- Corporate bookmaker PointsBet (PBH) has received approval from the Michigan Gaming Control Board (MGCB) to launch its proprietary iGaming platform
- It follows the launch of sport wagering in Michigan in late January after legislation was signed in December 2019
- The company now plans to launch its iGaming platform in New Jersey in June, where iGaming revenues grew 101 per cent in 2020
- According to the Bank of America, the market for iGaming revenue in the United States and Canada could reach US$7.6 billion (roughly A$9.85 billion) by 2025
- PointsBet is up 1.78 per cent to $14.30 per share
Corporate bookmaker PointsBet (PBH) has received approval from the Michigan Gaming Control Board (MGCB) to launch its proprietary iGaming platform.
It follows the launch of sport wagering in Michigan in late January after the state’s governor, Gretchen Whitmer, signed legislation legalising sports betting in December 2019.
According to Rick Kalm, Executive Director of MGCB, the state’s sports betting handle in February — the total amount of money wagered — reached to US$300 million (roughly A$389 million), including US$25 million (roughly A$32.42 million) for the state.
“We knew there was going to be a big appetite for sports betting,” Kalm said in April.
More broadly, iGaming revenues across the United States have grown immensely since the repeal of the Professional and Amateur Sports Protection Act in May 2018.
In New Jersey, Pennsylvania, Michigan and West Virginia — states in which PointsBet already has market access — iGaming revenues exceeded US$770 million (roughly A$998 million) in the March quarter of 2021. On an annualised basis, those revenues would amount to around US$3 billion (roughly A$3.89 billion).
PointsBet now plans to launch its iGaming platform in New Jersey in June, where revenues have grown at a compound annual growth rate (CAGR) of 25 per cent from 2014 to 2018. Since then, revenues grew at a rate of 62 per cent and 101 per cent in 2019 and 2020, respectively.
“The launch of iGaming not only complements our existing sports wagering products, but also removes the disadvantage we have had with customer acquisition, retention and cross sell compared to those operators with iGaming,” said Sam Swanell, Managing Director and CEO of PointsBet.
According to the Bank of America, the market for iGaming revenue in the United States and Canada could reach US$7.6 billion (roughly A$9.85 billion) by 2025.
PointsBet is up 1.78 per cent to $14.30 per share as of 10:31 am AEST.