jili tutorial

DraftKings Awards $30M Marketing Deal to Co-Founder Matt Kalish’s New Firm

By jili tutorial · August 31, 2026

DraftKings Awards $30M Marketing Deal to Co-Founder Matt Kalish’s New Firm

DraftKings has agreed to allocate up to $30 million in marketing spending to a media startup launched by former President and co-founder Matt Kalish. According to a Securities and Exchange Commission (SEC) filing, the gaming company has entered into a marketing agreement with a firm founded by Kalish — FaZe Media, which operates under the name HardScope.

Details of the HardScope Agreement

In simple terms, HardScope will act as a broker between DraftKings and podcast hosts or other digital content creators. Through these arrangements, the personalities will promote DraftKings, and Kalish’s firm will earn commissions for its services.

The SEC document states: “The HardScope Agreement provides that the aggregate amount of service fees payable by the Company under the HardScope Agreement may not exceed $30.0 million during the three-year term of the HardScope Agreement, and that HardScope’s commission may not exceed 14% of the related service fee.”

Commission Structure and Limits

DraftKings co-founder Matt Kalish stepped down as president in March. His departure had been announced the previous November, though he retains a seat on the board.

Timing and Corporate Governance Considerations

DraftKings working with a company started by a former employee is not unusual. In corporate America, it is common for companies to hire agencies, consultancies, or vendors founded by ex-staffers. As a result, the arrangement does not necessarily represent a conflict of interest for the sportsbook operator.

Still, some critics may raise corporate governance concerns because discussions between DraftKings and HardScope took place before Kalish’s departure was publicly announced. The SEC filing indicates that on June 13, 2025, “certain subsidiaries” of DraftKings entered into an agreement with HardScope. Under that deal, DraftKings acquired personal services and the name, image, and likeness rights of “certain individuals” for promotional use.

Dealings Predate Kalish’s Departure

“Under the Marketing Arrangement, the Company agreed to pay HardScope fees based on the specific services, rights and deliverables purchased, with the aggregate amount payable to HardScope not to exceed $600,000,” according to the filing. “During fiscal year 2025, the Company incurred $150,000 under the Marketing Arrangement.”

DraftKings notes that its audit committee approved the transactions with Kalish’s company.

Strategic Value for DraftKings

While the arrangement may draw scrutiny over corporate governance, it offers clear strategic value for DraftKings. HardScope specializes in connecting brands with Gen Z — an increasingly important demographic for online sportsbook operators.

Targeting Gen Z Audiences

“We turn creators into next-gen media moguls. We unlock Gen Z for brands. We turn moments into movements,” Kalish wrote on his LinkedIn page.