Two U.S. senators have raised alarms about alleged anti-competitive behavior by DraftKings and FanDuel, urging federal antitrust authorities to investigate their actions that may be stifling competition in the emerging sports betting market.
Senators Mike Lee, a Republican from Utah, and Peter Welch, a Democrat from Vermont, sent a letter Thursday to the Federal Trade Commission (FTC) and the U.S. Department of Justice’s Antitrust Division. They expressed concern over “reports” suggesting that the two dominant sports betting platforms are engaging in coordinated efforts to limit the market entry of smaller, innovative competitors.
The letter accuses DraftKings and FanDuel of working together to pressure key business partners—including sports leagues, marketing affiliates, and payment processors—to avoid doing business with new entrants to the sports betting space. The senators argue that such tactics could severely hamper the growth of new companies, preventing them from securing essential partnerships, technology, and capital to compete effectively.
