The NFL has concluded that an ideal sports gambling law would contain meaningful licensing requirements, create a clear betting market, and protect consumers. The ideal law would also prevent insiders from betting and place a heavy onus on operators to ensure that their customers are protected. To achieve these objectives, the NFL required support from the owners of all 32 NFL teams. The owners can be categorized into four groups: sports franchises, professional teams, and small teams.
The NBA and MLB, which are among the biggest sports leagues in the United States, have contacted several sportsbooks to obtain a slice of the off-the-top betting handle. These partners receive official league data, which they can use to promote their relationship with the league and tie their brands to the league’s statistics. The league estimates that the deal could be worth more than $1 billion over the five-year term. In the meantime, the NFL may opt out of the deal at any time.
The NFL is actively pursuing partnerships with betting operators. They are incorporating gambling content into their broadcasts, while letting it seep into the stadium experience. The NFL has recently announced the signing of official betting deals with FanDuel, DraftKings, and Caesars. These deals are expected to generate $270 million in revenue for the league this year. Clearly, this is a delicate balance. However, the NFL is pursuing this approach with a great deal of caution.