ESPN Personalities Partner with Company Facing Gambling Allegations
Several ESPN personalities have entered into partnerships with Papaya, a mobile gaming company facing scrutiny over its business practices adn potential classification as a gambling platform. Teh connections come as ESPN continues to integrate sports betting through its ESPN Bet platform,now operated by DraftKings following the dissolution of its partnership with Penn Entertainment.
Papaya’s primary offering, Solitaire Cash, is marketed as a “skill game” – a designation that allows it to perhaps circumvent gambling regulations. The company argues that because users compete against each other, and games involve skill, they are not subject to the same rules as customary gambling. However,critics argue this distinction is tenuous,effectively operating as a “lightly reskinned mobile casino.”
The company was founded by Oriel Bachar,an Israeli tech entrepreneur who previously served as a drone operator in the Israel defense Forces (IDF) from 2008 to 2010. Papaya has recently engaged in several public relations initiatives, including partnerships with Israeli athletes heading to the Paris Olympics and a gamified challenge designed to support Israelis living near the Gaza Strip.
Currently, Papaya is embroiled in a legal battle with rival platform Skillz. U.S. District Court Judge Denise Cote issued an opinion on October 27th denying Papaya’s request for summary judgment in the case. The lawsuit centers on allegations that Papaya utilizes bots to populate its platform, a practice that, according to Judge Cote, could classify the company as a gambling platform if proven.
The court opinion details accusations that Papaya attempted to conceal its use of bots after receiving customer complaints.According to the opinion, when customers inquired about bot usage, Papaya executives ”did not respond…by acknowledging bot usage, but by denial.” The company allegedly modified the bots’ performance to appear more human in an effort to reduce detection by users, recognizing that bot presence was damaging “trust in our fairness.”
The judge wrote, “Papaya may have then been classified as a gambling platform” due to the pervasive reliance on bots.
The partnerships between ESPN talent and Papaya have drawn criticism,given the company’s controversial practices and ongoing legal challenges.