Massachusetts is losing one of its sports betting apps.
The Massachusetts Gaming Commission released the agenda for their Feb. 1 meeting on Wednesday morning. One of the items in it is approving a “notice of intent to cease operations” filed by WynnBET.
In other words, WynnBET won’t be a Massachusetts online sportsbook for much longer. It’s following a nationwide trend for the online sportsbook of Wynn Resorts Ltd.
Wynn Resorts closed WynnBET in seven states in 2023, citing a desire to focus on other areas of its gaming business. At that time, Wynn continued offering WynnBet sportsbook in Massachusetts and Nevada, two states where it has a significant physical casino presence.
Wynn Resorts owns and operates Encore Boston Harbor, the largest of three Massachusetts casinos. Wynn confirmed with MassLive that its retail sportsbook at Encore Boston Harbor will not close.
Just six sportsbooks left in Massachusetts
WynnBET Massachusetts Sportsbook launched last March. It was the first online sports betting operator to receive a license to operate in Massachusetts in December 2022.
The loss of WynnBet will eventually bring the number of sportsbooks in Massachusetts to six. Betr, which reported less than half a million in total handle in December, has also said it will leave the market.
WynnBet is still available in Nevada, Michigan and New York, but the future of the online sportsbook is unclear. The parent company intends to pursue markets with more clear revenue opportunities.
Last August, the company said during an earnings call that there were “higher and better uses of capital deployment” and that online sportsbook operations presented “the continued requirement for outsized marketing spend through user acquisition and promotions in online sports betting.”
Sports betting industry undergoing landscape shifts
Since WynnBET shuttered its online sportsbook in Arizona, Colorado, Indiana, New Jersey, Louisiana, Tennessee, West Virginia and Virginia last August, the industry has seen many changes.
ESPN Bet is competing for a sizable market share in most states with legal sports betting. PENN Entertainment decided last year to break away from its Barstool Sportsbook, replacing that product with the iconic entertainment and sports news brand of ESPN.
Fanatics has also jumped into the market with a sportsbook, trying to carve out a spot in the field. Meanwhile, DraftKings and FanDuel are dominating market share across the US, and in the Bay State.
Last December, DraftKings Massachusetts Sportsbook accounted for a staggering 49.1% of the state’s total handle, recording $315.8 million of the $643.1 million statewide.
In the immediate future, the Massachusetts sports betting market seems to have three tiers. DraftKings and FanDuel are in the top tier, accounting for nearly 80% of total handle in December. They managed 75% of total handle in 2023 in the state. Then comes ESPN Bet Massachusetts Sportsbook and BetMGM Massachusetts Sportsbook, which hold third and fourth place but come in at under 10% share.
Finally, there’s Caesars Massachusetts Sportsbook and Fanatics Massachusetts Sportsbook, which have the lowest total handle.
