The full repeal of the federal sports betting ban in the United States has been widely welcomed by the industry, with American Gaming Association president and CEO Geoff Freeman hailing a new era.
The Professional and Amateur Sports Protection Act (PASPA) was struck down as unconstitutional by the US Supreme Court, leaving individual states open to create their own sports betting legislation.
Freeman said the decision was a “victory for the millions of Americans who seek to bet on sports in a safe and regulated manner”.
The long-awaited ruling on the 1992 law, which barred state-sanctioned sports wagering with only a handful of exceptions, went in favour of New Jersey’s challenge and is expected to result in many states rushing to open their doors to the sports betting industry.
“Today’s ruling makes it possible for states and sovereign tribal nations to give Americans what they want: an open, transparent, and responsible market for sports betting,” Freeman added.
“Through smart, efficient regulation this new market will protect consumers, preserve the integrity of the games we love, empower law enforcement to fight illegal gambling, and generate new revenue for states, sporting bodies, broadcasters and many others.”
The underground betting scene in the US is estimated to be worth up to $150bn a year and one piece of research showed before the ruling that a striking down of the law would see 32 states offering sports betting within five years.
Clarion Gaming’s head of industry insight and engagement, Ewa Bakun, welcomed the Supreme Court’s ruling ahead of the GiGse event later this month which is dedicated to the US gaming industry.
“We have been eagerly awaiting the outcome of this case and support the decision which is set to usher in new era of betting in the United States,” Bakun said. “This momentous news comes mere weeks away from GiGse and with such a strong focus on sports betting, New Jersey and the future application of sports betting in the USA, our agenda truly reflects the event’s reputation as the 'must attend' event for North American facing senior gaming professionals."
In the US, MGM Resorts International applauded the Court’s decision to allow states the chance to regulate sports betting. "We look forward to working with legislators and policy makers to achieve a regulatory outcome that benefits states and consumers alike while ensuring the integrity of sports,” the company stated.
"Having spent decades building trust with regulators, successfully operating sports books in Nevada, and hosting the world's leading sporting events, MGM Resorts International is extremely well positioned for a post-PASPA environment."
Similarly, Caesars Entertainment Corporation said there exists the opportunity now to end illegal sports betting “once and for all” by creating a trusted, regulated alternative.
“Caesars is a leader in legalised gaming in the US,” the firm stated. “As a result, we expect to be able to provide safe, exciting sports wagering experiences to consumers across the country, as we do today in Nevada. We plan to announce our specific approach to this business as we better understand the opportunities and regulations which evolve from today's Supreme Court decision."
The Washington State Gambling Commission director Dave Trujillo said: “We are currently reviewing the Supreme Court’s decision to determine its full impact on Washington State’s authority to enact its own sports gambling laws.
“This is a significant decision that will likely change the landscape of gambling in the United States.”
Sports betting supplier Kambi said that the ruling marks the beginning of a fresh chapter for the company.
“We have been working towards this day since our inception, putting in place the foundations to ensure the business would be ready for a legal US sports betting market when it arrived,” said Kambi CEO Kristian Nylen.
Matt Davey, group chief executive of SG Digital, said the news was positive not only for suppliers and operators: “It's also a fantastic development for bettors and players. Soon, they'll have cohesive, legal, and regulated solutions that allow them to bet in a safe and protected betting environment.”
Andrew Gaughan, CEO of pool betting operator and technology supplier Sportech, said: "It is a very positive decision and supports Sportech's initiatives, investment and focus on US growth opportunities. We have over 600 staff already deployed across the US providing gaming solutions to our business and retail clients and while there is plenty of work ahead of us, we believe we are well positioned."
The esports Integrity coalition welcomed the move towards regulation of what is currently a large black market and hopes that states will take a lead from Nevada.
“We have worked with the Nevada Gaming Control Board since 2016 and believe their system should be the model for other States,” said integrity commissioner Ian Smith. “We hope the States can agree something consistent.”
