Gambet DC Officially Replaced in Washington Market By FanDuel

The spat over the state of the Washington, D.C., legal sports betting industry finally came to a head on Monday with news of Gambet DC's ouster and the arrival of one of our best sports betting sites, FanDuel.

The Office of Lottery and Gaming (OLG) announced Monday that it has terminated its relationship with the perennially underachieving Gambet DC app as Intralot's sports betting subcontractor in favor of one of the most reliable and successful names in the U.S. legal sports betting industry.

The announcement culminates months and even years of concern about Gambet DC's effectiveness in the DC sports betting market. At a recent D.C. Council Committee on Business and Economic Development, Kenyan McDuffie, Chair of the committee, voiced his and others' concerns about the company's underwhelming performance. 

He commented, “I’ve heard from many residents about their unease with the district’s woeful performance on sports betting. And I absolutely share those same sentiments, from issues around usability, customer service, and seriously declining revenue. We know the current model simply is not working.”

It means that DC residents will soon be able to bet on FanDuel's top-tier mobile app and at a FanDuel retail outlet while taking advantage of DC sportsbook promos. Those same customers can ditch the Gambet DC platform, which has been consistently panned since it went live in the Nation's capital.

The new arrangement

Intralot will still be in charge of the sports betting apps market but will have FanDuel as its main subcontractor. Access to FanDuel over the troublesome Gambet DC app is a major coup not only for sports bettors in the jurisdiction but also for lawmakers and tax programs that benefit from sports betting tax revenue in the District.

Frank Suarez, executive director of OLG, said, “FanDuel’s industry-leading offering will ensure that the District maximizes tax revenue under its existing contracts this year while delivering a best-in-class experience for 18+ residents."

Under the new arrangement, Intralot will also be responsible for operating costs associated with the DC legal sports betting platform. Intralot will also have to pay the Office of Lottery and Gaming a $5 million fee.

That fee alone will provide a necessary revenue boost for the District's legal sports betting platform. The presence of FanDuel's trusted and all-encompassing platform will also help with the District's sports betting industry bottom line.

What's next?

The switch from Gambet DC to FanDuel DC will take some time, as Gambet DC kiosks will need to be replaced throughout the District. This spring is about as close a timeframe as was associated with the switchover from Gambet DC to FanDuel.

Customers in the DC market will be free of uncompetitive betting lines frequently associated with Gambet while getting FanDuel's full suite of legal sports betting markets, bonuses, and credibility that goes along with the name.

But...

The announcement of FanDuel's arrival on the DC scene still doesn't solve the problem of the lack of competition issues in the District. 

BetMGM operates a retail sportsbook at Nationals Park, with its mobile app available within just two blocks of the facility. Caesars Sportsbook has a retail presence at Capital One Arena, with its Washington DC sports betting app also only available within two blocks of the venue.

FanDuel is poised to be the only Washington DC sports betting app District residents can use throughout the jurisdiction.

With Gambet DC out, maybe the next focus in the DC market could be replacing the unique and somewhat limiting lottery model, which has been under the microscope in a handful of jurisdictions around the country.