Multiple Ohio Online Sportsbooks Close Down

Multiple Ohio online sportsbooks have officially closed their doors.

During the month of July, Betway Sportsbook, Betfred Sportsbook and Superbook all announced that they would no longer offer sports betting in Ohio. The news has come as fairly surprising. Operators throughout the United States have started closing up shop over the past year. But this development is akin to a semi-mass exodus of Ohio online sportsbooks.

Granted, sports fans in The Buckeye State are not without alternative options. On the contrary, the rise of online sports betting in the United States ensures that residents of big markets such as Ohio will always have a handful of contingencies at their disposal.

Still, we can’t help but wonder what this means for the future of other Ohio online sportsbooks. Remember, Tipico Sportsbook already shut down their operations earlier in July. And this says nothing about what it means for sports betting in the United States at large.

Betway is Among Biggest Ohio Online Sportsbooks to Close Down

The most recent Ohio online sportsbook closure just so happens to be the most notable. Betway was founded in 2006, operates out of Malta and is a name synonymous with global sports betting. However, upon entering the legal USA sports betting market, Betway struggled to compete for viable market shares. As such, the company has joined the list of shuddering Ohio online sportsbooks. But they’re not just leaving The Buckeye State. They will be shutting down across eight other states. Most notably, sports betting in Arizona will no longer feature Betway. The same goes for sports betting in Colorado, Illinois, Indiana, Louisiana, New Jersey, Ohio, Pennsylvania and Virginia.

Betway customers in the United States should still be able to withdraw funds. And they will retain access to the Betway online casino. But the company’s sports betting services across the entire country are already dormant.

“As a global business, we constantly evaluate the optimal use of our resources across all markets in which we operate,” the CEO of Betway’s parent company (Super Group), Neal Menashe, explained in a statement. “We have recently concluded an extensive review of our U.S. operations and, at present, we do not see a long-term path to profitability for the sportsbook product.”

Menashe’s comments come on the heels of Betway reporting a $19.3 million loss over the final financial quarter for 2023. That brought the company’s net loss for the year up to $62.1 million.

Betfred and Superbook are Also Scaling Down Operations in the United States

Two more Ohio online sportsbooks are joining Betway in shuddering operations. Betfred and Superbook will be fully closed to The Buckeye State by the end of August.

Like Betway, they aren’t just shutting their doors in Ohio. Both Betfred and Superbook are discontinuing operations across multiple states. And similar to Betway once again, they have cited profitability concerns as the impetus for the decision.

Betfred’s closure, in particular, is noteworthy. They partnered with the NFL’s Cincinnati Bengals in hopes of increasing their exposure above other Ohio online sportsbooks. However, it has become clear they are unable to rival some of the state’s heaviest hitters. In the most recent Ohio sports betting handle reports, Betfred accounted for just 0.08 percent of the monthly market share. Their profitability was even worse. Just 0.003% (or $2,284) of their intake amounted to taxable revenue.

Superbook experienced similar struggles as they tried expanding into other markets. Their decision to shudder operations, though, appears more sudden. They posted on X (formerly Twitter) a list of markets in which they will be closing. It looks like Superbook plans to only offer sports betting in Las Vegas and nowhere else.

The outlook for Betfred isn’t as bleak. At least not yet. According to Legal Sports Report, they will continue to offer sports betting in Arizona, Colorado, Iowa, Louisiana, Nevada (no mobile), Pennsylvania, Virginia and Washington (no mobile).

Should the Industry be Concerned About the Recent Uptick in Online Sportsbooks Closures?

Four Ohio online sportsbooks have now shut down in this calendar year alone. While The Buckeye State still has 16 licensed online sportsbooks, we can’t just ignore the trend. Especially when it’s happening all over the United States.

Consider this list of online sportsbooks in the USA that have launched only to close down (via The Lines):

Barstool Sportsbook
FoxBet
Fubo Sportsbook
MaximBet
PlayUp Sportsbook
PointsBet
TwinSpires
William Hill
Tipico Sportsbook
Betway Sportsbook
Betfred Sportsbook
Superbook

It should be noted that Betfred and Superbook (Vegas only) are still operational in certain markets. Parent company Penn Entertainment also rebranded Barstool Sportsbook into ESPN Bet, which launched across the country to close out 2023.

Even so, general concern remains. Newer and smaller online sportsbooks are not consistently securing market shares in line with their competition. On the contrary, in many markets, it feels like DraftKings, FanDuel and BetMGM have a monopoly over online sports betting.

Whether this can change is debatable. The “Big Three” of Ohio online sportsbooks all have the resources to remain ubiquitous. And that’s before factoring in their brand recognition. Many are looking to the long-term trajectory of ESPN Bet as a barometer for the future of the industry. If a trusted brand name can crack an otherwise exclusive market share clique, it could spur a trend in which other companies launching (or that have already launched) do the same.

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: