New York is expected as early as this week to name at least two operators to begin offering online sports betting, according to a source familiar with the matter.
Online sports betting is likely to be up-and-running before kickoff for this year’s Super Bowl, the source told The Post.
The state is expected to choose at least two groups to begin online sports betting: the consortium of Bally Bet, BetMGM, DraftKings and FanDuel; as well as the group of Caesars, Wynn Interactive, Empire Resorts and Rush Street Interactive, according to people familiar with the matter.
One of the remaining questions is whether New York awards a license to a third group — the team of rapper Jay-Z, Fanatics and Barstool’s Penn Sports Interactive.
A source close to the situation said the Fanatics group has not gotten the same paperwork to sign this week as the two groups that appear to have been selected by the state — raising questions about whether the Fanatics group will get a license.
A Fanatics spokesman said: “As far as we know, the process is still ongoing.”
The New York Gaming Commission declined to comment on the process, except to say it remained on schedule.
Once officials give the green light, New York expects $10 billion in sports betting next year, with the nearly $1 billion in expected profits split between the state and the operators.
The companies selected by New York have agreed to fork over 51 percent of their profits to the state, according to a source familiar with the matter — a split that far outpaces the take in most states where online sports betting is legal.
Because of the state’s big take, bettors might see worse odds in New York than they do in other states, a source said, as operators look to juice profits.
The unusually large profit-sharing split means the operators also likely won’t offer promotions to new gamblers in New York, the source close to one of the bidders said. Such promotions are seen often in national advertising.
“We won’t see any free bets,” the source said.
To compare, New Jersey online sports betting operators share 13 percent of their profits with the state. Connecticut charges operators 13.75 percent. Thirteen other states range from Iowa, which charges 6.75 percent, to Pennsylvania, which charges 34 percent.
The only state with a take similar to New York is New Hampshire, which also charges 51 percent.
State Sen. Joe Addabbo, a Democrat who represents parts of Queens, said mobile sports betting is on track to be ready to go before the Super Bowl.
“They are on schedule,” he said. “I give the gaming commission credit for staying on track given the change in governors,” said Addabbo, who chairs the racing, wagering and gaming committee.
He said he had no inside information on who’s been approved for the licenses.
Former Gov. Andrew Cuomo’s legacy will include his reversal on online sports betting. For years, he opposed the idea even though sports betting was legal in New York upstate casinos. He said the state needed a constitutional amendment to approve online sports betting. Then came the pandemic and a budget shortfall.
In January 2021 Cuomo announced he supported online sports betting if the state made a significant percentage of the profits. New York reached a budget agreement in April that included mobile sports betting.
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