FanDuel has reviewed “approximately thirty Cameos involving athletes and entertainers” and, in a letter sent Tuesday to three members of Congress and obtained by InGame, explains that the videos were “customer-appreciation gestures and were not commissioned or sent to induce continued gambling.” The letter is the latest chapter in a months-long back-and-forth between the company and Sen. Richard Blumenthal and Reps. Valerie Foushee and Paul Tonko.
The communication began in July after The Philadelphia Inquirer reported that FanDuel had commissioned a video featuring Phillies star Bryce Harper directly addressing Terry Thompson, a VIP-level customer. In the video, Harper wishes Thompson a happy Thanksgiving and mentions Thompson’s son by name. There is no mention of gambling in the video, but Harper immediately distanced himself from FanDuel when the story broke.
According to media reports, Thompson suffers from gambling addiction and wagered $18.5 million over six years on FanDuel, losing $1.52 million. He also lost $336,000 on DraftKings, and in March he sued both companies saying they offer a “known addictive product” and that VIP hosts encourage betting leading to gambling addiction and financial losses.
In an Oct. 6 letter to FanDuel, the congresspeople wrote that “Despite FanDuel’s claims that these videos were not sent to entice destructive gambling, we remain concerned that FanDuel’s VIP program and its perks are used to exploit vulnerable bettors, especially those suffering from gambling addiction.” They went on to “demand” that FanDuel release full videos and said the company’s “failure to adequately respond” is unacceptable.
In the response to Congress, FanDuel Senior Vice President, Public Policy & Sustainability Cory Fox wrote that “Like customer-loyalty programs in many industries, the VIP program is intended to provide enhanced service and encourage customers who choose to wager to use FanDuel rather than another platform.”
Fox went on to explain that the Cameo videos and other “personalized gestures” are subject to the same problem gambling and responsible gaming guidelines as any piece of FanDuel marketing or advertising. The sportsbook, like all others subject to state regulation, must adhere to stringent state advertising and marketing regulations as well as have comprehensive responsible gaming tools and programs in place.
The letter is FanDuel’s third response to Congress regarding the videos. The company previously addressed a series of questions around the videos, its VIP program, and its responsible gaming framework.
Congressional wagering bill not moving
Blumenthal and Tonko are co-sponsors of the SAFE Bet Act, a proposal that would bring legal sports betting under federal regulation. The bill seeks to ban gambling ads during live sporting events, implement affordability checks, and require states to seek federal permission to offer legal sports betting.
In 2018, the U.S. Supreme Court made legal sports betting a states’ rights issue when it overturned the Professional and Amateur Sports Protection Act. When the SAFE Bet Act was first introduced in October 2024, Dr. Timothy Fong, co-director of UCLA’s Gambling Studies Program, said it would “do more harm than good,” and stakeholders called it “obnoxious” and “insulting.”
All three members of Congress have been vocal about the need for federal involvement in sports betting regulation, and Blumenthal and Tonko have relied on problem and responsible gambling advocate Harry Levant to promote their agenda. Levant is a recovering gambling addict who stole $2 million from clients and now lobbies against legal gambling.
The push for federal regulation of sports betting has not gained traction in Congress. But Blumenthal, Foushee, and Tonko want answers about how VIP programs work and what operators can do to keep bettors safe.
In an Aug. 10 letter, they wrote “seeking answers about these exploitative tactics and demand that FanDuel end the so-called ‘VIP’ services that drive problem gamblers into debt and relapse.”
FanDuel will intervene if addiction suspected
Fox wrote that FanDuel’s goal is to keep a healthy customer base that “enjoys FanDuel at a level that is right for them, not to maximize wagering activity.” It’s no secret that VIPs get perks, including tickets to concerts or sporting events and unique promotional offers. The playbook is similar to that of many other businesses, including airlines that encourage travelers to spend more to upgrade their flight experiences and coffeehouses that offer more rewards for more purchases.
FanDuel will help a customer close an account, direct a player to responsible gaming tools to “reduce” play, or suspend or limit an account if a developing addiction is suspected, Fox wrote. State regulators require such safeguards, as well as mandating operators to communicate only via certain methods or intervene via direct contact if a problem is identified.
Fox indicated that he addressed existing VIP programs in his letter, and that the company’s FanDuel Predicts platform is doing a 90-day VIP program trial that does not include Cameo videos. The company declined to answer some questions about “highly sensitive account-level information” due to privacy and financial concerns.
