The fight is on to legalise sports betting in California. If it is successful, it will open the doors to a whole new industry, and Californians will finally be able to lay down bets on their favourite teams online.
This is exciting for sports fans in the Golden State. But it is even more exciting for online gaming companies, which see California as a potentially huge market.
The Golden State’s residents, according to analysts, would wager hundreds of millions of dollars per year on sporting events if given the opportunity, and that golden potential is enticing gaming tribes, card rooms, and internet sportsbooks to the November ballot.
Who will benefit
Obviously, existing land-based casinos will stand to gain from any changes in legislation. They already have the infrastructure in place to take bets, and they have relationships with the major sports leagues.
But it is the online gaming companies that are really licking their chops at the prospect of getting into the California market. These companies see California as a goldmine.
The reason is simple: there are a lot of people in California, and a lot of them are sports fans. If even a tiny percentage of the state’s residents start betting on sports, it will be a vast market.
These companies see the state’s large population and its love of sport as a perfect combination for success. They are also aware that many Californians already bet on sports through illegal bookies or offshore websites.
Who is poised to strike
If sports betting is legalised in California, these companies would be able to tap into this existing market and offer legal sports betting services.
In fact, any company that already has a database of customers who gamble on sports would have a significant advantage in the California market. This is because these companies would already have a ready-made customer base that they could market to.
Fantasy sports companies like DraftKings have been taking bets from Californians for years. This is thanks to a legal nicety that defines Fantasy sport as a game of skill, not chance.
As such, it is not considered gambling and is therefore not subject to the state’s gambling laws.
This loophole has allowed DraftKings and its rivals to operate in California for years. But if sports betting is legalised, they will have to compete with the likes of William Hill, Ladbrokes, and other established bookmakers.
Other companies, like Entain, which owns major sportsbooks in Europe like bwin, would also be well-placed to enter the market.
Entain is a significant player in the European sports betting market, and it is already well-established in the US through partnerships with MGM Resorts International and others,
The company would be perfectly placed to offer sports betting in the state if it becomes legal.
The state of California, with its large population and love for sports, is a perfect marketing opportunity for online gaming companies. If the legalisation of sports betting in California becomes successful, it will open up a new market to these businesses that are ready and waiting to enter the market. They have been watching this space closely as they wait on legislation that would allow them to offer their services to the residents of California.
This is an exciting time for sports fans and online gaming companies alike. The potential for growth in this market is enormous, and it will be interesting to see how it develops over the coming months.
