While a lot of focus is being put on what individual states have to gain by legalizing sports betting, it shouldn’t be overlooked that the sports themselves are set to make a fortune as a result. Since the US Supreme Court reversed a nationwide ban on sports betting, allowing states to determine their own markets and industries, the American Gaming Association has started calculations regarding the gambling gains for the four major US leagues.
According to reports commissioned by the AGA, together with Nielsen Sports, the National Football League (NFL) comes out the clear winner in terms of revenue. Combined, the four leagues will see $4.2 billion in extra revenue every year. The NFL, on its own, will make as much as $2.3 billion, according to the report. The additional revenue will arise from increased viewership thanks to real money wagering, as well as higher spending by betting operators on advertising, data rights, media and sponsorship fees.
Together, the National Basketball Association (NBA) and the Major League Baseball (MLB) will make around $1.7 billion, while the National Hockey League will only make $216 million. Most of the money earned by the NBA and MLB will come from increased viewership and fan engagement.
The American Gaming Association’s senior vice president of public affairs, Sara Slane said in a statement: “The four major sports leagues will earn a collective $4.2 billion from widely available legal sports betting, further proving that working together with the gaming industry will pay dividends for all sports stakeholders.”
“Legal, regulated sports betting will create huge new revenue opportunities for sports leagues – and the NFL could be the biggest winner of all,” she added.
The major sports leagues were traditionally opposed to the idea of legal sports betting and for years created obstacles for any advancement of the matter through legal channels. However, they have now changed their tune and are ready to embrace the new federal betting laws, especially as they see the strong numbers coming out of states such as New Jersey and Delaware.
