GambetDC, the mobile sports betting platform that has failed the Washington D.C. community, will shutter later this year in favor of FanDuel.
Frank Suarez, executive director of the Office of Lottery and Gaming (OLG), which regulates sports betting, sent a letter to the D.C. Council saying the lottery agreed to an appeal by operator Intralot to bring on FanDuel as a subcontractor to replace GambetDC.
iGB obtained a copy of the letter and first reported the news.
OLG and Intralot believe FanDuel will perform much better than GambetDC.
“Having a national, market-leading platform will help to quickly improve the player experience and drive significant revenue growth.” Saurez wrote.
FanDuel already operates a retail sportsbook at Audi Field in the District, and could offer its digital platform at Audi Field and within a two-block radius. The new contract will allow FanDuel to be accessible throughout D.C.
The original lottery contract with Intralot got blasted for its non-competitive nature. That’s been cited as a factor for GambetDC’s failure to succeed.
GambetDC lost $4 million in 2021 and has delivered just $8.5 million in tax receipts to the District since it began operating in May 2020.
The letter penned by Suarez to the D.C. Council didn’t mention a date on which GambetDC will be removed in favor of FanDuel. But the move will have economic benefits to the city. FanDuel will pay a $5 million conversion fee within 37 days of signing a contract with Intralot.
Additionally, FanDuel will also take over the $2-$4 million in annual operating payments for GambetDC currently paid by the city.
If FanDuel takes over the contract and it’s extended, the city could reap $10 million in guaranteed payments for the four years beginning July 2025, according to iGB.
FanDuel will also become responsible for operating the 63 GambetDC kiosks currently found in retailers across the District.
