How Much Does It Cost to Develop a Sports Betting App Like FanDuel in the USA?
The sports betting market in the USA is on fire, thanks to increasing legalization, technological advancements, and growing demand among sports enthusiasts. Platforms like FanDuel have revolutionized the industry by providing a smooth, engaging, and highly interactive experience. If you’re considering launching a sports betting app like FanDuel, the first question you’ll probably ask is, “How much will it cost?”
The cost to create a sports betting app can vary significantly based on features, design, licensing, and the development approach. Let’s explore everything you need to know, including factors that influence the price, rough estimates, and why this investment could be worth every penny.
In this article, we’ll break down the factors that influence the cost, the development process, and tips for choosing the right sports betting software development partner.
The Rise of Sports Betting Apps Like FanDuel
The sports betting industry in the USA is booming. According to industry reports, the market crossed $11 billion in revenue in 2023 and is expected to grow rapidly as more states legalize online betting. FanDuel, one of the market leaders, has set a high bar with its user-friendly design, live betting features, and seamless payment options.
For businesses, this presents a golden opportunity to enter a high-demand industry. But, building a sports betting platform isn’t as simple as launching a regular app. It involves advanced technology, third-party integrations, legal compliance, and robust user experiences.
What Factors Influence the Cost of Developing a Sports Betting App Like FanDuel?
The cost of sports betting software development depends on various elements. Let’s break them down:
1. Platform Choice
Are you targeting iOS, Android, or both? Multi-platform development costs more but ensures wider user reach.
iOS Development: $30,000 - $60,000
Android Development: $30,000 - $60,000
Cross-Platform (Both): $50,000 - $100,000
2. App Features and Functionalities
The complexity of the app is a significant cost driver. A basic sports betting app may include standard features like user login, placing bets, and payment options, while advanced apps like FanDuel offer live streaming, real-time betting odds, AI-powered analytics, and more.
Basic Features: $50,000 - $80,000
Advanced Features: $100,000 - $150,000
Key features that add to the cost:
Live Betting (In-Play): Enables users to place bets on live matches with real-time odds.
Payment Integration: Supports credit cards, PayPal, e-wallets, and even cryptocurrencies.
Live Match Streaming: Integrating live video feeds keeps users engaged but requires extra investment.
Push Notifications: Sends real-time updates for scores, betting opportunities, and bonuses.
3. Third-Party API Integrations
Sports betting platforms rely on APIs for real-time data such as live scores, match schedules, and odds calculations. Popular providers include Sportradar and Betgenius. Integrating such services typically costs between $10,000 and $30,000.
4. UI/UX Design
A well-designed app is key to standing out. FanDuel’s intuitive design ensures users can place bets seamlessly. For this, you’ll need a professional designer, which can cost between $10,000 and $20,000.
5. Licensing and Compliance
Sports betting is heavily regulated in the USA, and obtaining a license to operate in different states is mandatory. Costs can vary:
Curaçao License: $20,000 - $25,000
Malta Gaming Authority: $30,000 - $50,000
USA State-Specific Licenses: $50,000 - $200,000+
6. Development Team Costs
The team you hire also impacts the budget. You have three options:
Freelancers: $50,000 - $100,000 (low cost but risky)
In-House Developers: $100,000 - $200,000+ (high quality but expensive)
Professional Development Companies: $100,000 - $300,000+ (reliable and efficient)
7. Maintenance and Hosting
Once the app is launched, you’ll incur costs for hosting servers, app maintenance, and updates. This typically costs $10,000 to $20,000 annually.
Total Cost Estimate for a FanDuel-Like Sports Betting App
Based on the factors mentioned above, here’s a rough estimate of the costs:
Total Estimated Cost: $100,000 to $300,000+
For a fully functional app with all the advanced features FanDuel offers, the cost can easily exceed $300,000, depending on your requirements.
Why Should You Invest in Sports Betting Software Development?
The sports betting industry is growing faster than ever. Platforms like FanDuel earn millions annually due to the increasing popularity of online betting. Here’s why investing in this space makes sense:
High Revenue Potential: Sports betting apps generate revenue through commissions, ads, and premium features.
Scalable Business: Start small and scale by adding features like casino games (a great reason to partner with the best casino game development companies).
Growing User Base: Millions of sports fans are turning to apps to place bets conveniently.
Innovation: Advanced technologies like AI, blockchain, and live streaming are enhancing user experiences.
Final Thoughts
To Develop a sports betting app like FanDuel is a significant investment but offers tremendous potential for growth and profitability. While costs range from $100,000 to $300,000 or more, the end result is a scalable, feature-rich platform that can capture the growing US market.
To succeed, it’s essential to work with an experienced sports betting software development partner who understands the industry, legal requirements, and user expectations. With the right features, technology, and design, your app can compete with top players like FanDuel and thrive in this booming market.