BetMGM said it will be part of the initial sports wagering apps available in Tennessee Sunday when the state becomes the 19th in the nation with legal sports betting.
One analyst predicted the market could see as much as $6 billion annually in wagers once the activity reaches a mature level.
BetMGM, DraftKings, FanDuel, and local operator 24/7 plan to debut in the online-only sports betting market. BetMGM is operated by Roar Digital, a 50-50 joint venture between MGM Resorts International and European gaming giant GVC Holdings.
BetMGM’s integration with the company’s player loyalty program allows BetMGM users in Tennessee to translate their gameplay into experiences at MGM properties in Las Vegas, Mississippi, and Maryland, among others.
“We’ve been working with regulators in Tennessee to make this launch a possibility,” said BetMGM CEO Adam Greenblatt. “Our relationship with MGM Resorts enables BetMGM users in the Volunteer State to earn rewards, from suites to dinners, while engaging in the sports betting experience.”
BetMGM’s partnership with the NFL’s Tennessee Titans, the first-of-its-kind for the state between a professional sports team and a sports betting platform.
Meanwhile, PlayTenn.com analyst Jessica Welman said the state has “significant potential,” including home teams with “passionate fan bases.” However, the regulatory structure, in which the state’s operators are required to have a 10% hold, could make things tricky. Tennessee is the first state to implement such a requirement, which Welman said could impact odds and payouts.
“Tennessee’s sports betting industry will be purely a product of the modern movement to legalize gaming, with a regulatory framework that is unique and online operators untethered to any conventional retail casino,” Welman said. “The potential for Tennessee is significant, but the state is working with a lot of variables that make it atypical among legal markets.”
Tennessee marks the seventh state where BetMGM’s sports betting app is available, joining Colorado, Indiana, Mississippi, Nevada, New Jersey, and West Virginia.
Three other states – Washington, North Carolina, and Virginia – have legalized sports betting but are expected to launch sometime in 2021. Voters in three states, Maryland, Louisiana, and South Dakota, have sports betting referendums on their ballots next Tuesday.
Washington D.C. also has legal sports betting.
Howard Stutz is the executive editor of CDC Gaming. He can be reached at hstutz@cdcgaming.com. Follow @howardstutz on Twitter.
