Fanatics Launches Operations In Philippines For Gaming Support Services

Fanatics Betting & Gaming has forged a strategic partnership with Claymore Solutions to enhance its gaming support services by outsourcing operations to the Philippines. This collaboration aims to establish a hub in Taguig City, bolstering the online sportsbook’s capacity and efficiency. Claymore Solutions holds accreditation as a Special Class Business Process Outsourcing (BPO) company from the Philippine Amusement and Gaming Corporation (PAGCOR), positioning it to deliver specialized services in the gaming sector.

Ian Botts, Chief Technology Officer of Fanatics, expressed enthusiasm about the new partnership, stating, “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.” This initiative underscores not only Fanatics’ growth strategy but also highlights the importance of leveraging global talent to enhance service delivery.

Philippines Shifts Focus from Offshore Betting to BPO

In a significant policy shift, the Philippines has moved away from offshore betting licenses, resulting in the displacement of over 40,000 workers. Last July, President Ferdinand Marcos Jr. banned offshore licenses, concluding the operations of the Philippine Offshore Gaming Operator (POGO) industry, which had been a key employment source, peaking at 118,000 jobs in 2019.

Initially established under President Rodrigo Duterte in 2016, the POGO sector had provided substantial direct revenue, generating approximately PHP 166.49 billion (about $3 billion) annually. However, the unsustainable economic costs associated with offshore gambling, estimated at PHP 265.74 billion ($4.76 billion), overshadowed its benefits, leading to a net economic loss.

The crackdown on POGOs was further fueled by concerns from the Chinese government regarding their targeting of Chinese nationals, which heightened diplomatic tensions and necessitated stricter regulatory frameworks.

PAGCOR is now pivoting towards establishing the Philippines as a hub for gaming support services, as indicated by Chairman Al Tengco’s remarks on the Fanatics partnership. “We are witnessing the beginning of a transformative chapter in the Philippine BPO sector, with Special Class BPOs like Claymore leading the charge,” he stated, emphasizing the shift towards a more stable and reputable industry landscape.

As of last November, the Philippine BPO sector claimed approximately 10% to 15% of the global market share, boasting a valuation of $38.7 billion and a workforce of 1.3 million. This pivot aligns with broader trends emphasizing logistics, customer support, and technical services, tailored specifically for the gaming industry.

Fanatics’ Expansion Demands Enhanced Support

The decision to outsource operations signifies a calculated move by Fanatics to strengthen its foothold in the highly competitive US betting industry. With estimates placing the company at around 5% market share, reflecting an impressive revenue of $8.1 billion last year, the need for robust operational support has never been greater.

Fanatics recently expanded its online casino offerings into key states, including Michigan, New Jersey, Pennsylvania, and West Virginia. This growth trajectory necessitates increased support to ensure seamless operations and customer satisfaction. Additionally, the company operates across 22 states and is set to launch in Missouri as the state opens to sportsbooks. Internationally, Fanatics is pursuing acquisitions in Italy and Latin America within its commerce sector, further broadening its market reach.

During the inauguration of its first Philippine office, Andrea Ellis, Chief Financial Officer of Fanatics Betting & Gaming, remarked, “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.” This sentiment encapsulates the company’s commitment to operational excellence and the forging of vital partnerships that will drive future success.

With these strategic moves, Fanatics aims not only to enhance its operational capabilities but also to contribute to the evolving landscape of the global gaming market.

**About the Author**: Adam Roarty is an experienced writer specializing in the gambling industry. With five years of content creation and editing under his belt, he has contributed to notable publications such as Oddschecker, CoinTelegraph, and Gambling Industry News. Adam covers emerging trends in sports betting and online gambling, offering insights into shifting legislation and market developments.