ESPN Bet is live for a soft launch for NY sports betting, just in time for Week 4 of the NFL season.
With the approval from the New York State Gaming Commission on Monday, ESPN Bet launched Thursday morning. That means NFL betting kicks off for ESPN Bet in the state with the New York Giants facing the Dallas Cowboys.
A Penn Entertainment spokesperson confirmed the soft launch with a full launch expected Friday.
The NY sports betting debut comes a month after Penn CEO Jay Snowden said it would during an August earnings call.
CTO: ESPN Bet improving
New York is Penn’s 20th jurisdiction between TheScore Bet and ESPN Bet. In a LinkedIn post, Penn’s Chief Technology Officer Aaron LaBerge said the company has a network of 4 million unique digital bettors.
LaBerge said 2024 was an investment year with a focus on platform migration, rebranding and state launches. Now, he said, the work shifts to its product roadmap and other growth strategies.
He also said ESPN Bet’s parlay system was overhauled. Users can also now link accounts between ESPN Bet and the ESPN app, which “removes the friction fans experience today.”
It has not been all positive, though. Penn has had two rounds of layoffs from the interactive business since July.
NY sports betting delay
Penn purchased its NY sports betting licenses from WynnBet in February. The company finished its regulatory paperwork and submitted it to the NYSGC in August.
During the NYSGC hearing this week, commissioners questioned Penn about ESPN Bet’s presence on ESPN college sports coverage.
The NYSGC previously rejected Penn’s Barstool Sportsbook in 2022, after it did not meet state qualifications. Snowden has said the New York’s 51% tax rate is a “margin-killer,” but has since said the ESPN brand can help keep costs down.
New York’s big market
New York represents more than 13% of the US online market by population and accounted for 17% of the total US sports betting handle in 2023.
FanDuel has taken 47% of New York wagers by dollar this year. DraftKings is second with 35%.
ESPN Bet holds 5% market share in 13 of its 18 active states that break out operator data. That trails FanDuel, DraftKings and BetMGM.
