Fanatics Finally Gains Access to New York Sports Betting

Fanatics Underscoreg has faced a lengthy and complicated journey in its quest to enter the largest legal sports betting market alongside other top sportsbooks in New York.

In 2021, Fanatics attempted to enter the New York sports betting market but was unsuccessful in obtaining one of the nine coveted licenses from the New York State Gaming Commission. Despite having top sports betting apps, Fanatics was unable to establish a presence in the most successful legal sports betting state in America.

Fanatics has been given the green light by the New York State Gaming Commission to officially launch its legal sports betting platform. It is now the latest New York sports betting app to go live following the approval of internet-based sports wagering in November 2021.

In a statement released by Fanatics, it was announced that the New York State Gaming Commission has given approval for Fanatics Betting and Gaming to acquire PointsBet New York LLC. Fanatics expressed gratitude to the commissioners and staff of the Commission for their dedication in delivering the positive news. The company looks forward to collaborating with the Commission’s staff to introduce the Fanatics Underscoreg to the biggest sports wagering state in the U.S.

What changed?

The acquisition of PointsBet USA’s assets by Fanatics gave the company market access to New York. Fanatics reportedly outbid DraftKings in a $250 million deal for PointsBet’s U.S. assets in early 2023.

Fanatics quickly secured market access and sports betting provider licenses in 12 of PointsBet’s licensed states, including New York. While PointsBet may not be a top name in the U.S. legal sports betting industry, it is a reputable provider with a solid market share, trailing behind popular brands like FanDuel and DraftKings in New York.

In New York, only nine mobile sports betting licenses are permitted by law. Fanatics would not have been able to enter the market and compete with top sportsbooks without acquiring the PointsBet brand, which allowed them to offer promotions for their NY sportsbook.

At present, New York does not have a policy in place for the automatic transfer of sports betting provider licenses. This means that Fanatics Underscoreg must navigate the required regulatory hurdles and undergo the vetting process of the New York State Gaming Commission alone.

Although considered a mere formality, Fanatics successfully met all of its obligations and secured entry into the country’s most thrilling sports betting market. The company’s technology suite, currently resembling that of PointsBet, is currently being scrutinized by the commission.

Plenty to go around

Fanatics’ new sports betting brand, Underscoreg New York, is set to overtake PointsBet New York in the thriving Empire State market, which has consistently led the nation in sports wagering.

In 2022, New York sportsbooks saw an unprecedented $16 billion in sports wagers, showcasing the robust market in the Empire State. As the industry continues to gain mainstream acceptance and becomes more deeply rooted in New York’s culture, the outlook for sports betting in the state only continues to improve.

PointsBet was ranked sixth out of nine New York sports betting apps, which was considered somewhat disappointing. Fanatics is determined to enhance its ranking as it grows and establishes a stronger presence in the New York market. Currently, the company is competing against FanDuel, DraftKings, Caesars, BetMGM, and BetRivers for the top spot as the leading mobile sports betting provider in New York.

Throughout the process, obtaining one of the nine New York sports betting apps licenses must be viewed as a significant achievement for the emerging brand.

What about the when?

Fanatics has been eager to establish its presence in the growing U.S. legal sports betting market, but no specific timeline has been announced for the transition of operations from PointsBet to Fanatics.

It is clear that Fanatics wants to capitalize on the current momentum as we enter Week 5 of the crucial NFL season. This is the ideal opportunity to expand the brand’s reach and take advantage of the current popularity.