DraftKings, FanDuel launch mobile sports betting in Vermont as industry keeps booming
- Mobile sports betting launched Thursday in Vermont.
- It's the 29th state to legalize mobile sports betting.
- Online sports betting has been a booming industry and total revenue is expected to reach almost $10 billion in 2024.
Vermont launched mobile sports betting Thursday, becoming the latest state to jump into the booming industry.
Gov. Phil Scott signed a bill in June authorizing mobile sports betting and announced in December that the state had selected DraftKings, FanDuel and Fanatics to operate its sportsbooks.
With Vermont, sports betting is now live in 29 states and Washington, D.C., according to the American Gaming Association.
The industry is expected to continue its growth in 2024 with North Carolina set to launch mobile sportsbooks by the start of the NCAA basketball tournament in March. California, Georgia, Missouri and Oklahoma currently have ballot initiatives or legislation on the matter.
Legal sports betting can be both a benefit and a problem for states. After it launched mobile sports betting in 2022, New York reported it brought in $727.4 million in tax revenue in its first fiscal year. However, a report by State Comptroller Thomas DiNapoli said the Office of Addiction Services had a 26% increase in gambling problem-related calls from 2021 to 2022.
Vermont is expected to raise up to $7 million from sports betting in its full year of operation and it could reach between $15 million and $18 million in the future, according to a Wednesday press release. The state has outlined rules about the wagers and plans to have resources for those who have a problem with gambling.
Online sports betting revenue in the U.S. is projected to reach $9.65 billion in 2024 and rise to more than $15 billion by 2028, according to data from research firm Statista.
With the addition of Vermont, the DraftKings sportsbook is now available in 26 states compared to 21 states for its rival FanDuel. Fanatics Sportsbook also launched in Vermont, its 10th state to offer sports wagering. DraftKings for the first time last year overtook FanDuel in market share, according to market research firm Eilers & Krejcik Gaming.
DraftKings took about 31% of online sports betting and casino revenue in the third quarter of 2023 while FanDuel fell to 30%.
DraftKings shares soared over 200% in 2023 while FanDuel parent Flutter Entertainment said last year it is preparing for a listing on a U.S. stock exchange.
Correction: Vermont is expecting sports betting to reach between $15 million and $18 million in the future. A previous version of this article misstated the amount.
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