..

DraftKings Calls Canada's Gambling Study Flawed

Written by:
Gilbert Horowitz
Published on:
Jan/17/2022

A report prepared for Great Canadian Gaming, the company with the largest share of Ontario's casino market, warned that online gambling will cut into the revenues of established land-based casino operations.

ppp-banner-gn-520x340.gif

Because the tax rate Ontario is expected to impose on online gambling sites is much lower than the percentage the government takes from casino spending, the report concludes that the province stands to lose out on $550 million in annual revenue for a total of $2.8 billion over the next five years, according to information obtained by CBC News.

Online gambling site operators brushed off the idea that existing casino customers will suddenly start spending much less of their money in casinos and more on internet gambling websites that are already available to them.

"When the regulated market opens in Ontario, nothing is going to change in respect to players' entertainment habits," said Jeffrey Haas, senior vice-president of DraftKings Inc., which offers U.S.-based online sports betting and online casino products. 

"People who are playing in online casinos and online sportsbooks and online poker rooms will continue to do so, except they're going to go from playing offshore to onshore," he said in an interview. "And anybody who continues to walk into real casinos in order to play games there will continue to do so."

Officials from Great Canadian Gaming declined CBC's request for an interview about the report's findings, but CEO Tony Rodio provided a statement.

"The report includes critical learnings from other jurisdictions that introduced iGaming and cannibalized land-based operators in the process," he said. "While we support iGaming in principle, the Ontario government needs to take the time to get this right."

But a recent report conducted by Deutsche Bank shows that it is quite possible legalized iGaming in the Keystone state is cannibalizing revenues of the land based casino industry.

The 2021 study showed that brick and mortar casino revenue dropped by 12 percent in March, went up by 1 percent in April and dropped another 3 percent in May.  Covid-19 impacts were taken into account with the study.

- Gilbert Horowitz, Gambling911.com

Gambling News

Warriors-Mavs Game 3 May 22 Betting Preview

Warriors-Mavs Game 3 May 22 Betting Preview

Game 3 of the Warriors-Mavericks game had Dallas as a -3 home favorite after opening at -2.

Cardinals vs. Pirates May 22 Game Another Good Bet for St. Louis?

Cardinals vs. Pirates May 22 Game Another Good Bet for St. Louis?

The Cardinals-Pirates game is an early one, starting at 11:25 am ET.  St. Louis continues its hot streak against Pittsburgh and comes into this one at somewhat of a decent price (as low as -154 at some books).

Sports Betting, Events Odds and Previews: EPL and Serie A Titles to Be Decided Today - Here Are Your Odds

Championship races in the Premier League and Serie A will be decided on Sunday, as soccer's top tier conclude their seasons.

How To Become One of The Best Sports Bookies

How To Become One of The Best Sports Bookies

Want to become a bookie? Here’s everything you need to know to ace your bookmaking game as told by expert bookies.

6 Betting Strategies

Are you planning to become a bookie soon? Then other than acing your bookmaking game, you need to understand the strategies bettors use. Here's a guide for you.

Syndicate