FanDuel CEO: Operators will “live to fight another day” as California ballot defeat looms
Amy Howe and Jason Robins suggest renewed fight in 2024 as $400m campaign enters final stages
FanDuel CEO Amy Howe has suggested that the $400m multi-operator campaign to widen sports betting legislation to include out-of-state operators will fail in next month’s legislative ballot.
Speaking at G2E, Howe asserted that while the Proposition 27 campaign is likely to fall on deaf ears among Californians, operators remain undaunted about possible expansion into the state in the future.
“We’ll absolutely live to fight another day,” Howe said.
“It is hard to imagine that sports betting will not ultimately include the state of California, and it has always been our intention to try to find a solution which aligns with stakeholders, the tribes, governments, and ultimately consumers.”
Howe continued: “Whether we get there in 2022 or we get there in 2024, we believe it is the right path because of the presence of the illegal market, and that nine out of 10 bettors want to do so in a regulated way.
“If we don’t do this we’re just enabling the illegal market, so we’ll absolutely live to fight another day,” she added.
Howe’s comments come amid an increased climate of hostility to Proposition 27, and its tribal-backed competitor Proposition 26, which have both bombarded voters in the state with TV ads attacking the other.
Last month, the L.A. Times waded into the debate, suggesting voters dismiss both initiatives as a “bad bet” for California and presenting more risks than benefits for the state.
This month, the UC Berkeley Institute of Governmental Studies (IGS) published survey data which showed a broad-base of opposition to either ballot move. The presence of increased advertising by both campaigns was suggested as a significant factor behind antipathy among voters.
Speaking in the same panel, DraftKings CEO Jason Robins took aim at the rival Proposition 26 campaign, suggesting that significant spending on advertising had “made things worse” for the chances of both initiatives passing.
“When you have over $100m being spent on false and misleading advertising, people don’t know what to do, just like they don’t know the difference between the illegal and legal markets, they just know what they see,” Robins explained.
“That’s a lot of money floating around, and it puts doubt in people’s minds making it harder to get your message out there,” he added.
Robins echoed Howe’s comments regarding a potential renewed push for sports betting changes in 2024, also suggesting that it could be more successful then due to the exposure generated in this campaign.
“This [Proposition 27] all started in July, with the elections coming up this month, which is not a huge amount of time,” he explained.
“I think that the more people are exposed to the messages and the more they’ll be able to sift through what’s true and what’s not, I think you’ll see more movement over the long term,” he added.