The D.C. Council is considering legislation that would open the sports betting market to multiple mobile sports betting operators bringing an end to the effective monopoly currently held by D.C. Lottery’s much maligned GambetDC app.
Bill would end GambetDC monopoly
The measure, authored by Council member Elissa Silverman, also seeks to terminate the contract of Intralot, the company that developed and runs the city’s GambetDC app. The contract is up for renewal in 2024, but the legislation requires that any future sports betting contracts be made available to competing bidders.
When Intralot won the contract to develop and operate the GambetDC app back in 2019, the city’s former chief financial officer maintained that awarding the contract immediately was the quickest way for the city to earn tax revenues. However, since its launch the app has been plagued by technical issues. In one instance, it failed to accept wagers over the Super Bowl weekend. Its poor performance actually saw the app lose money in 2021.
Silverman’s bill hopes to bring D.C. in line with other states with legal sports betting such as Maryland and Virginia. Maryland accepted 10 applications for mobile sports betting operators in the last week while Virginia now has 13 sports betting apps making for a hugely competitive market. As it stands now, privately-owned sports betting apps in D.C. can only operate within a two-block radius of a retails sportsbook.
Speaking of the legislation, Silverman said:
“We need to turn the page on this embarrassing episode. Residents deserve an online app that works, taxpayers deserve a program that brings in money for the District, and we all deserve a system where we don’t hand huge contracts to a preferred company and its subcontractors without even looking at the competition.”
Silverman’s bill was co-introduced by Council members Brooke Pinto (D-Ward 2), Mary Cheh (D-Ward 3), and Charles Allen (D-Ward 6). There are no indications that the bill will move forward before the end of the council’s two-year legislative session. The session ends this year. If it fails to move, it would then have to be reintroduced in 2023.
An experienced iGaming commentator and analyst based in New York City - Jenny reports on regulation and gambling industry news and events.