DraftKings Ramps Up Lobbying Efforts in Long-Shot Texas Sports Betting Push

DraftKings is the latest gaming company to bolster its lobbying power ahead of what will be a difficult campaign to bring legal sports betting and casino gambling to the Lone Star State.

Ryan Butler - Senior News Analyst at Covers.com
Ryan Butler • Senior News Analyst
Nov 15, 2024 • 15:03 ET • 4 min read
Photo By - Imagn Images.

DraftKings is hiring a government affairs specialist as it ramps up a difficult political push to bring legal sports betting to the Lone Star State.

Texas lawmakers will convene for their biennial legislative session in January. Elected officials will consider thousands of pieces of legislation, including bills to support legal sports betting and casino gambling.

DraftKings representatives, as the job listing indicates, are set to arrive in Austin, likely on behalf of or alongside Fanatics, BetMGM, FanDuel, and potentially more major sportsbooks. They will be joined by Las Vegas Sands, which sent a team of advocates to the capitol two years ago and have announced plans to do the same in 2023.

All these stakeholders will find a difficult political climate. Though gaming supporters remain publicly bullish, the current legislature’s positions make Texas’ most significant gaming expansion since the lottery started selling tickets more than 30 years ago a daunting challenge.

Texas gambling legalization difficulties

One of the fastest-growing and diversyifing states in the country over the past few decades, Texas has maintained its conservative political roots. Religious groups maintain considerable political and cultural influence, which they have used, in part, to prevent gambling.

Texas is one of the last states without commercial casino gambling or legal sportsbooks. There are a handful of small tribal casinos and horse tracks along with the lottery, but there are no “Las-Vegas style” destination gambling resorts that have become more common across the country in recent decades.

Republican politicians in Texas are working to keep things that way.

Texas will begin its 2025 legislative session, again, with conservative Republican control in the governor’s mansion. The GOP will have an even tighter grip on the state Senate after this year’s election cycle.

Though Gov. Greg Abbott has warmed to the idea of gambling expansion, Lt. Gov. Dan Patrick has remained opposed. Through his position, Patrick runs the day-to-day dealings of the Senate. He has said he will not take up any gambling bill without majority support from the GOP caucus. 

Though Texas sports betting legislation passed through the House in the 2023 session, there appear to be only a handful of Republican gambling supporters in the upper chamber in 2025. Without Republican senator’s support, sports betting or casino gambling bills likely won’t be brought up for a vote.

High stakes

For Las Vegas Sands, one of the world’s leading gaming companies, Texas represents a multibillion-dollar opportunity.

The company is looking to bring a massive resort casino property to the greater Dallas metroplex, one that could include a home for the NBA’s Dallas Mavericks. Miriam Adelson, widow of Sands founder Sheldon Adelson, purchased the Mavericks in part hoping to see this project come to fruition.

For DraftKings, and the rest of the sports betting industry, Texas means potentially hundreds of thousands of new customers. The second-largest state by population, Texas is also home to many of the nation’s most prominent professional and college sports teams.

It’s unclear if Sands, spearheading the casino charge, and the sportsbook companies will work together. Sands has no online gaming presence and Sheldon Adelson was one of the industry’s most outspoken online gambling adversaries.

Still, they share a common goal. And major backers, including former Gov. Rick Perry. Industry-funded surveys show the majority of Texans support gambling, and casinos in neighboring states see hundreds of millions of dollars cross state lines annually.

Bottom line

Texas will be a focal point for the gambling industry’s expansion efforts in 2025. And potentially 2027. Or 2029. The question is how long the current political climate will continue to stonewall their efforts.

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Ryan Butler - Covers
Senior News Analyst

Ryan is a Senior Editor at Covers reporting on gaming industry legislative, regulatory, corporate, and financial news. He has reported on gaming since the Supreme Court struck down the federal sports wagering ban in 2018. His work has been cited by the New York Daily News, Chicago Tribune, Miami Herald, and dozens of other publications. He is a frequent guest on podcasts, radio programs, and television shows across the US. Based in Tampa, Ryan graduated from the University of Florida with a major in Journalism and a minor in Sport Management. The Associated Press Sports Editors Association recognized him for his coverage of the 2019 Colorado sports betting ballot referendum as well as his contributions to a first-anniversary retrospective on the aftermath of the federal wagering ban repeal. Before reporting on gaming, Ryan was a sports and political journalist in Florida and Virginia. He covered Vice Presidential nominee Tim Kaine and the rest of the Virginia Congressional delegation during the 2016 election cycle. He also worked as Sports Editor of the Chiefland (Fla.) Citizen and Digital Editor for the Sarasota (Fla.) Observer.

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