BetMGM revealed on Friday that it was one of the sports betting operators granted an “event wagering license” in the state of Arizona.
The New Jersey-based gambling operator previously partnered with the Arizona Cardinals and the Gila River Casinos to gain access to the Arizona market. With its approval, BetMGM registering customers for online and mobile sports betting on August 28th and then will be able to accept bets on September 9th, when the industry goes live.
Said BetMGM CEO Adam Greenblatt in a statement:
“It is an exciting day here at BetMGM to get the official sign off to launch on day one of sports betting in Arizona. Through our partnerships with Gila River and the Arizona Cardinals, as well as the benefits of being connected to MGM Resorts properties nationwide, we have many exciting things in store for sports fans in Arizona.”
20 Total Sports Betting Licenses
At first, there was a lot of uncertainty as to whether the sports betting bill would be passed in Arizona. However, when things got started, it got together rather quickly. Last April 12th, the Arizona Senate passed HB 2772 by a 23-6 margin. Three days later, Gov. Doug Ducey put pen to paper to legalize mobile sports betting and retail sports wagering in the Grand Canyon State.
Although the launch is still on September 9th, sports betting companies have already positioned themselves in the market by making partnerships with sports betting teams, casinos, and even college football bowl games.
A total of 20 sports betting licenses will be handed out in Arizona, with 10 allotted to professional sports teams and the remaining 10 to be given to the Native American Tribes who own casinos in the state. The initial licenses were doled out this week with Penn National Gaming and FanDuel the first two companies to announce their approval as Arizona sports betting operators.
Arizona Sports Betting Law
To recap, Arizona sports betting will be governed by the Arizona Department of Gaming and they are tasked with creating the rules and regulations that will encompass the industry. Online wagers will be taxed at 10% of revenues while retail sports bets will be levied an 8% tax.
The Arizona sports betting law allows betting on collegiate sports, including Arizona colleges. However, betting on individual performances in college sports is not permitted. Conversely, bettors can make wagers on season performance and awards like the Heisman Trophy.
Sports Wagering license applications were priced at $100,000. Upon approval, sports betting operators will be required to pay an initial of $750,000 for an “event wagering license” and an annual renewal fee of $150,000. Limited operator licenses such as those in race tracks would cost much lower, at an application fee of $5,000, initial license fee of $25,000, and an annual renewal of $5,000.