In an interview with CNBC’s Last Call, Hard Rock CEO Jim Allen spoke about Hard Rock’s recent relaunch of online sports betting in Florida, the company’s land-based casinos introducing live dealer roulette and craps tables, and future opportunities it will be pursuing in gambling.
Online sports betting was first legalized in Florida through gaming compacts exclusively signed with the Seminole Tribe (which operates Hard Rock) in 2021. Hard Rock online sportsbook initially launched in November 2021 but had to shut down in December 2021 following a series of lawsuits, with Allen commenting, “The mobile sports conversation is the one that creates the most legal challenge”.
However, thanks to recent decisions from the Florida Supreme Court, Hard Rock is free to operate in the state again, and the sportsbook has begun rolling out to customers. Asked about the potential of the Florida sports betting market, Allen said, “It is certainly possible” that Florida’s sports betting handle passes market leader states like New York.
Allen further detailed the differences between the New York and Florida markets, citing how Florida’s lower sports betting tax makes it a more feasible market for Hard Rock. Expanding on why Hard Rock is looking to launch a land-based casino in NY but not an online sportsbook, he said, “Frankly, the mobile sports betting tax is 50%”.
Commenting on estimates that the gambling industry in Florida is worth between $1.3 billion and $3 billion, Allen confirmed, “Those numbers we have seen”. However, he didn’t commit to those numbers, as the Florida market currently only includes mobile sports betting. If online casino gambling is legalized, Allen said, “certainly that number gets significantly higher if iGaming is eventually approved”.
