- Mobile betting first launched in NY on January 8, 2022.
- The total handle for the first year is $15.9 billion.
- NY quickly surpassed NJ as the top mobile sports betting state.
The first full year of mobile betting has taken place in New York, with operators recording a $15.9 billion handle. The market first launched on January 8, 2022 and is now the number one jurisdiction for sports betting in the nation.
New York was not the first to launch sports betting in the US, but has been the fastest in securing the top spot at the market leader.
Details of the Year’s Operations
After launching mobile betting in January 2022, it took only a month for New York to surpass New Jersey as a top sports betting provider. Bettors quickly took to the convenient option for wagering and have not looked back. For the year, the state was able to secure $1.3 billion in total earnings from the $15.9 billion wagered.
The state does have a high tax rate that has been a hot topic among operators. The state charges operators 51%, which is a majorly high total when compared to other states in the US. From this rate, the year ended up supplying New York coffers with around $680 million.
The market was able to reach these numbers with nine sports books in place, which is quite impressive. Take neighboring New Jersey for comparison. The Garden State has around 24 online sports books. By the end of November, NJ had earned $675 million in revenues while New York brought in over $1 billion.
Super High December Earnings | FanDuel Remains Market Leader
By the end of the year, FanDuel was the market leader with close to $650 million in gross gaming revenues. The brand saw over $6 billion in wagers placed for 2022. DraftKings finished second with $354 million in earnings and $4.5 billion in bets.
The industry finished out the year with impressive totals, as the mobile sports betting industry saw a total of $1.6 billion in wagers placed. This was an almost 4% increase from November. December 2022 was the third highest month for the mobile industry in New York. Despite the high betting numbers, the industry did take a hit month to month. Earnings fell over 4% when compared to November at $141.8 million.
The numbers continue to be high for the state though, both in revenues and handle. It will be interesting to see how the market performs in 2023. It is expected that New York will continue to hold the top spot when it comes to sports betting in the United States. Lawmakers have discussed changing the tax structure due to the higher percentage in the state, but we do not foresee any changes this year as the market is doing so well.
We do feel that there will be a push for online casino gaming to be legalized in the state. Senator Joseph Addabbo, Jr. mentioned the prospect last year, pointing out that an iGaming market would bring even more tax revenues to New York.