Fueled By Sports Betting, New York Online Casinos Have Momentum In 2024
The legalization of New York online casinos could be a reality in 2024. It’s been reported that New York Senator Joe Addabbo is focused on an iGaming bill that would bring online casinos to the state. The massive success of New York’s online sports betting industry, which just turned two years old, could add more momentum to the bill.
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NY Online Casino Bill Expected To Be Introduced Soon
New York Senator Joe Addabbo is reportedly looking to introduce a new plan to legalize New York online casinos. Addabo detailed his plans during an interview with Bonus.com, expressing the potential for iGaming in the Empire State. Analysts have informed Addabbo that, after launching, NY online casinos could potentially bring in $1 billion in yearly revenue.
One of the the main focuses with Addabbo’s iGaming push is the amount of betting operators that could expand into the state. The upcoming online casino bill would allow at least 20 iGaming apps to launch in the state. This is a significant number in comparison to the state’s nine mobile sportsbooks. As Addabbo told Bonus.com, “To me, the more skins, the better product.”
The proposed tax rate for Addabbo’s online casino ill would be 30.5%. In comparison, the tax rate for New York sports betting is 51%. A $2 million license fee would also be required. Addabbo’s bill would also focus on an online lottery in the area, as the New York Lottery still conducts business primarily through retail locations and couriers.
The bill would also focus on responsible gaming, with a potential $11 million centering on problem gambling. Additional tax revenue would go towards K-12 public schools in the state.
iGaming continued its robust growth in October, generating $533.6B in revenue, a 17.8% YoY increase.
Through October, iGaming revenue stands at $5.02B, 23.1% higher than its record breaking revenue year in 2022. pic.twitter.com/pEsnPQFO6p
— American Gaming Association (@AmericanGaming) December 19, 2023
New York Sports Betting Industry Paving The Way
One of the biggest reasons to believe that New York online casinos are coming soon is the success of online sports wagering in the state. The online New York sports betting industry went live on January 8, 2022, bringing nine mobile sports betting apps to the Empire State.
Retail sportsbooks have also been available in the state since April of 2019, although the numbers didn’t truly jump until online betting sites became available. The first month of online sports wagering in the Empire State was massive, bringing in $63.2 million in taxes and $123.8 million in revenue alongside a $1.6 billion handle.
In comparison, the highest handle in New York history when only retail sports betting was available was $25.5 million in October of 2021. The highest sports betting handle in New York history was just recorded, with $2.1 billion in November of 2023.
Including the years with just retail betting, the NY sports wagering industry has generated a lifetime handle of $33.7 billion in handle, $2.9 billion in revenue, and $1.4 billion in taxes through November of 2023.
The online casino industry as a whole has been on the grow lately, which could further fuel the launch of iGaming in New York. According to a report from the American Gaming Association (AGA), the six states that offer online casinos (Pennsylvania, Delaware, New Jersey, Michigan, Connecticut, and West Virginia) generated a massive $533.6 billion in October of 2023, up 17.8% from the previous year.
