HOW TO THINK ABOUT IT

They’re betting on it. As far as gambling goes, Major League Baseball and the NBA made clear they’re not on board — unless they get a cut of the profits. Calling for so-called “integrity fees” of around 0.25 to 1 percent, aimed at funding efforts to make sure their sports remain untainted, experts say it’s actually “a cash grab” to ensure they don’t “leave the sports betting discussion empty-handed.” In New Jersey alone, sportsbooks have taken $1.95 billion in bets from June 2018 to April 2019; just 0.25 percent would add up to nearly $5 million in that span — from a single state.

Spectator sports. Pro teams are also seeking to harness the powers of legalized gambling to boost their fan base. Squads from the NBA and NHL are already developing in-stadium lounges, interactive television channels and apps designed to keep fans engaged by letting them place wagers during games. These betting platforms offer teams a fresh route to building a lasting connection with fans, who’d otherwise look to external sportsbooks instead — in addition to helping the teams’ bottom line. It’s working too: Some 90 percent of Sacramento Kings fans who placed predictive bets in the team’s Skyloft Lounge came back for more.

Up-and-coming. Gambling is also boosting a sport that has yet to make the leap into a big spectator draw: lacrosse. The fastest-growing high school sport, its collegiate presence — up from 30 NCAA men’s programs in 2001 to 72 now — is key for expansion into middle America, while its demographics (primarily well-off White people) align well with active gamblers. The high-scoring game is also a handicapper’s paradise, and given its under-the-radar status, bettors with in-depth knowledge of the sport could easily gain a solid edge.

Inside track. But with serious cash comes serious problems — and just like with the stock market, insider betting remains a threat in sports gambling. Think about what the inside dish on Kevin Durant’s calf would have been worth in the early games of the NBA Finals. That’s why states are currently mulling legislation either prohibiting operators from allowing people with exclusive information to place bets, or punishing bettors who use such information. Meanwhile, a federal bill is in the works with language nearly identical to rules that govern insider trading as it applies to securities. While these moves might appear preemptive, experts say solid legislation is crucial to prevent big-money betting from marring sports.

WHAT TO READ

A Former ESPN Editor’s Big Bet on Sports Gambling by Tony Rehagen in Columbia Journalism Review
“Millman knew the money and audience was there. At ESPN he created the gambling beat, devoted an entire issue of the magazine to the subject, and set up ‘Chalk,’ a vertical dedicated to odds, trends, and gambling culture. Readers responded.”

Media’s Big Bet: Sports Wagers Will (Hopefully) Keep Viewers Watching TV by Brian Steinberg in Variety
“What better way to get people to watch live TV than to give them the chance to figure out how to make money off it?”

WHAT TO WATCH