After widespread failure to capitalize on the District of Columbia sports betting market, the GambetDC app may be out the door in 2024.
Councilmember Elissa Silverman introduced legislation yesterday to open up D.C.’s online sports betting market to allow for other major operators to have a piece of the mobile wagering pie — and end GambetDC's current monopoly as the sole city-wide mobile betting provider.
. @tweetelissa introduced legislation that would reboot the District’s troubled online sports wagering program by creating a competitive market for mobile apps, eliminate the controversial sole-source deal that resulted in dismal GambetDC app.https://t.co/e2JlOevcBt
— CM Silverman Office (@CM_Silverman) October 24, 2022
The Sports Wagering and Fair Competition Amendment Act of 2022, in addition to allowing brands such as FanDuel and DraftKings to be used anywhere within the city, would also prevent D.C. from renewing Intralot's (the parent company of GambetDC) contract when it expires in 2024.
The bill would also set the tax rate on revenue would be at 15% (similar to Virginia and Maryland) and a competitive bidding system for contracts would be established.
"If we’re going to have a lottery and a sports betting program, let’s at least make it a revenue generator for the city so it can fund important efforts in public safety, public education and housing," Silverman in a press release. "And let’s stop the bad practice of awarding lucrative contracts without competition."
Now, while GambetDC is the only avenue to place a mobile bet from your home, you can still use the BetMGM and Caesars apps as long as you are in (or within a couple of blocks) one of retail sportsbooks — BetMGM has a location adjacent to Nationals Park and Caesars has a sportsbook in Capital One Arena.
GambetDC’s disappointing history
In 2019, Intralot was paid $215 million (in a no-bid five-year contract) to implement legal sports betting in D.C. In the summer of 2020, the GambetDC app went live.
D.C. expected to receive over $20 million annually... but instead, Intralot reported $1.5 million — and with their marketing budget actually ran a deficit of $4 million in 2021, their first full year of operation.
This year also started off poorly:
The GambetDC app went offline for iPhone users on the day of the Super Bowl, with Intralot paying D.C. $500,000 to compensate the city for lost revenue.
Afterward, D.C. Lottery Director Suarez noted that GambetDC estimated a handle of $6.2 million in March 2022 (the highest so far)... That same month Virginia had $470 million in bets and Maryland’s retail-only market had $31 million.
Currently, reviews for the app are incredibly poor with users complaining about the customer service, poor odds, and other technical issues you don’t see in other states.
