Over the last few months, New York State has seen plenty of discussion surrounding the future of legal online sports betting. After the official announcement of the gaming introduction, Senator Joseph Addabbo has given his prediction on when mobile sports betting will be up and running, as he believes that the process can be finished before the next Super Bowl.
Mobile sports betting was officially included in the New York State’s budget plan only a few months ago by Governor Andrew Cuomo. The gambling expansion will be used in a way to provide more revenue for the state, as the budget was severely affected by the unprecedented situation. However, remains to be seen when the online expansion finally materializes through the legal process.
Optimistic for Next Year
Senator Addabbo stated that mobile sports betting can be live by end of the year and it can also be fully operational by the next Super Bowl, which is scheduled for February 2022. He also noted that the New York State Gaming Commission is on schedule to release a request for applicants for the platform provider slots before the deadline of July 1.
Additionally, the Senator explained that the launch of the gambling expansion is not as simple as it sounds, as it may encounter many obstacles on its way. He emphasized that it will be extremely crucial to have the program up and running in time for the next Super Bowl since it is the biggest sporting event in the country and generates the largest amount of betting volume.
Companies that desire to enter the state’s online sports betting scene must participate in the bid package window that concludes in 30 days. Then the commission will have to determine two providers to lead the state’s gaming expansion. Additionally, each platform provider must include a bid package with at least two operators which will have to use the provider’s technology for all betting offerings.
Once the application process finishes the gaming commission will be reviewing the provider’s submissions. This includes evaluating their gross revenue, tax rate willingness to pay to the state, previous experience in the sector, a roadmap for operations, and willingness to share revenue with the state’s Native American nations. The maximum tax rate for the providers is currently 13%, but this number could reach 50% or 55%.
Potential Applicants
As one of the biggest betting companies in the country, DraftKings is being considered as one of the candidates in pole position for the platform provider slots. The company has already established great connections with the state’s tribal nations as it operates a sportsbook del Lago Resort & Casino. This makes the betting company one of the most suitable applicants for one of the two provider positions.
Q&A
In order to shed more light on mobile sports betting New York Gaming Commission has released a 10-page Questions and Answers online document to the public. In the Q&A the commission provided more info on how the online expansion will operate and how it will affect its relations with the tribal nations who felt left out of the legislation.
Source: Linnehan, Robert “NY Senator: Optimism that New York Online Sports Betting Will Be Fully Operational by Super Bowl“, Elite Sports NY, June 9, 2021
(No Ratings Yet)
Loading...