The Tennessee Sports Wagering Advisory Council (SWAC) has approved the renewal of the licenses of the state’s four initial operators. Action 24/7, BetMGM, DraftKings and FanDuel all saw their sports wagering licenses extended at the council’s Monday meeting.
The approvals for another year of sports betting came without questions from the council after Executive Director Mary Beth Thomas introduced the groups. No surprises were expected given the state already works closely with the operators on a regular basis, council members noted, as reported by The Center Square.
In addition to renewing the licenses for these four operators, the council also extended the licenses of nine vendors at Monday’s meeting. These include geolocation company GeoComply, sportsbook platform provider Kambi Group, and data firm Sportradar.
The Volunteer State currently has 11 active sportsbooks, with BallyBet and Fubo Sportsbook approved, but not yet operational – it is worth noting, however, that Fubo has recently shut down. The state’s rules require operators to renew their licenses every year and to pay a $750,000 annual fee.
Tennessee launched online sports gambling in November 2020, with the above-mentioned four initial operators. Since that date, $5.27 billion has been wagered, while Tennessee has collected $78.7 million in taxes from the practice. The $8.7 million collected for September bets marked a new record for the state, surpassing November 2021’s previous high of $5.9 million.
The state collects 20% of the industry’s net operator revenue in taxes. Tennessee saw a hike in sports wagers last September, with $336.9 million in bets paired against $257.3 million in handle during September 2021. September’s wagering also generated about $43.6 million in adjusted revenue, up from $16.6 million the same month last year.
Handle for every month of 2022 has been higher than in 2021, with the return of regular season football games expected to drive improved handle going forward. September’s handle was also up from August’s performance, a month that saw $205.9 million in bets.