The battle for the great prize of operating online sports betting in the US state of California is heating up with just 77 days to go.
The big question is whether the licences will go to out-of-state operators, bringing in the huge operators like DraftKings, FanDuel, MGM and Bally’s, or is it going to be reserved for the Indian tribes already operating the state’s land-based casinos?
And beyond that, the competition is now drawing in other tribes who are seeking a cut of the action.
Hundreds of millions of dollars have already gone into the campaigns to win the operating rights for what will be America’s most lucrative sports betting markets.
On November 8 Californians will go to the polls to legalise retail and/or online sports betting. On the run-in there has been an often vitriolic battle between the interested parties. And it isn’t just those seeking their choice of operating systems as there is also another element to content with - the no vote.
Media is benefiting with long and expensive advertising campaigns on TV and in the press. Now Major League Baseball has weighed in - the first of the professional spots leagues to back a proposal - and it has chosen the commercial offer, rather than that of the tribes.
Proposition 26 is the tribal-backed initiative offering in-person only betting, or Proposition 27, the commercial one. The latter is backed by a consortium of the big operators - Bally’s, DraftKings, BetMGM, Fanatics, FanDuel, Penn Entertainment, Barstool Sportsbook and WynnBET.
The consortium is happy for platforms to be centred on tribal venues, but it would permit online and mobile betting, while Proposition 26 will not.
With 40 million people, California is regarded as the holy grail of sports betting in North America. No wonder the big operators are throwing money into the campaign - and so are the 100 Californian Indian tribes, over 50 of which already have their own casinos.
