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п»їGeorgia House panel approves bill allowing sports betting.
ATLANTA (AP) � A bill that would legalize sports betting in Georgia and give tax revenue to the state lottery is in advancing in the state House, despite questions about whether a state constitutional amendment would be required to do so.
The House Economic Development and Tourism Committee voted 20-6 Tuesday to approve House Bill 86, sending it to the full House for more debate.
The measure would mandate that the Georgia Lottery Corp. give at least six licenses to companies that want to offer sports betting in Georgia. After the companies pay out bettors’ winnings, the state would tax the remaining proceeds at a 14% rate. Committee Chair Ron Stephens, a Savannah Republican, estimates that at even a 10% tax rate, that would bring in $42 million to increase funds available for HOPE college scholarships and state subsidies for prekindergarten classes and child care.
In addition, each operator would have to pay a $900,000-a-year license fee.
Atlanta’s four major league professional sports teams are seeking the bill. Stephens cited their “massive economic power,” saying teams that haven’t been able to fill stadiums.
“It’s for fan participation,” Stephens told the committee. “As I said earlier, the stands are empty. . They believe that fan engagement is what sports betting is all about.”
Stephens, citing an American Gaming Association study, said millions of Georgians place billions of dollars of sports bets each year illegally.
“We can legitimize it, if you will, through the lottery,” Stephens said. “If you’re going to do it offshore, why don’t we collect the revenue here in Georgia?”
Stephens expressed confidence that lawmakers could authorize the Georgia Lottery Corporation to offer sports betting. Voters authorized the lottery by state constitutional amendment in 1992. Others, including some state government lawyers, have questioned whether that would be legal, suggesting another constitutional amendment would be needed. Any such measure would require the approval of two thirds of each house of the General Assembly, followed by majority approval of Georgia’s voters.
The bill proposes allowing people 21 and older to bet. It would not allow betting on college or high school sports, and would prohibit betting on certain events such as injuries.
Opponents, though, say state-sponsored gambling encourages addiction and other social harms. They also don’t want to open the door beyond Georgia’s already massive lottery, saying they’re trying to avoid legislative support for a constitutional amendment allowing casinos.
“They should think this is terrible because it’s going to accentuate everything that’s negative about predatory gambling,” said Mike Griffin of the Georgia Baptist Mission Board, which lobbies for the state’s largest Christian denomination.
Griffin said he’s particularly worried about provisions that would allow betting on electronic sports.
“All this is going to do is prime children to get ready to gamble one day,” Griffin said.
People can currently bet on sports in 21 states and the District of Columbia, with five more states having moved to legalize gambling but not yet taking bets. Not all of those states allow online betting, as is envisioned in the Georgia proposal, with some requiring gamblers to physically go to casinos, horse racing tracks or other places. Among Georgia’s neighboring states, Tennessee allows online betting, while North Carolina is moving toward allowing in-person betting at two Cherokee-operated casinos.
The committee voted without allowing testimony from interested parties and without considering amendments, although a number of members expressed interest in amendments. Stephens said he anticipated a House-Senate conference committee if the bill moves forward and would consider possible changes sought by members while negotiating with senators.
Stephens said state Sen. Jeff Mullis, a Chickamauga Republican, is expected to carry a bill in the Senate that would propose a 10% tax rate and could allow wagering on collegiate sports. That legislation has not yet been filed. Stephens had originally proposed a 16% tax rate before lowering his plan to 14%. However, he characterized a 10% tax rate as too low.


Big game, big worries? Gambling addiction grows with Illinois’ booming sports betting industry � ‘It’s in your face all the time’
The number of Illinoisans seeking help for problem gambling has almost doubled since legislators approved a massive gambling expansion in 2019. Experts expect that number to keep growing.
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A man who requested that he only be identified as Anthony stands by a window in a high-rise condo near Soldier Field on Friday. The Tinley Park man is a recovering sports gambling addict. Tyler LaRiviere/Sun-Times.
Thousands of football fans will be placing their first legal Super Bowl bets in Illinois this weekend, and for most, a little action will make the big game just a bit more entertaining.
But, for some, it might open the door to regular betting, adding a quick dopamine hit to the regular season viewing experience. Maybe they’ll have to start budgeting for a new habit. Maybe they’ll have to start borrowing for it.
And, for a select few, it will get worse.
It’s already gotten worse for hundreds of people statewide since Illinois legislators approved a massive gaming expansion a year and a half ago, introducing legal sports wagering to a state that’s already packed with more places to gamble than Las Vegas.
