New York legislators laud $909m state revenue windfall
Officials confirm more than $16bn handle processed since market launch as Empire State sports betting market turns one
New York’s sports betting market has generated more than $909m in revenue for the Empire State, according to latest data released by the state’s governor’s office.
Sports betting officially launched in New York State on January 8, 2022, and the market has become the fifth largest in the US, despite a crippling 51% tax on operator sports betting revenue.
New York sportsbook operators received a total $16.5bn in wagers from bettors, the state has confirmed, with estimated operator revenue amounting to $1.36bn.
After an early period of dominance from Caesars Sportsbook, US market leader FanDuel has become the biggest sportsbook in the state, just ahead of DraftKings and BetMGM.
Data supplied by GeoComply to the governor’s office suggests that more than 3.8 million unique player accounts have been created since the state’s launch, with more than 1.2 billion geolocated transactions taking place.
In respect of tax, officials from New York State Governor Kathy Hochul’s office have revealed the state has collected $709.2m since its launch, the largest amount collected by a state during its first year of sports betting.
On top of that, the state received $200m in licensing fees from New York’s nine licensed sportsbook operators, with the majority of that funding being funnelled to state-funded educational initiatives.
Governor Hochul lauded the boon for the state in legalizing mobile sports betting in a statement confirming the numbers.
“In just one year, New York has become a national leader in providing responsible entertainment to millions of people, while generating unprecedented revenue for education, youth sports and problem gambling prevention,” Governor Hochul said.
“I look forward to another year of delivering top-tier, revenue-generating mobile sports betting experiences to enrich the lives of New Yorkers across the state,” she added.
Governor Hochul’s office has confirmed that $5m in state revenue from mobile sports betting will be directed to fund sports programs for underserved youth, with an additional $6m funding problem gambling education and treatment in fiscal year 2023.
The majority of the remaining revenue will be used to fund educational causes in the state.