Penn to Launch ESPN Bet in New York After Acquiring Wynn's Licenses
Date: 2024-02-15 Author: Dima Zakharov Categories: SPORTS BETTING
Penn's Big Move
Penn Entertainment has clinched an agreement to take over Wynn Interactive Holdings' sports betting licenses in New York. This strategic move positions Penn to introduce ESPN Bet to the vibrant sports betting market of New York in 2024.
Clearing the Path
With the acquisition of Wynn Resorts subsidiary Wynn Interactive’s mobile sports wagering licenses entity, WSI US, LLC, for $25 million, Penn secures market access in the state. These licenses were originally issued to Wynn by the New York State Gaming Commission in 2021.
ESPN Bet's Expansion
Pending relevant approvals, ESPN Bet is set to make its debut in New York later this year. Penn Entertainment's partnership with ESPN, established in August last year, laid the groundwork for this expansion. The rebranding of Penn’s Barstool Sportsbook as ESPN Bet paved the way for its launch across 17 US states in November.
Wynn Interactive's Decline
This acquisition marks another setback for Wynn Interactive, which has seen its presence diminish in the US sports betting landscape. Last year, Wynn Resorts withdrew from several states due to underperformance, and the recent move signals a further retreat.
ESPN Bet's Future Prospects
With New York soon to join its roster of states, ESPN Bet's trajectory appears promising. Having already established a significant presence in 17 states, ESPN Bet is positioned as a major player in the competitive US sports betting market.
New York's Booming Market
New York's sports betting market continues to thrive, with record-breaking revenue figures in January 2024. Operators in the state generated $211.5 million in revenue, marking the third consecutive month of record-breaking performance.
Dominant Players
FanDuel remains a dominant force in the New York market, setting its own record with $109.2 million in online betting revenue in January. Meanwhile, Wynn Interactive lags behind in the rankings, highlighting the shifting dynamics of the industry.
Conclusion
The acquisition of Wynn's licenses by Penn Entertainment signals a significant development in the US sports betting landscape, setting the stage for ESPN Bet's entry into the lucrative market of New York. As the industry continues to evolve, key players like ESPN Bet are poised for further growth and expansion.