The COVID-19 pandemic has made matters even worse, according to Luke, a Chicago-area problem gambler who was able to get out of the game nine years ago. Economic uncertainty and the general malaise of the quarantine lifestyle make gambling all the more enticing.
“It used to be that there was a stigma, and gambling was taboo. It was seedy,” said Luke, who asked that his full name not be used. “Now, you can do it on your phone. The companies that are doing it are publicly traded Fortune 500 companies.”
A man who asked that he only be identified as Anthony reads news about the Super Bowl on his phone Friday. Tyler LaRiviere/Sun-Times.
Calls to the state’s gambling disorder hotline more than doubled from 2019 to 2020, when 13,258 people reached out either there or online for information on a problem that experts say is out of sight but front of mind for a growing number of bettors and their families. The Illinois Department of Human Services, which aims to connect problem gamblers with counseling resources, calls that a “dramatic increase.”
In 2019, about 580 people received treatment for gambling disorders through state-sponsored programs across Illinois. That figure jumped past 1,000 in 2020, and experts say it doesn’t even cut the deck as only an estimated 3% of problem gamblers acknowledge they have a problem, and even fewer seek treatment.
Counseling gets boost with Illinois gambling expansion � but more addiction is sure to follow.
State’s all-in gambling expansion offers new temptation for those struggling to stay out.
Hundreds more took the more drastic step of banning themselves from casinos and the smartphone betting apps that have them hooked. About 13,500 people were enrolled in the self-exclusion program maintained by regulators at the Illinois Gaming Board in mid-2019, but that number has since shot past 14,000.
Many of those gamblers cite their temptations as coming from the state’s 10 casinos, three horse racing tracks and 7,233 bars, restaurants, gas stations and VFW halls that also house slot machines.
But since mobile sports betting launched last summer, Illinoisans can now gamble 24/7 from the comfort of home � and they’ve already lost more than $101 million doing so, according to Gaming Board revenue figures.
Blackhawks analyst Eddie Olczyk placed Illinois first legal sports bet in March 2019. Gamblers across the state have wagered more than $1.4 billion since then � and lost $101 million. Ashlee Rezin Garcia/Sun-Times.
As the billion-dollar industry keeps growing, addiction counselors say they’re hearing more and more from young people glued to the sports betting apps whose ads saturate Illinois airwaves and billboards.
“It’s in your face all the time,” said Dr. Teresa Garate of the Gateway Foundation, a network of 16 addiction treatment centers statewide. “It’s becoming a part of everyday life. Everyone accepts it, but it’s a serious trigger for some.”
That’s the case for Anthony, a 36-year-old recovering problem gambler from southwest suburban Tinley Park, who said he often finds himself changing the station as sports talk radio hosts dissect the latest betting lines.
“It’ll just be too much, it’s too close,” Anthony said. “Even though I don’t think it’ll lead me down there, I know better than to let my mind start thinking like that.”
Anthony reads his favorite passages from ‘A Day at a Time’ a book by Gamblers Anonymous. Tyler LaRiviere/Sun-Times.
Elizabeth Thielen, a senior director at Nicasa Behavioral Health Services, said she’s seen yearly increases of people seeking help for gambling disorders across Chicago’s north suburbs, but a “real burst” of clients has sought them out in the past nine months.
“The ages we’re seeing are trending younger, and I think that’s directly related to sports betting,” Thielen said. “At the same time, I feel hopeful because you have young people showing a surprising level of insight to find help.”
Way Back Inn executive director Anita Pindiur is pictured outside the Maywood facility in 2019. Sun-Times file.
While there’s been an influx of new problem gamblers, the potential for relapse is an equal concern for Dr. Anita Pindiur, executive director of the Way Back Inn, a Maywood treatment center. About 10 former patients have already returned to the Way Back Inn for counseling this football season alone.
“Sometimes, we forget how quickly it can happen,” Pindiur said. “These things are advertised in a way that they’re fun and entertaining, and they should be. But often there is no set of limits or recognition of the limits until we get our credit-card bill, or somebody points it out.”
Illinois sports betting market could rival Nevada’s, analysts say.
Sports bettors have already wagered $1.4 billion since legal industry launched in Illinois.
COVID-19 puts new Illinois casino licenses on hold.
Besides financial ruin, experts say people who suffer from gambling addiction are more likely to suffer from substance abuse issues, turn to crime or even attempt suicide.
“I was losing everything,” said Patrick, a 35-year-old Niles man who’s 13 months removed from his last bet. “I’d have a paycheck on a Friday afternoon and it would be gone by Friday night. My relationships with my family and whoever I was dating, it just got out of control. I was lying, I was stealing, I was doing all these crazy things.”
