NYX is a gaming company that provides software for both the land-based and online gambling industries. It already has a substantial footprint in NJ online casinos; that includes the platform for market leader Golden Nugget and the PokerStars casino, among others.
Not shockingly, NYX would like to see an expansion of the US market. It stands to benefit greatly if other states were to introduce and enact online gambling bills.
In its Q2 earnings call, NYX was providing guidance to research analysts about its business and future trends. Obviously, Davey felt strongly enough about the topic to address it.
Here’s what Davey said in his opening remarks:
“In 2017 legislative activity has started to pick up in Illinois and Pennsylvania, and the population of each of these states is approximately 40 percent larger than New Jersey and could more than triple the current US online market.
We see great potential for the US market to accelerate over the next several years, in both gaming and sports betting, and we are well positioned for this opportunity, as it develops.”
Unfortunately, progress has been difficult to come by in both states in recent months.
Pennsylvania remains mired in a stalemate about how to come up with more than $2 billion in new revenue to fund the state budget. When lawmakers return this fall, a massive gambling package is likely to be the subject of debate — online gambling included.
But for now, PA online gambling remains in limbo.
Things are likely to remain quiet in Illinois, as well, until the fall.
In the middle of its own budget mess, the state Senate passed a bill that would have legalized online gambling and daily fantasy sports in the spring. But the House didn’t take the issue up.
However, the battle there for legal iGaming appears to be far from done.
Is NYX’s optimism well-founded for either state? We’ll find out over the coming months.
Davey also mentioned sports betting, but didn’t get into specifics.
Suffice it to say, the NJ sports betting case that will take place in the US Supreme Court is cause for optimism as well for casinos and operators looking to get into the US market.
A victory for the state would allow casinos and racetracks to roll out sports gambling quickly. Other states are also likely to take a closer look at the prospect of legal sports betting in that scenario. However, it’s not clear if online sports betting will proliferate immediately; it’s more likely to be the domain of land-based gaming interests, at the start.