FanDuel, Caesars & BetMGM all live in DC online sports betting market after delay

FanDuel, Caesars & BetMGM all live in D.C. online sports betting market after delay
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After a delay to start the week which saw D.C. online sports betting go dark on Tuesday, FanDuel’s monopoly across the district officially ended on Wednesday. Multiple sportsbooks are now offering mobile wagering across the district for the first time ever.

Although Mayor Muriel Bowser is still yet to sign the budget that includes language to open up the D.C. online sports betting market, FanDuel, Caesars and BetMGM all received the green light from the Office of Lottery and Gaming to begin operating on Wednesday.

With the status of the market in limbo, FanDuel had been forced to go dark in D.C. on Tuesday. The former monopoly holder resumed operations in the district on Wednesday.

Soon afterward, Caesars announced on July 17 that the Caesars Sportsbook mobile app and desktop platform are now available D.C.-wide for the very first time.

“D.C. sports fans have always displayed an incredible passion for their teams,” said Eric Hession, president of Caesars Digital. “Expanding access to our mobile sports betting app across the district will only enhance their fan experience, and we look forward to deepening the connection we’ve established with them since our historic opening in 2021.”

BetMGM, which had canceled a launch party scheduled for Monday at Nationals Park when it became clear it would not be able to launch that day as planned, also confirmed later on Wednesday that it is live across the district.

“After three years of bringing unparalleled, omnichannel experiences to sports fans and supporting the D.C. metropolitan community through our partnership with the Washington Nationals, fans can now bet on their favorite teams with BetMGM across the District with our award-winning mobile app,” said CEO Adam Greenblatt.

FanDuel transitions to Class A licensee

The market opening up is a result of councilmember Kenyan McDuffie’s Sports Wagering Amendment Act of 2024 garnering enough support to be included in D.C.’s budget, which was slated to take effect on July 15.

Since April, FanDuel had served as D.C.’s exclusive sports betting provider after taking over the Intralot subcontractor license from GambetDC. However, Intralot’s contract with the OLG expired on Monday, thereby ending FanDuel’s subcontract. Under the new system, FanDuel holds a Class A sports betting license through its retail partnership with D.C. United’s Audi Field.

Under the new D.C. online sports betting plan, Class A operators in the district will pay 20% of their gaming revenue as tax, plus the cost of district-wide licensing. FanDuel had previously been paying 40% under its exclusive agreement but will now operate as one of several licensees.

Caesars and BetMGM are also existing Class A licensees. They already offered online and mobile sports wagering within a two-block radius of their respective physical sportsbook locations at Capital One Arena and Nationals Park.

Now, they have spread district-wide, with two notable exceptions. Firstly, mobile sportsbooks cannot operate on federal lands including the National Mall, the White House, the Capitol, East Potomac Park and Rock Creek Park. Secondly, sportsbooks cannot operate within designated areas surrounding other professional sports venues. Each sportsbook will retain its own monopoly on the area adjacent to its in-stadium retail offering.

It seems like DraftKings could be next. Although there has been no confirmation that they will receive a license, FanDuel’s perpetual rival tweeted on Tuesday encouraging users in D.C. to sign up to receive bonus bets “once we’re live.” SBC Americas reached out to DraftKings for comment on Wednesday.

Mayor Bowser’s issue not with D.C. online sports betting expansion

The fact that Bowser has not signed the budget does not preclude D.C. online sports betting from expanding across the district, and the OLG’s approval cleared the legal barrier to already licensed sportsbooks launching expanded operations.

Bowser’s office confirmed to SBC Americas that the budget still goes into effect, including the elements regarding sports betting.

“By returning it without her signature, the Mayor is expressing concerns with other elements” rather than the sports betting aspect, said her press secretary Daniel Gleick. In a letter from the mayor to the council shared with SBC Americas, Bowser said she cannot support a budget that “needlessly increases our residents’ property and income taxes, raises the paid family leave tax to untested levels, or harms our public schools.”