It’s officially official, even though it has been practically official for a few weeks: mobile NY sports betting is coming.
Gov. Andrew Cuomo signed the fiscal 2022 budget into law, ending months of negotiations and years of legwork to get mobile sports betting in New York passed.
While it is a victory for New Yorkers looking for a legal and local betting option, New Jersey sportsbooks will still have a few more months alone in the limelight. The monopoly model, ultimately decided by Cuomo with concessions made by legislative leaders, means the launch will take a bit longer than just writing regulations and licensing sportsbooks.
Sen. Joe Addabbo Jr. said he ultimately hopes the Super Bowl serves as a benchmark to measure the legal mobile market in New York. Potential legal challenges from tribal nations or other interests remain a possibility, though.
Next steps for mobile NY sports betting
Cuomo’s model requires a request for proposals, which will start by July 1 and run for 30 days. There then will be 150 days to rank proposals, though a decision could be made sooner.
There is no scoring system for criteria yet, though Addabbo pointed out a couple os his:
“There is the criteria, though, that we have to consider: the criteria of speed to market, the expertise, the business that these providers may have done with other states, the ability to handle volume, the ability to work with New York. So I think these other criteria sort of narrow maybe the scope of these possible bidders.
“Again, I don’t think, my opinion, I don’t think that New York is looking for the novice provider, one looking to crack into this mobile sports betting industry. I think that’s the right perspective for New York to have, unique to it in the sense that it’s catching up to other states. So they’re not going to want the novice, they’re going to want the top premier provider so that, like I said, day one, we’re operating at hopefully a maximum potential.”
Cuomo’s model is based on New Hampshire sports betting, which handed a mobile and retail monopoly to DraftKings Sportsbook through its RFP.
Who will apply?
Expect plenty of bidders to come to New York’s table. What exactly will be required of the bidders is still unclear.
What is known is there will be at least two platform providers picked with a minimum of four skins. Whether those skins have to use the technology of the platform providers still is not clear. Those platform providers will pay $25 million each for a 10-year license and will have to share more than 50% of total sports betting revenue.
Any platform provider that partners with one of the state’s three tribal gaming partners will get extra points in the process. That stipulation likely emerges from the Oneida Nation questioning whether mobile betting can take place in their exclusive gaming zone.
