A sports betting initiative in California took another hit when a group of U.S. sports betting operators sided with a coalition of California tribes in opposition.
The Sports Betting Alliance, which includes FanDuel, BetMGM, Fanatics and DraftKings, made its stand January 9. The opposition is another blow to the efforts of a proposal filed by Eagle 1 Acquisition Company, and their principals, Kasey Thompson and Reeve Collins.
“We recently learned that the authors of two sports wagering initiatives in California are trying to find financial support for signature gathering from sports betting operators. In the interest of clarity, and consistent with our previously stated opposition to these measures, we can commit that SBA won’t be funding or otherwise supporting either of these sports wagering initiatives,” the alliance said in a statement.
The process of gathering valid signatures to get the proposal on the November ballot was set to launch the first weekend in January, according to Yogonet Gaming News.
The alliance stressed three points to bolster their opposition:
- The project is doomed without widespread support from the California tribes. And if that happens, it will set efforts for sports betting in the state back several years.
- The development of the proposal will keep the initiative from performing at its peak thus impacting the sponsors.
- The assumption of constructing a business plan that relied on patrons joining from illegal offshore sportsbooks won’t reach the standards the alliance sets for itself.
“That is natural for them to come out against us as we put 100 percent ownership and control in tribal hands,” Thompson said in a staetment. “I have not asked any of those companies for a nickel. Not one nickel in a sports betting bill, so you can only imagine how tribal forward it is. There is no mention of anything inappropriate in the bill, nor anything exclusive to Eagle 1, and to suggest otherwise is preposterous.”
On December, 28 gaming tribes opposed the latest initiative with new support from sportsbook operators. Operators, willing to partner with tribes against an initiative they disapproved of, may be taking an initial step towards potential collaboration on future California sports betting initiatives.
