Betsson Group has become the latest firm to enter Colorado, which debuted regulated sports betting earlier this year, following an agreement with Dostal Alley Casino.
The online betting and gaming firm, which has inked a B2C market access agreement regarding online sports betting for the region alongside the property, plans to launch a sportsbook in early 2021 following the receipt of regulatory approval.
Lauded as a strategic move in the group’s ambition to grow its regulated market presence, Betsson’s “first and cautious step into the US market” is for an initial ten year term. The deal is designed to benefit Betsson with key learnings, brand presence and initial customers.
CinDee Spellman, CFO of Dostal Alley Casino, commented: “As a company with over 28 years in the gaming business, we are thrilled to welcome Betsson to the US as we partner with them for online sports betting in Colorado. With their decades of experience in online gaming we are confident that they will bring the very best experience to players in the Centennial State!”
Betsson plans to grow its US presence from its initial office that is also located within Colorado, and is planning to utilise the opportunity to showcase “the strength of its sportsbook in the US market” to support an ambition to sell its proprietary sportsbook to B2B customers in the future.
Pontus Lindwall, CEO and President of Betsson, explained: “I am very excited to reach this milestone, further expanding Betsson’s global reach by entering a new continent through the fast-growing online market in the US. Dostal Alley Casino has more than 60 years of experience of doing business in Colorado and will play an important role in our journey to build US presence.
“The whole country has a strong culture of gambling and is now experiencing online penetration at accelerated pace, where consumers are transitioning from traditional retail outlets to also now bet on their mobile devices. We have followed the development in the US closely since the possibility of a repeal of the PASPA and have carefully considered ways to enter the market. We are now looking forward to exploring the potential with our proprietary sportsbook.”
Colorado was the eighteenth state in the US to legalise online sports betting effective from May 1 this year, allowing 33 licences, each to include one skin. Gambling duty is ten per cent on gross gaming revenue, with the online sports betting market estimated to reach approximately $200m at saturation.