As sports betting has been brought out of the shadows into everyday life, counselors say their challenge now is removing the stigma around seeking treatment for addiction � and they say they’re making progress through increased awareness. That’s been boosted with the help of $7 million set aside in the state’s gambling expansion law in grants for treatment centers, which have used a lot of that money to bolster advertising.
The Way Back Inn is one of only a handful of addiction treatment centers in Illinois that provide a gambling-specific program. Sun-Times file.
“One of the biggest barriers to treatment is stigma, especially for gambling,” said Garate, from the Gateway Foundation. “People don’t see it as a real addiction. It is, and help is out there.”
Just how many people need help is unclear. Experts generally estimate that between 2% and 5% of the population deal with gambling disorder, which would project to about 635,000 people across Illinois, including about 136,000 in Chicago.
TO GET HELP.
For more information on problem gambling support, call 1-800-GAMBLER or text “ILGAMB” to 53342.
But there’s been no comprehensive study of the problem in Illinois since 1999, well before video slots dotted the walls at thousands of establishments across the state and sportsbooks were accessible anywhere that had a cellphone signal.
“You have to believe those numbers are different now,” Thielen said.
The state Department of Human Services is out to find out just how much they’ve shifted with the onslaught of gambling options. The agency launched a $500,000 study last fall surveying treatment providers, problem gamblers and others to gauge the prevalence of addiction, especially among populations considered vulnerable or marginalized due to race, culture, economic or social disparity.
“We want to know what’s the challenge, and what should we look for,” said David Jones, who directs the department’s Substance Use Prevention and Recovery Division. “Then, you can start to bring more evidence-based solutions on a size consistent with the scale of the challenge.”


As Sports Gambling Grows, So Do Appetite-Whetting Sure Bets.
Online gambling sites are offering can’t-lose propositions, giving away easy money to attract new customers to a nascent multibillion-dollar industry. These come-ons should reach a peak just ahead of the Super Bowl.
Published Feb. 2, 2021 Updated Feb. 3, 2021.
You’ve heard it all your life: There is no such thing as a sure thing. Well, that was before betting on sports could be legal anywhere in the United States. Now it’s a free-for-all of easy money as sports books in search of new customers hype their services on sports broadcasts, social media and drive-time air waves.
Last week in Michigan, where online betting recently became legal, the gaming company FanDuel was happy to give new customers their beloved Detroit Pistons and an eye-popping plus 159.5 points against the Los Angeles Lakers. Bettors didn’t need the can’t-lose points � Detroit won, 107-92, costing the sports book $2 million in payouts.
For FanDuel, it was money well spent. For about $45 a head, the site signed up nearly 47,000 new Michigan bettors.
In the gambling industry, can’t-miss propositions and cash handouts are time-tested ways to build market share quickly. These come-ons will peak just ahead of this weekend’s Super Bowl, the holiest of occasions in the religion of sports and the most-watched television show in the United States.
With DraftKings’ “Big Game No Brainer,” a new user will be able to turn $50 into $100 if either Tampa Bay or Kansas City scores a single touchdown in Sunday’s game. “Win Terry Bradshaw’s Money,” brought to you by FOX Bet, has already become a staple of N.F.L. programming on the network.
Bookmakers have said the sports betting market is maturing faster than they anticipated, with an unfortunate and unlikely assist from the economic devastation left by the coronavirus pandemic.
“The tipping point is here. What we went through last year is the driver,” said Kip Levin, the chief executive officer of FOX Bet. Even with the disruption in sports, Levin said, 14 betting states collectively took in more than $1 billion in revenue in 2020, demonstrating that sports gambling can bolster economies in new markets.
“State officials recognize this and now they need revenues for their state,” he said.
Less than three years after the Supreme Court struck down a federal law that prohibited sports gambling in most states, betting on games is legal and underway in 20 states and the District of Columbia.
The more than $1 billion in 2020 revenue is projected to grow sixfold by 2023, according to a study by Eilers & Krejcik Gaming, a research and consulting firm. If all 50 states permit sports betting, revenues will surpass $19 billion annually, the study projects.
Multibillion-dollar industries will beget multibillion-dollar marketing as bookmakers, media companies and tech entrepreneurs have rushed in to claim their place in the market.
“Sports betting now is like water and finding its way into everything, especially now when operators are trying to attract new customers,” said Chris Grove, a partner at Eilers & Krejcik. “In a mature market like the United Kingdom, a mid-tier bookmaker will spend about 40 cents of every dollar acquiring and retaining new customers. Here we’re seeing a 100 percent or more spend on each buck.”
