How does the app license work in NY?

0
73
app license work

New York To Allow Mobile Sports Betting Apps.

As many of you will have heard, New York is going to be allowing some companies to set up legal online sports betting sites. Finally, after all these years, you will be able to sit at home and bet on your favorite teams right from your phone! While this is absolutely amazing, it also means that as it will be easier than ever, you will need to show a bit more self-restraint when it comes to your betting habits. These new mobile betting apps will likely be able to be installed directly to your phone, so you can place bets at any time and any place. While the Licenses are already in place, the apps won’t be available until early 2022. At the moment, there are currently 9 companies with app license work but you can expect many more to come after a successful launch. 

Alongside the Gaming Commission signing off on the license for the 9 different companies, some of these companies are also penning other deals. For instance, mobile betting licenses like the one BetMGM in NY have has also seen them sign a deal with the Rangers and the Knicks. Yes, MGM’s Sports betting brand has signed a MASSIVE deal with MSG Sports and Entertainment. This deal sees BetMGM becoming the official sports betting partner for the Nicks, Rangers, and Madison Square Garden (MSG)! This also means that those attending games will start to see more BetMGM branding on everything from courtside LEDs lights all the way to the Zambonis that clean the ice during Rangers games. Even those walking by will start to see sports betting ads in the very near future. 

The Companies Involved.

Alongside BetMGM, as mentioned, there are 8 other companies that have been granted licenses to start mobile betting apps in New York. The full list of companies that are officially approved at this point in time for the Gaming Commission is:

  1. BetMGM
  2. Caesars Sportsbook
  3. DraftKings Sportsbook
  4. WynnBet
  5. Bally Bet
  6. FanDuel Sportsbook
  7. PointsBet
  8. BetRivers
  9. Resorts World

 While BetMGM seems to be on top of the pile, at the moment thanks to their deal with MSG, expect the others to shine in different ways. When it comes to sports betting, there are quite a few things one should consider. A sign-on bonus is going to be one of the biggest things that help to draw people in. There are a number of ways this can be done, matching deposits, giving an extra bonus percentage based on the deposit amount, or giving a set amount of free bets. While all of these can be equally as beneficial as the others, some apps offer better bonuses to help draw more new users in. As New York is just allowing these apps for the first time, expect there to be some pretty hefty pre-registration benefits being added from all the approved companies. 

How Technology Plays A Role In It All

Getting started in mobile sports betting is as easy as downloading an app. However, with technology advancing at a rapid pace, things could change over time. As of now, Sports Betting companies will make an app that they store on a server and allow users to download it and use it. While that all seems well and good, there is a lot of work that goes into it. 

Companies not only need to pay someone to create the app, they need people to code it and even test it for them. Then, they also need people to manage their servers to make sure there are no breaches and that everyone has access to the files and such that they need. Before any of this can happen, they also need the ideas of what they want the app to offer. Once all of this is done, companies will likely pay a 3rd party source to check over their app and test it for them. 

While that is all fairly basic tech behind an app, what can we expect from the future? Well, with Virtual Reality and the Blockchain becoming ever more popular, the possibilities are endless. Imagine putting your VR headset on and entering a virtual casino where all contracts are handled on the blockchain! This could be absolutely groundbreaking. You could customize how it all looks and even watch the games you are betting on live. You could have multiple games showing at the same time while also being able to view your current bets. 

The benefits of combining sports betting with virtual reality and blockchain backed services could be game changing. This could pave the way for a fully immersive virtual world. You could put on your VR headset and be in a Vegas like virtual world with multiple casinos, sports betting bookmakers and so much more. The best part, it could all be done from the comfort of your own home! 

How Does It All Work?

All of the aforementioned companies bid on licenses to be granted the right to open sports betting apps in New York State. At this time, other companies were also big on getting a license but were unsuccessful. Those that are successful will need to wait until the legislation is properly passed which even includes it being officially printed. As soon as this is all done, companies can go ahead and launch their apps, considering all of their licensing fees are paid and all other requirements can be met. 

It’s likely more complicated than it sounds but it is no different than any other license. You pay your fee and prove you can meet the requirements as needed. The Government then gives you your license and you are permitted to do what the license states which, in this case, is to operate a sports betting app. 

One of the interesting things that we’ve found out is that the launch could take a bit longer than some want, due to new servers being installed across New York’s Casinos. Basically, while all these companies have licenses, all bets need to be routed through casino-based servers to help comply with the technicality of being on-site for gambling purposes. Servers can be set up rather quickly but with what is at stake, these servers will need to be tested many times to make sure that they are secure and comply with government standards. 

Companies who are lucky enough to obtain this new license will also be more than likely to make deals with other non-gambling/betting-related companies. This new license really opens the door for many more business ventures, not just mobile betting apps. Sponsorships and marketing deals are what immediately spring to mind but only time will tell what other opportunities this new license will create. 

Mobile Sports Betting Across America.- app license work

How does app license work-

Mobile Sports Betting is currently legal in more than 25 states! As time goes by and certainly once the NY Sports Betting scene opens up, expect sports betting apps to try and break into other states across the country. While sports betting isn’t new, the legal side of the online aspect is still relatively in its infancy. As time progresses, expect more state-wide governments to see the impact and success and want to jump on board. 

Source: https://pixabay.com/photos/buildings-city-illuminated-2699520/

Will This Really Help New York? How does app license work-

One thing is for sure, New York will never be the same and there will be no turning back once everyone sees the amount of money to be made from sports betting apps. New York has one of the highest tax rates and is putting a 51% tax on all sports betting revenue! This almost seems like it shouldn’t be real, but it most certainly is and New York as a state is set to see a serious tax revenue upgrade in early 2022 once these apps go live. Alongside their ridiculously high taxes, New York is also very heavily populated, something I am sure of which the Gaming Commission considered being one of those Win/Win situations. I am sure they looked over all the data and saw just how much potential profits they could make, on top of charging for licenses that are. I mean, when was the last time you got a license for anything for free and as these are based on betting, expect them to be quite expensive and probably on a yearly basis. 

LEAVE A REPLY

Please enter your comment!
Please enter your name here