After waiting a year, the New York State Gaming Commission is finally releasing the NY Sports Betting study. Now, that the 359-page study is here, there is good news and bad news according to their findings. The good news is that the New York Sports Betting Study Estimates $1.1 Billion in annual Revenue. The bad news is that running sports betting through the NY state lottery is a bad idea.
New York was one of the first state to authorize sports betting back in 2013. However, it is only in state’s tribal and commercial casino. Furthermore, New York did not take its first legal bet until 2019. At the moment, it is trying to legalize online sports betting but has been struggling in legalizing online gambling.
Therefore, New York sports betting proponents and lawmakers have been waiting for this study in order to make a decision. Legal online sportsbooks would increase their revenue as it is one of the largest sports betting market in the U.S.
New York Sports Betting Study will help advance online Sports Betting
Originally, the lawmakers were expecting the report in December of 2019 and then in June of 2020. However, according to Sports Betting Software companies, the delay in getting the report is because of the COVID-19 Pandemic. Now that the report is out, we can expect several changes in the legal online sports wagering.
First, online sports gambling would generate between $816 million to $1.14 billion in annual gross gaming revenue in New York. This is a large factor that will help pass his mobile gambling bill. In addition, it backs up his executive budget which addresses its revenue from online sportsbooks. With a $15 billion deficit because of the coronavirus pandemic, they need all of the revenue they can get.
However, one kink in the budget is that he talks about online sports betting being run like the state lottery. This is because the study says that states who have the lottery run sports betting platforms have had numerous issues. On the other hand, states with competitive markets have been successful with record breaking handle and revenue.
The big online sportsbooks are ready to enter the NY online sports wagering market with. This is because companies like DraftKings, FanDuel and bet365 already have in-state partnership with local casinos. Thus, as soon as the law passes, they will be able to get their online sportsbook running in no time.
Entrepreneurs are also looking into entering the market since the bill would allow more operators to enter NY. Thus, companies that use a sportsbook pay per head service like PricePerPlayer.com will also be able to enter fairly quickly.