California
Industry analysts predict sports betting defeat for California | CA online not likely
Neil is a gambling industry veteran with over 15 years experience as a content writer, editor and speaker at events. He has a Masters degree in English Literature and Philosophy and has combined this analytical inquisitiveness with a passion for sports betting and casino gaming. Neil started his career with Bettingpro.com and helped build not only that site but various others such as LiveTennis.com, LiveDarts.com and numerous other sports informational sites, including GG.co.uk and RacingTips.com He then made the transition to the North American market, working both in the UK and in New Jersey to launch various sports betting and casino sites, including AmericanBettingExperts and NewAmericanCasinos. Working with regulators, Neil has helped to review sports betting sites and also test the regulated betting apps in a professional capacity. He now works almost exclusively in the US market and is one of the main reviewers and fact checkers on SportsLens gambling content. He also speaks at various gambling conferences including ICE, iGB Live and SBC Americas and has contributed to GamblingInsider, EGR Magazine and a number of others in a consulting capacity.
All posts by Neil RoartyUpdated11 hours ago on April 19, 2024
Industry analysts are not optimistic about California sports betting becoming legal, in a retail or online capacity. Both Proposition 26 and Proposition 27 will be voted on in early November, and require 50 percent or upwards of the vote to pass – something that looks increasingly unlikely.
Despite marketing spending pushing half a billion US Dollars in the debate over legalization, intrinsic parties remain at loggerheads and there is little consensus. Marketing spending is expected to continue to be high in the coming two months as commercial operators push for legal online betting, while the two dozen Indian tribes argue for only in-person sports betting at tribal casinos and racing venues.
And that’s just marketing spend on trying to win a referendum vote to pave the way for legalization; which would not come without further legal battles, analysts suggest. California is undoubtedly one of the markets with the greatest potential in the fragmented US market, with online gaming and sports betting to be worth billions should it be legalized.
Where does support lie?
Proposition 27, backed by commercial operators, has attracted support from Major League Baseball, but support overall has been more muted. Caesars Entertainment, another commercial operator has decided to remain neutral given its existing agreements with tribes operating in CA.
The marketing battle has been bad-blooded, and there seems to be no sign of it cooling, either. Proposition 27’s marketing appeals to voters to “support small tribes” and “address homelessness”, mentioning that 85% of tax revenue would be earmarked for homelessness and mental health solutions. Considering the bulk of tribes oppose 27 and instead advocate Proposition 26, this understandably hasn’t gone down well and increased the animosity between the two propositions.
Ultimately, the next two months will see a continuously fierce battle between commercial juggernauts and tribal operators in the state of California. Lack of legalized sports betting would probably only be considered damaging to the consumer, but given the lack of consensus and stakeholders’ desire to claim as much of the CA pie as possible, it’s looking increasingly unlikely in the short term.
Meanwhile, there’s little movement in TX (Texas) and OK (Oklahoma) plus FI (Florida), the other three states earmarked as huge potential growth areas moving forward.
