Penn Entertainment Eliminates 75 Jobs as Prediction Markets Surge to $240B
PENN•Penn Entertainment cut 75 jobs in its Penn Interactive division following sector-wide layoffs by operators like FanDuel. Bernstein projects prediction market trading to hit $240 billion in 2026, driven by platforms reporting $60 billion in volume so far this year.
1. Penn Interactive Cuts Over 75 Positions
Penn Entertainment eliminated more than 75 jobs within its Penn Interactive division, marking its latest workforce reduction following earlier rounds of layoffs. This move aligns with the company’s push to improve margins and streamline digital operations after a period of rapid expansion.
2. Industry-Wide Layoffs Pressure Operators
Online gambling operators including Flutter Entertainment’s FanDuel have cut several hundred positions across software engineering, customer service and business development. These reductions reflect rising compliance costs, margin scrutiny and a strategic shift away from aggressive user-acquisition spending post-2018 sports betting growth.
3. Surging Prediction Market Volumes
Prediction market trading is projected to reach $240 billion in 2026, a 370% increase from last year, with Kalshi and Polymarket accounting for about $60 billion year-to-date. Expansion into economic and political event contracts is reshaping competition and challenging traditional sportsbook revenue models.
