The Arizona Sports Betting Market is Expanding

Ever since launching in September 2021, Arizona sports betting has existed in what you’d call a comfortable status quo. But no more. 

The Arizona sports betting market is officially undergoing expansion.

This is not to say the Grand Canyon State didn’t make any changes for nearly three years. They did. Most prominently, officials spent ample time discussing whether the Arizona sports betting tax needed to be higher. (They ultimately did not, as far as we know now, make any meaningful changes to the tax rate.) Still, changes and tweaks and additions were more minor than material and wholesale. That’s not the case anymore. 

To open up 2024, Arizona sports betting regulators have both expanded the number of odds providers operating in the state. And on top of that, they’ve also proposed legislation that would broaden Arizona sports betting license eligibility moving forward. 

Bet365 Officially Joins Arizona Sports Betting Catalog

In perhaps the most notable of the recent developments, Bet365 is now among the online sports betting sites operating in Arizona. This move was in the works for some time, but Bet365 officially launched in Arizona on February 5, 2024.

For the Grand Canyon State, this represents an addition rather than a substitution. Oftentimes, licenses are awarded to online sportsbooks in the United States, because at least one other operator is leaving the market. That’s not the case here. 

Bet365 joins the Arizona sportsbook catalog as a pure addition. They are now the 17th online sports betting site operating in the Grand Canyon. 

If that number seems higher than normal, well, that’s because it is. With 17 online sportsbooks, Arizona is tied for the fourth-most in the USA. They trail only Iowa (18), New Jersey (19) and Colorado (26), according to Penn Live.

Meanwhile, for Bet365, this deal is further evidence of their attempt to gain a foothold in the legal United States sports betting market. Headquartered in the United Kingdom and founded in 2000, the british online sportsbook is trying to eat into the gargantuan market shares held by powerhouses and mainstays such as DraftKings, FanDuel, BetMGM and Caesars.

Mind you, this is not an easy undertaking. Plenty of companies have tried to establish themselves in the USA sports betting scene only to pull out entirely. But Bet365 has shown a commitment to gradually increasing its presence. After joining the list of Arizona online sportsbooks, Bet365 is now operational in 11 states. On top of the Grand Canyon State, they can also be accessed in Colorado, North Carolina, New Jersey, Iowa, Indiana, Kentucky, Ohio, Virginia, and Louisiana.

Could a Racetrack be Next to Receive an Arizona Sports Gambling License?

It turns out Arizona sports betting expansion could soon include the Turf Paradise race track, which is located in Phoenix. Here’s James Gazzale of Legal Sports Report with the full lowdown:

“An Arizona bill would give Phoenix-based race track Turf Paradise the ability to apply for an online sports betting license once again. Rep. David Cook filed HB 2732, which amends current language to make Turf Paradise explicitly eligible to apply for an online AZ sports betting license should they choose. Turf Paradise was denied an online Arizona sports betting license when it initially applied in 2021. ‘They applied for a permit just like NASCAR, the PGA, the NFL, the NBA, the WNBA,’ Cook said. ‘They were denied a permit because they were not a franchise. I don’t understand that because we have horse tracks across this country. I think it was inappropriate for (the Arizona Department of Gaming) to deny the horse racing industry from having the same opportunity as the NBA or NFL.”

This issue has yet to be fully resolved, but if House bill 2732 passes, it could culminate in a landmark shift for the Arizona sports betting market. 

At present, there are currently three race tracks in the state, per TwinSpires.com. Theoretically, all three could apply for sports betting licenses in Arizona if HB 2732 is signed into law. And that would not only increase access to Arizona sports betting, but it’d create more competition for online sportsbooks as well as on-site sportsbooks at sporting venues such as Chase Field, the home to MLB’s Arizona Diamondbacks.

More Arizona Sports Gambling Expansion Guaranteed

For now, Bet365 is the only guaranteed (and operational) new addition to the Arizona sportsbook scene. But it won’t be the last in 2024.

At the start of January, the state announced it would be reopening the application process for Arizona sports betting licenses. On top of adding the Bet365 online sportsbook in Arizona, the plan is to approve one license for a tribal operator and at least one other for a pro sports franchise.

Presently, two pro sports teams house bookmakers at their primary venues. There is the Caesars sportsbook at Chase Field and then the BetMGM sportsbook at State Farm Stadium, the home to the NFL’s Arizona Cardinals. While it’s not immediately clear what other franchises will seek out an Arizona sports betting license, there’s a handful of options. The Grand Canyon State also has an NBA team (Phoenix Suns), WNBA team (Phoenix Mercury), NHL team (Arizona Coyotes) and MLS team (Phoenix Rising FC).

Regardless of where the available Arizona sports gambling licenses end up, the state’s endgame is clear: They want to keep expanding their sports betting portfolio. This aim, of course, always presents moral dilemmas (i.e. uptick in gambling addiction and sports betting advertisements). Financially speaking, though, this approach is tough to argue against. Arizona is, after all, averaging a monthly sports betting handle north of $700 million. Increasing the number of options at bettors’ disposal will, in all likelihood, drive that number up.

Take a look at this list of the top online sportsbooks so you can find one that works for all of your sports betting needs: