There has been a huge amount of attention placed on Penn National Gaming over the past few years. This company was founded in the 1960s and now owns and operates 43 different gambling venues around the United States. This week, news broke that Penn scored an exciting new partnership with a major NY casino.
This is a huge move for this company. New York is currently in the process of getting its online sports betting industry up and running. Today, we’ll talk about what Penn’s move into this state means moving forward.
Let’s get into it!
New York is Still Working to Approve Online Sports Betting Legislation
New York is home to a huge professional sports industry. It’s no surprise that many lawmakers here immediately began looking into sports betting regulations after PASPA was struck down in May of 2018. Finally, in 2019, the first legal sports wager was finally placed here.
Things weren’t perfect, though. New York went against many recommendations and only decided to legalize land-based sports betting. Sportsbooks opened in various casinos across the state, yet many of them struggled to generate revenue.
Online sports betting has proven to be a far more lucrative industry. Neighboring New Jersey has a regulated internet sports betting industry set in place. Throughout 2020, this state set numerous new sports betting handle records from its online betting operations.
Many have been pushing New York to finally begin allowing online sports gambling. Many lawmakers agree and have been working to draft legislation that allows this form of wagering. Even Governor Cuomo believes it’s a necessity, yet wants to ensure the state benefits from such a move.
A sports betting bill is currently making its way through the state’s legislative process. Under this bill, up to 14 different sports betting operators would have the ability to gain an online license here. There are some issues arising, yet most feel online sports gambling will finally become available in New York this year.
Some major gaming companies are now making the move into this state. That includes Penn National Gaming, which is already banking on online gambling options becoming available here soon.
Here’s What We Know About Penn National Gaming Moving into New York
There has been a lot of media coverage on Penn National Gaming in recent years. Much of that has to do with the company’s investment into Barstool Sports. Back in January of 2019, this company invested an astounding $163 million into Barstool for a 36% stake in the company.
Penn Gaming has also been working hard to expand in recent years. In 2015, for example, it purchased the popular Tropicana Hotel-Casino in Las Vegas. In 2019, the company purchased two more major properties in conjunction with VICI Properties.
Now, Penn seems focused on New York. News broke this week that the company has agreed to a new partnership with Rivers Casino & Resort in Schenectady. This 20-year deal gives Penn access to the New York mobile sports betting and casino market.
Jon Kaplowitz, Penn National’s Sr. Vice President of Interactive Gaming, expressed his excitement about breaking into New York in an official statement this week.
“Gaining potential access to what could become one of the nation’s most lucrative sports betting markets has been a major priority for our Company,” he said. “We are hopeful that the New York State Assembly will follow those leading revenue producing states that allow for multiple skins for mobile sports betting. A state the size of New York certainly warrants open competition and a free market approach.”
This is a huge move for Penn Gaming. This company has seen tremendous success breaking into new markets in recent months including Michigan. Most agree that New York has the largest online sports betting market in the US.
As of now, New York still has not approved any legislation to allow online sports betting. Once that changes, however, Penn Gaming will have the ability to launch an internet sportsbook here. Stay tuned for more updates over the next few weeks!
Online Sports Betting Revenue Continues Increasing Around the US
New York seems to be just months away from getting its online sports betting operations up and running. The states that have already done so are profiting in a big way. Online sports betting revenue is surging around the country right now.
That includes the aforementioned state of Michigan. Online sports betting didn’t become available here until the final ten days of January. In those ten days, the state saw an online sports betting handle of $113 million.
New Jersey is also seeing impressive online sports betting revenue figures right now. The regulated sportsbooks here earned an astounding $82.6 million in January. Analysts expect even higher figures in February due to the Super Bowl.
Many different states are now working hard to legalize and regulate their online sports betting industries. That includes California and Arizona. Many analysts expect nearly every state to have a sports betting industry set in place by 2025.
Penn National Gaming is getting ahead of the game by breaking into New York. It is likely to pay off as soon as online sports gambling gets approved here.
When do you think New York will begin allowing online sports betting? Let us know in the comments section below!