State regulators choose firms to operate mobile sports betting in New York

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PHOTOGRAPHER:

SCHENECTADY — The company that provides the sports betting platform used at Rivers Casino in Schenectady is among the operators chosen to roll out mobile sports betting in New York state.

The news came from a meeting Monday of the New York state Gaming Commission, at which eight entities were granted licenses.

Rush Street Interactive said later Monday that remote sports betting is expected to go live in New York in the first quarter of 2022.

“New York is a crown jewel market with more than 20 million residents which, upon launch, will become the largest online sports betting market in the United States,” said Richard Schwartz, CEO of Rush Street International.

The eight entities chosen to operate a mobile sportsbook platform must pick a commercial casino to house their computer servers; have the location and anticipated cost approved by the Gaming Commission; build the servers; and have them independently tested.

The new gambling medium will be taxed at 51% in New York.

Rush Street International now operates online gambling in 11 states, including neighboring New Jersey and Connecticut.

It is an entity separate from Chicago-based Rush Street, which operates casinos under the Rivers name in Des Plaines, Illinois; Pittsburgh and Philadelphia, Pennsylvania; and Schenectady.

Rush Street International in March reported $279 million in 2020 revenue, a 337% jump from 2019, and a net loss of $139 million, a 517% jump.

The eight entities granted licensees to create mobile sports wagering platforms in New York are:

  • American Wagering, Inc. dba Caesars Sportsbook.
  • Bally’s Interactive, LLC dba Bally Bet.
  • Betfair Interactive US LLC dba FanDuel Sportsbook.
  • BetMGM, LLC.
  • DraftKings.
  • Empire Resorts, Inc. dba Resorts World, partnered with PointsBet.
  • Rush Street Interactive NY, LLC dba Rush Street Interactive.
  • Wynn Interactive.

Rivers Casino & Resort Schenectady took the first legal sports bet in New York in 2019 and has raked in the most revenue of any on-site sportsbook since then, Rush Street International said — $860,000 a month on average in the last 12 months.

Categories: Business, News

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