While several states have now fully embraced legalized sports betting following a Supreme Court ruling in May 2018, the three states which have the biggest sports betting market are not showing any signs of progressing towards lifting the ban in their respective markets.
Florida , California and Texas make up 27% of all franchises in major sports leagues in America.
Over the past decade, teams from these states have been performing strongly and have generally made it to the playoffs of the leagues.
Sara Slane of the American Gaming Association (AGA) considers these territories as the jewels for sports betting firms, taking into account the population size and the potential opportunity each of the state offers. However, as things currently stand, there’s still a long way to go.
The Associated Press recently conducted a 50-state review of sports gambling and found that there are currently no legalization efforts in the three largest states, which are home to over a quarter of the American population.
Each of the state has its own reasons. Powerful tribal interests that control a large portion of the gambling industries in both California and Florida are still hesitant to enter into talks with the state and have dismissed the prospect of sharing the gambling market, which include race tracks and card rooms, with other betting operators.
In Texas, legalization efforts have been thrown out the window by social conservatives who have strongly opposed gambling. Out-of-state casino interests also continue to have major influence in the state’s political affairs. For sports gambling to be legalized in each of the three states, a statewide vote to amend the constitution would be required, posing a strong barrier to any prospect of gambling expansion.
Chris Grove, managing director of gambling research firm Eilers and Krejcik, has given a clear analysis of how things work in all three states. While California, Florida and Texas offer larger markets and greater opportunities due to their large populations, the stakeholder environment in each of the states is more complex, and political conflicts are frequent.
Sports betting is highly unlikely in California mainly due to existing casino compacts with tribes. The same scenario is prevalent in Florida where gambling is also controlled by tribes that strongly oppose any gambling expansion. Texas, despite having hosted major sports games and being home to eight sporting franchises, will not embrace sports betting anytime soon because of a combination of morality and money.
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