ESPN BET Finally Aproved To Operate In New York

ESPN BET finally received approval to operate in New York. On Monday, the New York State Gaming Commission unanimously approved PENN Entertainment's acquisition of Wynn Interactive which holds one of New York's nine online sports gambling licenses. 

This was a long-awaited regulatory hurdle for PENN to clear. ESPN BET was to go live for the start of the football season, but with the acquisition not yet approved by New York regulators, the launch had to be delayed. 

Previous Attempt Failed

PENN had previously tried to enter the New York market when it launched Barstool Sportsbook but state regulars denied the application.

While no clear reasoning was given, even Barstool owner Dave Portnoy admitted they were denied because of regulators frown on the brand. "We underestimated how tough it was to operate in a regulated world," he said.

After the failure, PENN Entertainment sold Barstool back to Portnoy. It then struck a 10-year deal with ESPN worth $1.5 billion and created ESPN BET.

Why It Took So Long?

In February 2024, PENN Entertainment bought WynnBet's New York online sports gambling license for $25 million. The first and most crucial step in getting ESPN BET into one of the largest markets in the world.

In the week ending Sept 15 FanDuel alone saw a mind-blowing $20 billion in handle in New York.

Also worth noting that @FanDuel surpassed $20 billion in New York online sports betting handle during the week.

It's the only operator to surpass $20 billion in handle in the state. https://t.co/stWk9D1cg9

— RLinnehanXL (@RLinnehanXl) September 20, 2024

ESPN BET had hopped to launch for the start of the college football and NFL season, but the New York Gaming Commission had yet to clear the acquisition and transfer of WynnBet's online sports gambling license. Why such a delay isn't too clear, but delays from the Commisions aren't uncommon. 

When Will ESPN BET Launch In New York?

Remember, PENN was ready to launch a few weeks ago but had to wait for the Commission before they could go live. They've likely been sitting on a finished product for weeks now. 

According to PENN Entertainment's Chris Rogers, ESPN BET could be ready in just a few days. A claim later confirmed by a PENN Entertainment spokesperson. 

A soft launch could occur in mid-week with a full launch set for the weekend. Just ahead of Week 5 of college football and Week 4 of the NFL season.