ESPN BET, the sports betting platform under the ownership of Penn Entertainment, has received approval to commence operations in New York. The g
ESPN BET, the sports betting platform under the ownership of Penn Entertainment, has received approval to commence operations in New York. The green light was granted by the New York State Gaming Commission (NYSGC), following Penn’s acquisition of WynnBET’s license for a substantial sum of $25 million. This development allows ESPN BET to enter one of the largest legal sports wagering markets in the United States.
ESPN BET Gears Up for New York Launch Soon
During a recent meeting held by the commission on Monday, Penn’s chief strategy and legal officer, Chris Rogers, announced that preparations for launching ESPN BET are well underway. The platform is currently addressing some minor technical issues and could potentially go live within just a few days, ideally before this weekend’s football matches. This announcement follows an earlier setback that resulted in ESPN BET missing out on both college and NFL season openings.
The acquisition of WynnBET’s license is pivotal to Penn Entertainment’s strategy to make a significant impact in New York’s sports betting landscape. While WynnBET faced challenges establishing itself in New York and has exited several other states, Penn is optimistic that leveraging ESPN’s powerful brand will provide them with a competitive advantage.
Rogers expressed confidence regarding the brand’s potential to expand market participation based on positive outcomes observed in other regions, as reported by Covers. He noted that ESPN BET has successfully attracted new bettors while increasing overall wagering amounts rather than merely redistributing existing customers from rival sportsbooks.
ESPN BET Faces Competition from Established Giants in New York Market
The timing may be late for entry; however, New York still presents an attractive opportunity for profitability for ESPN BET. Since legalization began in 2022, sportsbooks across the state have processed approximately $50 billion worth of bets, generating over $4.3 billion in revenue. Nevertheless, ESPN BET will need to contend with established players likeDraftKings andFanDuel that dominate this lucrative market.
A significant challenge lies within New York’s steep tax rate—set at an astonishing 51% on sportsbook operators—the highest among states with multiple betting platforms. This taxation structure complicates efforts to offer enticing promotions. Despite these financial hurdles,< strong>Penn CEO Jay Snowden acknowledged these challenges but remains confident about long-term success prospects for< strong >ESPN BET in New York.
Diverse opinions were voiced during the NYSGC meeting concerning advertising strategies targeting college students and younger audiences due to ESPN’s extensive coverage of collegiate sports events. In response,< strong >Rogers assured the commission that both Penn and ESPN would adhere strictly to state regulations prohibiting promotions on college campuses and preventing underage gambling activities.
The final approval positions< strong >ESPN BET to become< strong >New York’s ninth mobile sportsbook , potentially introducing fresh competition into an already vibrant market while attracting new bettors eager for diverse options.
COMMENTS
This is fantastic news for sports fans in New York! Can’t wait to check out what ESPN BET has to offer!
Absolutely thrilling to see ESPN BET launching in New York! This is a game-changer for sports betting in the area, and I’m eager to see how they elevate the experience!