.
“Our proposed new name, Evoke, is a clear signal of our new direction as we embrace the strengths of our past and build on this to continue to evoke delight in our customers with world-class betting and gaming experiences. We are one company with a clear, united strategy, mission, and vision.”
