It is said that online sports betting could make it onto a proposed revenue enhancement bill, which lawmakers are expected to discuss in an upcoming special session about the state budget.
Senate Bill 17D proposes a 12% state tax on mobile sports betting revenue, as well as a one-time US$12m licensing fee paid by each operator.
“New York has a chance to become the biggest mobile sports betting hub in the US. New Jersey holds that position right now, and some of that comes from New York bettors travelling to New Jersey to place a legal wager,” commented Geoff Fisk, analyst for NY Sports Day.
“If New York legalises online sports betting, the revenue that’s going to New Jersey stays in New York. Considering tourism and state population, New York could host the most lucrative mobile sports betting industry in the country,” Fisk added.
Furthermore, should the state’s laws permit two skins per operator, those projections would raise to US$1.3bn in annual revenue for the state’s online sports betting industry.
The state could bring in US$156m in tax revenue yearly, and a total of US$168m in licensing fees from the 14 permissible skins.
“All seven New York casinos have sportsbook partnerships in place, so those seven brands are locked in if online sports betting gets the green light. DraftKings and FanDuel already have a place in the New York market,” Fisk added.
“Expanding to two or more skins per operator, however, could include brands like Barstool and PointsBet. The sports betting market would thrive with 14 or more brands in competition,” NY Sports Day analyst concluded.
Source: Casinobeats.com
