Every person knew online sports betting in New York would become the largest industry in the region. But this quick? Definitely unexpected.
But here sits the Empire State, 71 weeks into legal online sports betting, already challenging the likes of New Jersey and Nevada for the highest handle, closing in on NJ for top revenue, and far-and-away number one in state tax revenue.
On Friday, the New York State Gaming Commission released NY sports betting figures for the week ending May 14. The totals may not turn heads ($318 million in handle, the state’s lowest since September), but the significance does.
Last week, New York crossed $2 billion in lifetime gross gaming revenue. This comes just a week after the Empire State surpassed $1 billion in state tax revenue since its launch in January 2022.
NY wagering tops captal up to $1 billion in status tax revenue…
It took just 71 weeks to reach these historic NY sports betting revenue totals. For state lawmakers, only one number matters most.
Remember that state officials initially projected New York to reach $500 million in annual tax revenue by fiscal year 2024. A lofty goal, to be sure. Fast-forward to May 2023, when the state boasted 29 markets with legal and regulated betting.
Yet only one has surpassed $1 billion in state tax revenue. In fact, only one has the $500 million mark in the rearview mirror: New York.
With over $1.02 billion, New York has a total 138% larger than second-place Pennsylvania, which has reported $427.6 million through April.
Obviously, New York benefits from a steep 51% tax rate. Still, it takes a powerhouse to reach this milestone. And NY sportsbooks have achieved that and more.
… and even $2 billion dollars in low gaming earnings
The appetite for regulated sports betting in New York has not been lost on anyone since legislation was introduced to legalize the industry. The betting market has continued to prove itself correct.
In just over 15 months, New York sportsbooks saw gross gaming revenue surpass $2 billion. As a result, the Empire State joins New Jersey, which launched sports betting in summer 2018, as the only markets to achieve that milestone.
For perspective, while New Jersey currently ranks first in revenue with just under $2.7 billion, it took the Garden State 51 months – a little over four years – to surpass $2 billion.
Preserve a couch for BIG APPLE in $25 billion take care of club
As summer approaches, New York sports betting has yet another landmark milestone in its sights.
Since the US Supreme Court repealed PASPA in 2018 to clear the way for state-regulated sports betting, only two markets have surpassed $25 billion in handle.
New Jersey achieved this feat 45 months in, while Nevada joined NJ several months later.
Once again, here sits New York, at $23.4 billion, closing in on that elite club. All told, it’s likely that NY sports betting will reach $25 billion by June.
Grant Lucas is the senior managing editor for PlayNY. A longtime, award-winning sports writer, Grant has covered gambling and legal sports betting since 2018, when he began reporting on the New Jersey and Pennsylvania industries. He currently oversees PlayNY as New York expands legalized gambling to include sports betting and casino gaming.