Last year, bookmakers spent more than $200 million on television advertising alone, according to the advertising information company MediaRadar, and since mid-June of 2020 they have increased their television spending by 82 percent over the previous year. Sports gaming executives have said they expect to double that amount on advertising and promotions by year’s end, as betting operations move closer to opening in five more states � Washington, North Carolina, Louisiana, Maryland, and South Dakota.
Gov. Andrew M. Cuomo of New York, who is banking on the State Legislature to approve mobile sports betting this spring, has said it could bring hundreds of millions of dollars into state coffers as New York is facing a multi-billion-dollar deficit. Despite his enthusiasm, Cuomo said he wanted the state to have tight control over the betting platforms, likening sports gambling to the state-run lottery.
“This is not a moneymaker for private interests to collect just more tax revenue,” he said. “We want the actual revenue from sports betting.”
No matter what deals are reached in New York, betting on sports has already demonstrated a grip on American culture and a capacity to assault our senses.
Sports gaming executives acknowledge there is a fine line between seducing new customers and exhausting them. Officials at DraftKings and FanDuel said they had learned from mistakes they made trying to bring daily fantasy sports to the market.
In 2015, the two sports books blanketed television with advertising, spending more than $100 million each, consistently ranking among the top companies each week in airtime purchased. During the N.F.L.’s opening weekend alone, DraftKings and FanDuel spent more than $27 million for about 8,000 television spots, according to data from iSpot.tv, which measures national TV advertising.
The aggressive marketing helped lift each company’s valuation to $1 billion, but it also brought scrutiny from state attorneys general who were not convinced the fantasy games were legal. With expensive legal challenges and a backlash among customers, both businesses were badly damaged.
“We spent a lot of money. It was not the wisest thing to do,” said John Avello, the director of the sports book at DraftKings. “It did make us well known. Now we do it smarter.”
Mike Raffensperger, chief marketing officer at FanDuel, said sports books were merely following in the footsteps of Netflix, Uber and other digital companies that pioneered new markets.
This time around, FanDuel wants to become part of the sports media landscape by exploiting social media and making exclusive content partnership deals with networks like TNT and Entercom Radio, one of the country’s largest owners of sports talk radio stations.
With sports betting measures under consideration in heavily populated states such as California, Texas and Florida, sure-thing bets are certain to be dangled before new customers for years to come. Sports betting and its place in American culture are here to stay.
“What the public thinks is going to happen in a game, which team is going to cover the spread, has become part of the larger narrative of sports,” Raffensperger said. “Betting on games has become part of the sports ecosystem.”


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FanDuel CEO says the pandemic could force more states to legalize sports betting.
Weston Blasi.
FanDuel’s CEO Matt King on what betting on sports � and politics � will look like in the future.
Matt King, chief executive officer for FanDuel Group.
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FanDuel CEO Matt King joked with MarketWatch that the Super Bowl should fall into the “essential travel” recommendations from the CDC.
King, the head of the New York-based bookmaker and daily fantasy sports site since 2017, is an annual attendee of the big game, but this year decided it “didn’t make sense” to go. Like millions of other NFL fans, King will be watching the Chiefs take on the Bucs on TV.
In an interview with MarketWatch, King weighed in on how the pandemic is accelerating sports betting, FanDuel’s interest in becoming a public company, and if legal sports betting in New York state is a “game-changer.”
MarketWatch: Is FanDuel doing any physical events for the Super Bowl this year?
King: It’s pretty limited this year. Last year we did a bunch of events with players and some events with a few of our partners that are down there. A series of smaller things.
MarketWatch: Do you anticipate more money being wagered on the Super Bowl this year than in past years?
King: Yeah there’s going to be a lot more. Obviously we are in a lot more states, that’s the tailwind, but even the states that we’ve been operating in the last two years are up significantly this year.
MarketWatch: What are your total bet projections for the game?
King: Our business is up dramatically. I’m not sure we are disclosing our specific projections but it’ll be by far the biggest game on record for us. Many orders of magnitude up year-over-year. The statistic I can give you because it’s on the tip of my tongue is that in the first 28 days of 2021, we’ve done $1 billion in handle on the sportsbook. We didn’t hit $1 billion in handle in 2020 until Q4.
MarketWatch: Any particular growth areas in your business that you’re seeing? Something like live-betting for example?
King: The live-betting has been pretty popular since day one. I would say the big story this year is going to be our same-game parlay product. This is where you can bet on multiple things happening in the same game and we are really the only ones in the market that offers it. The Super Bowl is perfect for same-game parlay betting. It allows people to say “here are the three guys who I think are going to score a touchdown.” The customer acceptance of the product so far this year has been off the charts.
