DraftKings commits $250 million in advertising to ESPN

Daily fantasy sports operator DraftKings has committed to a two-year, $250 million advertising deal with Walt Disney American sports network subsidiary ESPN.

Under the terms of the agreement, DraftKings will become the exclusive DFS partner to ESPN owned media channels and digital inventory, securing a key advantage over nearest rival in the US market, FanDuel.

Earlier this year Disney backed out of a $250 million investment in DraftKings that would have given it a 27 percent stake in the booming business .

However, other US companies have not been shy in showing confidence in the sector, and DraftKings has raised almost $80 million from investors, and is currently involved in another round of funding.

Rival FanDuel has also been well supported, raising $275 million from investors that have included Time Warner and Google .