Sports Betting Process Nears Completion

The process of selecting mobile sports betting licensees in the state of New York is nearly complete.

Mobile sports betting was legalized in New York earlier this year. According to LegalSportsReport.com, the New York State Gaming Commission has informed bidders of the tax rate that they will be required to pay. Pursuant to a requirement put in place by former Gov. Andrew Cuomo, that tax rate must be no less than 50%. Six bids have been submitted, and the state will license no less than two platform providers and no less than four sportsbook operators.

Sen. Joe Addabbo (D-Queens) has expressed hope that mobile sports betting on NFL football will begin by January 1, 2022 in New York and expressed confidence that it will begin no later than the Super Bowl (which is scheduled for February 13, 2022). The Senator “expects the winning operators to come out with a strong offering to draw bettors away from the illegal market and New Jersey.” At present, sports betting is only available in New York at four upstate casinos.

Sen. Addabbo believes that one-quarter of the amount bet on sports in New Jersey comes from New York residents; therefore, he reasons that implementing mobile sports betting would induce bettors to place bets here in New York instead of going out of state to do so. Rather than engaging in a “race to the bottom” with neighboring states in an effort to profit from gamblers’ folly and greed, New York government ought to disentangle itself from the gambling industry altogether.