According to NY Sports Day estimates, legalising online sports betting could produce up to $900 m in annual revenue and $108 m in tax for New York State.
The region’s entrance into the area, which would see New York become one of America’s largest legalised online sports betting markets, is awaiting the passage of NY State Senate Bill 17D, which would authorise each of the seven retail casinos in New York to operate a mobile sportsbook.
It is said that online sports betting could contribute to a proposed income enhancement bill that is scheduled to be debated by legislators in an upcoming special session on the state budget.
Senate Bill 17D imposes a state tax of 12 percent on income from mobile sports betting, as well as a one-time licence fee of $12 million paid by each operator.
Geoff Fisk, analyst for NY Sports Day said: “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.
“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.”
In addition, should state laws legalise two skins per operator, such estimates will increase annual revenue to $1.3 billion for the state’s online sports betting industry.
The state could bring in $156 million in tax revenue annually, and a total of $168 million in licencing fees from the 14 approved skins.
Fisk added: “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.
“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.”