Clicky

PointsBet Shys Away from Pa. Sports Betting - PennsylvaniaCasinos.com News : PennsylvaniaCasinos.com News
  • 70 views
  • 3 minutes read
pointsbet
Published on
Update on
Author

Despite the fact that sports betting is only beginning to establish its footing in the United States, one company is already making moves towards completely revolutionizing sports betting in the country. PointsBet, the company in question just recently set up new offices in Jersey City and is currently preparing to launch its operations in New Jersey this November. With its unique “spread betting and “points betting” feature, the Australian company is set to disrupt the country’s sports betting industry since it will be offering a product that none of its competitors can offer at the moment.

PointsBet is so confident in its news offering that even prior to its launch, it is already envisioning expansion plans to extend its presence beyond New Jersey – its officials have maintained open communication lines with representatives from other states as the company prepares to grow further in the nascent legalized sports betting market.

Unfortunately, as much as the operator intends to have a national footprint in the United States, Pennsylvania is not part of those plans and the reason is not surprising at all.

High Pa. Tax Rates Not Favorable

PointsBet’s point betting feature is going to be a key factor in its success in the US – the feature essentially uses traditional formats as the foundation on which its customers have the potential to either win or lose big. For instance, players can place a $10 bet on the over of an NBA game with an over or under point total of 200. For each and every point beyond the total, the payer gets to walk away with $10 and for every point less, the player loses $10.

According to PointsBet, this would best work in a place where the tax rates are not as aggressive as it is in the Commonwealth. Citing, the 36 percent tax rate and the $10 million licensing fee as well as concerns regarding offshore black-market illegal bookmakers, PointsBet chose to hold off on any future plans to venture into the state’s gaming industry.

“The tax there is very onerous. … But to go and bid for a Pennsylvania license, I’m not so much concerned about the $10 million upfront (licensing) fee, but those operating taxes, which when you average it all out tips over 40 percent, it makes it very hard for us to enter, be aggressive on our offers and price, all the things we need to do to try to win money back from the black market,” PointsBet US CEO, Johnny Aitken said.

It is still very difficult to tell how close it is, but the Keystone State has been moving purposefully towards the launch of its highly anticipated legal online and sports betting industry. Till then, there are a number of issues that will hopefully be ironed out to ensure that the industry is sustainable for both the gamblers and the gaming operators.

Latest Headlines

Penn National in Advanced Talks to Acquire Barstool Sports

Over the past year or so, there have been several instances where gambling companies have joined forces with sports media companies. The goal of these partnerships has been to ensure that the stakeholders are able to grow their presence in the country’s sports betting market. These partnerships majorly foster the growth and retention of audiences […]

More Highlights of Pa.’s Gambling Industry

It has just been a little over a fortnight since the new year began and already a lot has happened in the Keystone State’s gambling industry. Needless to say, much of this was expected especially considering the meteoric growth of the sector over the past year and the big promises that gaming operators gave to […]

Evolution’s Live Games Coming to Parx Casino in Pa. and NJ

Greenwood Racing Inc.-owned Parx Casino has been very busy extending its portfolio as it kicks off the new year. Recently, it integrated exclusive gaming content from Everi. As it turns out, that was just the beginning. Last week, the gaming operator announced that it has partnered with Live Casino supplier Evolution Gaming. The two intend […]

Parx Casino Integrates Exclusive Gaming Content from Everi

Parx Online, Parx Casino’s online gambling operation has recently added five stepper titles for real money online gambling to its portfolio. The five titles which are meant to further improve the gaming operator’s standing in the Keystone State are from Everi Holdings. If you are not familiar with Everi Holdings it is one of the […]

FOX Bet Offering Free Bets for the NFL Playoffs

Sports bettors in Pennsylvania and New Jersey are in for a big treat this football season thanks to a new and exciting offering from FOX Bet. The sports betting app just recently went live in Pennsylvania and it has been live in New Jersey for a while. In the period since it launched, it has […]

Similar Stories in Gambling

Penn National in Advanced Talks to Acquire Barstool Sports

Over the past year or so, there have been several instances where gambling companies have joined forces with sports media companies. The goal of these partnerships has been to ensure that the stakeholders are able to grow their presence in the country’s sports betting market. These partnerships majorly foster the growth and retention of audiences […]

More Highlights of Pa.’s Gambling Industry

It has just been a little over a fortnight since the new year began and already a lot has happened in the Keystone State’s gambling industry. Needless to say, much of this was expected especially considering the meteoric growth of the sector over the past year and the big promises that gaming operators gave to […]

Evolution’s Live Games Coming to Parx Casino in Pa. and NJ

Greenwood Racing Inc.-owned Parx Casino has been very busy extending its portfolio as it kicks off the new year. Recently, it integrated exclusive gaming content from Everi. As it turns out, that was just the beginning. Last week, the gaming operator announced that it has partnered with Live Casino supplier Evolution Gaming. The two intend […]

West Virginia Speeds Up Online Gaming Plans After Benchmarking in Pa.

It goes without saying that Pennsylvania is currently one of the most lucrative gambling destinations in the United States. In fact, it has grown so immensely that other states have begun to see it as one of the best benchmarks for their gaming industries. The latest state to consult with the Keystone State is West […]