Sports wagering is currently legal in six states, but that number could jump to 44 by '23GETTY IMAGES
MGM Resorts Int’l sees sports entertainment as a "key driver of future growth," and their new deals with the NHL and NBA will give them "greater exposure to markets where it does not have a physical presence as wagering is legalized around the U.S.," according to Todd Prince of the LAS VEGAS REVIEW-JOURNAL. Sports wagering is currently legal in six states, but according to research firm Eilers & Krejcik Gaming, that number "could reach 44" by '23. MGM will have a "physical presence in seven states when it completes the purchase of a casino and raceway in New York next year." It will have "mobile access to potentially eight more states through a partnership it signed with Boyd Gaming in July." MGM CEO Jim Murren has "leapfrogged his Las Vegas peers in signing sports betting agreements with leagues." Investment firm Union Gaming analyst John DeCree noted that Murren was "instrumental in bringing the NHL to Las Vegas." Murren also brought the WNBA Aces to the Strip and is "trying to get the NBA to follow suit" (LAS VEGAS REVIEW-JOURNAL, 10/30). MGM Resorts President of Interactive Gaming Scott Butera said that his outfit believes "expanded sports betting will eventually be available in 25 to 30 states." The 24 U.S.-based NHL teams play in 18 different states, with seven more in Canada, which "does not allow single game betting." NHL Commissioner Gary Bettman said the Canadian teams have been "working with the lotteries who control gambling on a provincial basis" (USA TODAY, 10/30).
FROM THE TOP: Bettman and Murren appeared together on CNBC yesterday to discuss their partnership. Bettman said the deal is a "recognition of what the state of the world is, and it's an opportunity for us to engage our fans in new and different ways, and maybe attract some new fans." Bettman: "The Supreme Court ruled, we have to adjust." CNBC's Eric Chemi said to Murren, “You did a deal with NBA, now you've done a deal with the NHL. Neither of them have been exclusive, so it allows competitors to pay money and get involved, too. How does it make you feel that you haven't locked up this category?" Murren replied, "We feel that access is everything, so we never entered into a discussion about exclusivity. This is all about fan engagement." He added, "I like our chances against our competitors." More Murren: "We are in the for-profit business. We expect to make money in this venture, but it is not the end game. The end game is to develop a closer relationship globally with customers, whether they're hockey fans or not, so they visit our resorts and I think the whole direction of merging bricks-and-mortar with the interactive space, whether it's in content of sports or live entertainment, is going to be the future for MGM" ("Squawk Alley," CNBC, 10/29).
WILL FANS BET ON HOCKEY? AD AGE's Anthony Crupi wrote for all the interest in the "untapped revenue that is expected to be unlocked once legalized sports-gambling becomes more of a commonplace, it remains to be seen if there's really much of a market for wagering on hockey." Bettman himself has "wondered aloud about that." Even the most "degenerate gamblers will tell you that betting on hockey is often a last resort." However, data-enabled in-game bets "could change all that" (ADAGE.com, 10/29). ESPN.com's Greg Wyshynski wrote there is "no question that one of the challenges for hockey in the U.S. has been a lack of interest from casual fans." Any avenues the NHL opens that "increase the likelihood of someone wagering on hockey can only increase interest in the league" (ESPN.com, 10/29). TSN.ca's Frank Seravalli wrote MGM is "hoping that access to exactly how fast Connor McDavid is skating on a particular night or how hard Dustin Byfuglien is shooting the puck will be a valuable tool for bettors." Bettman said that he was "not concerned about any potential impact on hockey’s integrity in the wake of this partnership" (TSN.ca, 10/29).
SHARING MEANS CARING: THE HOCKEY NEWS' Ryan Kennedy wrote the MGM-NHL partnership is "truly a big deal for the sport." But as tracking data becomes "more sophisticated, expect more questions to be asked from the players." The idea of biometric tracking was already on the minds of the athletes and the NHLPA this summer and the "idea of game data being shared with a league partner will surely come with questions" (THEHOCKEYNEWS.com, 10/29).
