NY sports betting continues to set the pace for revenue collection in the US, to the benefit of the Empire State.
In October, New York online sports betting operators combined for $1.54 billion in handle, leading to new US and state records for both monthly total gross gaming revenue ($145.7 million) and tax revenue ($74.3 million.)
Meanwhile, Gov. Kathy Hochul defeated challenger Lee Zeldin in the Nov. 8 election, allowing New York to maintain an administration that has been pro-sports betting.
NY sports betting stats
From Jan. 8 launch through Nov. 6, NY online sports betting operators have posted the following numbers:
- Handle: $13.3 billion
- Total GGR: $1.1 billion
- Tax Revenue: $561.4 million
An expanded menu of wagering options for NY sports bettors (NFL, NBA, NHL, etc.) should enable those trends to continue.
NY betting by sport
Here’s a sport-by-sport wagering breakdown from Jan. 8-Oct. 30:
- MLB: $2.6 billion
- NBA: $2.5 billion
- NFL: $1.3 billion
- CFB: $406 million
GeoComply reports that more than 11.3 million unique NY player accounts were created from Jan. 8-Oct. 30, conducting nearly 985 million transactions.
Tax rate remains issue
Online sports betting operators in NY are expected to continue to lobby for a tax reduction from the US-high 51% rate they pay, while also not getting deductions for promotional spend. But these record sports betting revenues will make that a difficult proposition.
For fiscal year 2023 (April 1, 2022 to March 31, 2023), the Hochul administration projected $615 million in tax revenue from online sports betting ($51.3 million per month on average.)
Through October, NY is ahead of that pace, with $381.6 million in tax revenue ($54.5 million per month.)
Those operators knew they would have to pay a 51% tax rate to enter the market, and did so anyway. If they don’t get a tax deduction via operator expansion, they could potentially get a promotional deduction as a compromise.
Hochul touts NY sports betting
A day after her victory, Hochul again touted the success of NY online sports betting in a news release. In a statement, Hochul said:
“By bringing sports wagering to New York, we have not only opened the door to responsible entertainment for millions of sports fans, we have also brought in significant revenue to support schools, as well as youth sports, while implementing important safeguards to those who need it.”
“I’m proud of the work that has been done to secure our state’s top position in mobile sports wagering, and I am excited to continue the trend as we secure hundreds of millions of dollars to support programs that will improve the lives of New Yorkers.”
Addabbo retains seat
Sen. Joe Addabbo, chair of the NYS racing, gaming and wagering committee, also won his election in District 15.
Addabbo plans to continue his push of online casino gaming heading into the 2023 legislative season.
“First and foremost, we’ll look at iGaming,” Addabbo told LSR. “That’s the priority at this point.”
What’s next for NY
Also on deck for NY: awarding up to three downstate casino licenses, which could bring retail sportsbooks to NYC for the first time.
In addition, Addabbo and his counterpart, Assemblyman Gary Pretlow, will look to potentially expand the menu of sports betting options available in NY. Currently, NY bettors are not allowed to wager on individual player future awards.
There is also an in-state college sports team betting ban.
Addabbo and Pretlow could also look to add sports betting kiosks, and expand auto racing and horse racing to be available on all the sports betting apps.
