FanDuel CEO Amy Howe on prediction markets, legalizing sports betting

Watch on YouTube ↗  |  February 06, 2026 at 15:21  |  6:48  |  CNBC
Speakers
Amy Howe — CEO, FanDuel
Contessa Brewer — CNBC Correspondent
Becky Quick — Co-Anchor, Squawk Box

Summary

CNBC's Contessa Brewer discusses the sports betting landscape and prediction markets with FanDuel CEO Amy Howe ahead of the Super Bowl. Howe says FanDuel's prediction offering complements legal sports betting rather than cannibalizing it, and she argues California and Texas should legalize sports betting to capture the $675 billion black market and improve integrity. Brewer highlights regulatory risk for gambling and the growth and tax advantage of prediction platforms like Kalshi.

  • Sportsbooks expect a record Super Bowl handle, with FanDuel as market leader.
  • FanDuel CEO says prediction markets complement legal sports betting.
  • Howe argues legalization in California and Texas would bring black-market activity into regulated markets.
  • Regulated platforms can detect insider trading, per Howe.
  • Contessa Brewer notes UK regulatory backlash hurt gambling profits.
  • Kalshi volume rose nearly 1,400% before the Super Bowl.
  • Prediction platforms pay no state taxes versus New York's 51% sportsbook tax.
  • NFL remains cautious on prediction markets due integrity concerns.
Ideas
Amy Howe CEO, FanDuel 0:50
Prediction markets complement, not cannibalize, FanDuel.
FanDuel's prediction offering is complementary to its existing daily fantasy and legal sports betting products, not a replacement. In legal states, customers have richer offerings such as 700 markets, live betting, drive-by-drive and social betting, so she is not concerned about major cannibalization from prediction markets.
PREDICTION MARKETS HIGH
Amy Howe CEO, FanDuel 0:50
Prediction markets complement, not cannibalize, FanDuel.
Legalized sports betting is superior to the $675 billion black market because regulated platforms can detect and stop insider trading, as shown when FanDuel caught Terry Rozier's suspicious behavior five hours before an NBA game. She argues this is exactly why states should legalize and bring underground activity into the daylight, with California and Texas as priorities.
FanDuel Sports betting HIGH
Contessa Brewer CNBC Correspondent 2:38
Gambling faces margin-hurting regulatory risk.
Across gambling, there is a coordinated effort to ward off regulations that bite into profits. The UK backlash over problem gambling, including deposit limits and restrictions on offers, hurt the bottom line, so regulatory risk remains a material margin risk for gambling and sports betting companies.
BJK Sports betting MED
Contessa Brewer CNBC Correspondent 4:27
Prediction markets grow with tax advantage.
Kalshi's trading volume rose almost 1,400% in the weeks leading into the Super Bowl, and prediction platforms have a tax edge because they pay no state taxes while sportsbooks pay 51% in New York. That lets prediction platforms spend more on marketing, raising the question of whether they can dent traditional sportsbook handle.
KALSHI PREDICTION MARKETS MED
Up Next
5:41
The Super Bowl ad game: Top ads to look forward to this weekend
CNBC · Feb 06
5:42
Affirm CEO Max Levchin on the company's record retailer growth
CNBC · Feb 06
7:26
'Pretty comfortable' with where large tech firms are trading currently: Gabelli Funds' John Belton
CNBC · Feb 06
6:10
Crypto selloff shakes tech, but panel sees selective buying opportunities
CNBC · Feb 06
13:28
Bostic Talks Career With Fed, Inflation Risk and Warsh
Bloomberg Markets · Feb 06

This CNBC video, published February 06, 2026, features Amy Howe, Contessa Brewer discussing PREDICTION MARKETS, FanDuel, Sports betting, BJK, KALSHI. 4 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Amy Howe, Contessa Brewer  · Tickers: PREDICTION MARKETS, FanDuel, Sports betting, BJK, KALSHI