The LSR cast came together to discuss the latest monumental New York online sports betting handle and what it means for US sports betting going forward.
With a handle exceeding $10b, podcast co-host Dustin Gouker called it a “crazy number” as he looked at how this can affect other big states down the line.
He explained: “An absolutely crazy number that I think we expected because it’s a big state. And again, this is the first full season of the NFL for New York, so it should be interesting to see where it goes with it. This should be a big deal.
“The number also underlines the opportunity for any other state that’s bigger than New York in terms of legalisation possibilities. If those happen as well, we’re at this critical mass where sports betting comes into its own in the US.”
Adam Candee then chipped in by acknowledging the complexity of New York and operators finding it difficult to settle in given the state’s high tax rate.
“We don’t have apples and apples to compare in New York right now. We essentially started NFL betting in the middle of the playoffs last year in New York, and so that got to be something that existed in its own vacuum and we’ll see what it looks like with a full season,” Candee stated.
“What is interesting is that we’ve had multiple books, Caesars notably, talk about pulling back on marketing spend. And New York doesn’t feel like a great place to do that. However, the question is how do you make money there if you continue to spend money there with the 51% tax rate. So, New York is a really complicated web to untangle.”