With the addition of DC, DraftKings will have launched in 29 North American jurisdictions.
“We would like to thank the DC Council for creating a path to bring DraftKings’ top-rated sportsbook to the nation’s capital,” DraftKings’ North American President Matt Kalish said in a statement.
“Together with DC United, we look forward to delivering fans a best-in-class experience through our customer-friendly product.”
DraftKings will join FanDuel, BetMGM and Caesars Sportsbook in offering mobile sports betting throughout the District. The latter two operators went live in the nation’s capital 17 July.
They had expected to launch two days earlier. But there was a short delay related to the city’s FY2025 budget, which included the provisions needed to open the marketplace from a monopoly to a competitive landscape.
Mayor Muriel Bowser did not sign or veto the budget, but instead sent it back to the DC Council. This was essentially a demonstration of her objections to certain parts, but the expansion was permitted nevertheless.
In a release Tuesday, DraftKings said it had gained market access through a partnership with DC United. The Major League Soccer franchise is also partnered with FanDuel.
BetMGM is partnered with the Washington Nationals (MLB) and Caesars is teamed up with the Capitals (NHL), Wizards (NBA) and Mystics (WNBA).
End of GamBet monopoly opens competitive DC market
Prior to last week, the DC market was a monopoly through Intralot, the DC Lottery’s provider. In May 2020 it launched GamBet DC, which was heavily critcised for poor usability and financial performance.
In March, Intralot announced it would scrap GamBet and make FanDuel the new subcontractor. The change was felt immediately. In its first month after going live in DC, handle was up 450% against GamBet year over year. FanDuel made $4.9m in revenue compared to $711,282 by GambetDC in May 2023.
As the sole operator, FanDuel paid a 40% tax rate. But once the Council opened the marketplace, the company decided to end its contract 15 July and join the other platforms with a tax rate of 20%. DraftKings previously indicated it had interest in joining the DC market should it open up.
Looking ahead, the new framework does not cap the number of operators. Other than DraftKings, ESPN Bet and Fanatics Sportsbook are the other two big players yet to launch in DC.
Original article: https://igamingbusiness.com/sports-betting/draftkings-to-launch-in-washington-dc/
