Caesars is the only confirmed online sportsbook operator to secure a sports betting partnership in Kentucky. At least so far.
But the CEO of one of its biggest competitors indicated they’d be joining the Kentucky sports betting market too.
In an interview with iGaming Business, BetMGM CEO Adam Greenblatt explained how the company expects to reach profitability in the year’s second half.
Kentucky should propel BetMGM to profit
Greenblatt said the company’s effort in optimizing its bonus offerings helped pave the road to profitability. It’s a sentiment echoed from BetMGM’s first quarter earnings call.
He didn’t mention a Kentucky launch specifically. However, the author said Greenblatt “expects” a BetMGM Kentucky platform later this year.
“New state launches deliver top-line growth, but also additional startup costs,” wrote Robin Harrison. “And he only expects to add Kentucky to BetMGM’s footprint in 2023.”
Possible Speedway-BetMGM partnership in the works?
For BetMGM to operate in the Bluegrass State, they need to partner with one of the nine horse tracks or the Kentucky Speedway.
Four of those remaining tracks are owned by Churchill Downs Inc., which already has existing partnerships with FanDuel and DraftKings. Thus, it’s unlikely BetMGM partners with any of the CDI-owned tracks.
Of the final three tracks, all are relatively small facilities. Cumberland Run and Kentucky Downs are privately owned. The third, Revolutionary Racing, won’t open until 2024.
Those factors make it an unlikely landing spot for a BetMGM partnership.
That leaves the Kentucky Speedway. Furthermore, it makes a ton of sense for BetMGM to link up with the racetrack in Sparta.
First, the venue is massive. The Kentucky Speedway has a grandstand area that holds 107,000 people. The track stopped hosting NASCAR races in 2021, but that’s irrelevant. From an optics perspective, it makes sense for BetMGM’s retail sportsbook to be at a larger venue.
More importantly, BetMGM and NASCAR already have a relationship. In August 2020, the two announced a multi-year sports betting partnership.
As part of the deal, BetMGM worked with NASCAR to introduce in-race betting options for bettors in eligible markets.