MarketWatch: Florida, the state where the Super Bowl is, was close to legalizing sports betting in 2020, but it never happened. How closely are you watching new states attempting to legalize gambling?
King: Our head lawyer once gave me a good piece of advice which was “the chances of passing any law is 50/50 until it actually passes.” It’s either going to pass or it’s not and I’ve taken that to heart. The way we look at the world is we think about the total number of states that are considering sportsbetting and we assume that some percentage of those are going to pass. It’s just hard to predict which ones are going to get it over the goal line. We are confident that you’re going to see a number of states pass it this year, we just don’t know which ones.
MarketWatch: The four states with the highest populations: California, Texas, New York and Florida have not legalized sports betting yet, do you see those states as game-changers for your business?
King: We certainly see every new state as a market opportunity, and obviously the bigger the state the bigger the market opportunity. But, the real change is what is already happening. Sportsbetting is becoming part of the narrative around sports. It’s embedded in how we talk about sports and even in those big states it’s a bit of a when � not if � question because people are understanding the size of scope of the illegal market and the fact that it’s just common sense legislation to try and put it out of business. I don’t necessarily view them as game-changers because the reality is we are already in the middle of the game. Certainly a big state will accelerate things.
MarketWatch: Do you think the pandemic will force states to legalize sports betting faster?
King: I think it will be the case. I think it will be the case for sports betting and igaming. You have two things going on. One is the fiscal pressures for any individual state are greater than they have ever been. I do think states will look for ways to help them claw out of fiscal holes that were created by the pandemic. But the other thing is more states passed laws around sports betting and igaming and demonstrated that they are win-win common sense legislation. It allows consumers to do what they love, and it generates tax revenue for the state and puts an illegal market out of business. It’s a pretty easy choice to make.
MarketWatch: Are you guys advertising during the Super Bowl this year?
King: We are not going to be during the game. We didn’t think it made sense to do a Super Bowl ad this year.
MarketWatch: Do you think the NFL would like an ad for a sportsbook during the game?
King: The NFL approves all ads for the game, (laughs) so they are not going to let a sportsbook ad go during the game at this point.
King: Our focus is on the fan, and where we focus on winning is in delivering the best product and best fan experience on the market. When we get customer feedback and look at the market share reports, it’s clear we have the number one business out there. And that makes us very proud. Stock prices, as we’ve seen over the last few weeks (laughs) can be somewhat ephemeral.
MarketWatch: What about from a “high tide raises all boats” line of thinking?
King: From a perspective of people understanding more about the industry and how it’s additive to the sports ecosystem, that’s a good thing. So anything that does that is a good thing. It’s also a big market. We don’t look at things as a zero-sum game; we look at it as we are in the early innings of a big business game. That competition breeds innovation.
MarketWatch: In our interview last year, we discussed the idea of FanDuel as a public company. Is going public something that you have discussed with your team?
MarketWatch: Is election betting something you’re interested in?
King: I think clearly people find election betting as an interesting way to engage in politics. There’s a lot of legal restrictions in the U.S. that don’t exist in Europe. Our focus has been offering free to play games on the presidential debates. We can see there’s a lot of interest in it. But I think it will be a long time before we see a big election betting market here.
MarketWatch: So the 2024 and 2028 presidential elections, you don’t anticipate election betting by then?
King: I don’t think it will be a big thing mostly because regulations will continue to restrict the market and I don’t see those regulations changing. The demand is definitely there though.
MarketWatch: Who do the sportsbooks need to win?
King: The Super Bowl is not about making or losing money as we talked about last year. It’s about giving fans a phenomenal experience. More of the bets are on the Chiefs, so if the Chiefs win and cover the spread we are going to lose a few bucks. The same is true if it’s a very high scoring game, which is pretty typical.
MarketWatch: What is sports betting like 10 years from now?
King: I think it’s less about sports betting in isolation and more about the convergence of things like sports betting and gaming in general with sports and sports media. It’s safe to say that all the sports rights owners are trying to find new ways to engage fans. I think you’re going to see some great stuff for the next generation fan experience. You may see new ways to watch sports, a more customized experience.
MarketWatch: A gamification of the actual games?
King: The ability to pop in and out of games more easily based on moments that matter. Reduced latency in the streaming feeds. You’ll see some alternative broadcasters, whether it’s your favorite Twitch personality announcing the game or somebody who may take a more betting oriented look at the game. A more build-your-own experience versus having to consume the same broadcast that 20 million other people are watching.
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California Public Employees Retirement System disclosed the buying in a securities filing. Shares of both the EV maker and the videogame company took off last year.




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