Lawmaker Says Online Casino Gaming in New York Is an Eventuality

New York State Senator Joseph Addabbo Jr. has been the driving force behind mobile sports betting in the Empire State and believes iGaming will happen sooner or later.

iGaming Gets Cold Shoulder

Sports betting’s popularity has become a cultural phenomenon in the United States, with 38 states plus Washington, D.C., and Puerto Rico offering mobile, retail, or both. Missouri will be the 39th state after recently approving mobile and retail sports betting, with an expected launch date of September or October of this year.

Despite the booming popularity and mainstream acceptance of sports betting, online casino gambling, commonly known as iGaming, is far more lucrative but has only been launched in seven states, including Connecticut, Delaware, Michigan, New Jersey, Pennsylvania, Rhode Island, and West Virginia.

The Resistance to iGaming Expansion

Although state and local governments would welcome the substantial revenue it would bring, legislators are wary of losing support from iGaming’s vocal opponents, like many land-based casino operators and the unions that are employed at those properties.

The trepidation is that people will become so accustomed to the convenience of having a 24-hour casino in the palm of their hands or on their PCs that foot traffic will decrease at retail casinos, which will ultimately affect the bottom line and promulgate job loss.

It should be noted that virtually every casino that wants to partner with a third-party iGaming platform (FanDuel, DraftKings, Caesars) will be allowed to do it and share in some of those digital profits. However, the conventional wisdom is that whatever the retail casino makes online, after splitting the profits with the platform provider, will not compensate for the loss of in-person gambling where they make 100% of the profits.

Addressing Gambling Addiction Concerns

The other issue that politicians must contend with is the deluge of anti-gambling forces that have spoken out against iGaming. Although only 2%-3% of the population are considered problem gamblers, many opponents believe online casino gambling will only exacerbate that figure and cause financial ruin to those who are susceptible.

The counterargument is that approximately 97% will enjoy gambling responsibly, and the states will see not only job creation from the iGaming platforms that operate within their boundaries but also be the beneficiaries of significant tax revenue derived from those profits.

Gov Key to iGaming

New York has been the most successful mobile sports betting market in the nation, and it is not even close. In the last 49 weeks, New York’s tax coffers have been filled to the tune of over $1 billion thanks to sports betting, and that number will likely be tripled if iGaming were legalized.

Addabbo’s Push for iGaming

New York State Sen. Joseph Addabbo Jr., the chairman of the New York Senate’s Racing, Gaming and Wagering Committee, has been at the vanguard of bringing sports betting and casino operators to the Empire State, and he believes iGaming is the next frontier.

However, he is under no illusions that without the governor’s support, it cannot happen this year or perhaps even next. But Addabbo fully believes iGaming will ultimately come to the Empire State.

“It has to be the governor who drives the bus,” Addabbo said. “I’m not very hopeful this session because it can’t just be me. I need the governor to engage, and she doesn’t want to engage.”

“It’s a question of not if but when. Eventually, iGaming will happen in New York, and we can’t cry over the billions that we lost by not doing it in years past, but it’s a question of when. When will we realize that, hey, we need to do this?”

Governor Kathy Hochul has been an insouciant observer to Addabbo’s efforts to bring online casino gambling to his constituents. However, a yawning budget deficit and the possibility of diminishing federal dollars in aid could change her mind. Or, should she be defeated in November 2026, a new regime may be more amenable to Addabbo’s iGaming vision.