Shaun Kelley Thoughts
This belief comes primarily out of the reality that several states continue to legalize and launch sports wagering and online gambling within their states, and 2021 should add even more states to the list as several lawmakers are close to getting deals done. States like Michigan and Virginia should be launching early in 2021, and other states like Louisiana and Maryland have legalized and now are looking for a plan of attack on how to launch later in the year.
What States are Next to Legalize?
There are some massive states that are on the verge of legalization. The two that instantly come to mind are New York and Ohio. New York already has in-person sports gambling, but Governor Cuomo made it clear, he wants expanded sports gambling to help balance the revenue in New York. Then, Ohio has everything but a deal done as the State Senate finalizes details going into Q1 of 2021.
Another state that could be big for sports betting is Massachusetts; this is, after all, the home of DraftKings, one of America’s biggest sportsbooks. If both New York and Massachusetts legalize, then that would be an extreme majority of states in the North East United States who have legalized sports betting, making it the norm instead of the taboo.
How Big Can Sports Betting Get?
Some analysts believe that this is just the tip of the iceberg for online gaming and sports betting. This makes sense since the biggest states in the Union, New York, Florida, Texas, and most importantly, California, have yet to legalize. If two of these states get deals done, then you are talking about doubling the entire sports betting market in the United States. Projections have California at a possible $4 billion monthly sports wagering handle. The market potential for sports betting is massive, and the dominos are starting to fall.
Several sportsbooks are making massive moves in light of this potential. For example, MGM Resorts is attempting a takeover of its BetMGM partner, Entain, in an attempt to get full control of BetMGM as well as ownership of Entain’s ventures in bwin and more. We have seen Flutter purchase Star Group, taking over a share in Fox Bet while also controlling FanDuel Group.
The sports betting market seemingly is on the verge of bursting; however, it is these major states that are both populous and wealthier than others that will really push sports betting over the edge in the country. All eyes are on California, Florida, New York, Texas, and a few others in 2021 to see what the states do in terms of legalization.