More than 40 companies have expressed interest in obtaining a sports betting license in the state of Massachusetts. [Image: Shutterstock.com]
a lot of attention
More than 40 companies are seeking sports betting licenses in Massachusetts. The Massachusetts Games Commission (MGC) on Thursday revealed a list of 42 parties looking to get in on the action when sports betting launches in the state.
Wide range of names in the list
Any company with an interest in licensing sports betting was required to submit a Notice of Intent form to the commission by Wednesday. There is a wide range of names on the list, including prominent sportsbook operators such as DraftKings, FanDuel and BetMGM. There are also local groups such as the Massasoit Greyhound Association, owner of Raynham Park.
The MGC wanted to compile a list of interested parties For informational purposes only, as they want to better understand the types of entities that may want to obtain a betting license or participate as a seller. There were only nine questions on the form. Some of these questions relate to the sports betting operations of companies in other states, as well as looking for a brief description of the type of betting business they plan to operate in the Massachusetts market.
Sector rules and regulations still need to be established
Massachusetts Governor Charlie Baker signed the Sports Betting Act into law on August 10. The final rules and regulations for the sector still need to be drafted and the licensing process must be completed. MGC officials will provide an update on progress in drafting the bylaws at its next meeting on September 8. The hope is that sportsbooks may be ready to go in Massachusetts before the end of the year.
Different types of licenses
There are three license classes for sports betting in Massachusetts. A Class 1 license pertains to the state’s three casino and arcade operators. They can offer retail betting, as well as partner with up to two online operators. Class II licenses are for live horse racing tracks and simulcast facilities. They can also offer retail sports betting and partner with a single operator online.
The hope is that annual sports betting tax revenue will be around $60 million, while the licensing fee could initially generate $80 million. The licenses will be good for five years.
Finally, seven, unrestricted Class III licenses will be ready for grabs. They will allow the owner to launch a sports book online. A highly competitive bidding process for Category 3 licenses is expected.