Nearly two years after getting shut out of obtaining a mobile gaming license in New York, U.S. sports betting’s most frothy market, Fanatics has taken a step closer to getting approval.
The New York State Gaming Commission on Tuesday approved Fanatics as a betting vendor, which got the audience of the gaming commission by buying PointsBet, one of only nine mobile books that were approved by the state in November 2021. New York has a maximum of nine licenses under its current provisions, meaning new entries into the state can only be done through acquisitions.
“We look forward to working with the staff of the New York State Gaming Commission to bring the Fanatics Sportsbook to the largest sports wagering state in the U.S.,” the company said in a statement.
Fanatics personnel did not present a timeline to the gaming commission as to when Fanatics would officially replace PointsBet as a state licensee. The next hurdle to jump over will be Fanatics presenting its tech to the commission.
New York pulled in a record $16 billion in total sports bets last year. Fanatics hopes its name and offers allow it to acquire customers and gain market share.
As it stands, PointsBet is No. 6 in market share in New York, behind FanDuel, DraftKings, Caesars, BetMGM and BetRivers.
Fanatics will eventually fully run sportsbooks in 14 states. As of now, PointsBet and Fanatics are running as their own distinct companies, with PointsBet rebranded as "PointsBet, a Fanatics Experience." It's not yet clear when the brands may merge, if at all.