Golden Nugget Online Gaming has obtained a market entry in New York through a 20-year partnership deal with Tioga Downs racetrack.
Tioga Downs Welcomes Golden Nugget Online Gaming
Golden Nugget Online Gaming has signed a deal with Tioga Downs racetrack to gain market access to New York’s potential iGaming market. Subject to speculation and regulatory uncertainty, industry stakeholders are signaling their interest to secure a share of a potentially-regulated online gaming market in the Empire State.
The deal signed between the racetrack and Golden Nugget extends for a period of 20 years, showing the brand’s confidence that New York will secure a regulated industry before long. As per the agreement, Golden Nugget Online Gaming will pay a percentage of its net gaming revenue.
Commenting on the news, Tioga Downs owner Jeffery Gural said that he was excited and welcomed the opportunity to be teaming with one of the best online gambling companies in the country, citing the organization’s successful portfolios and efforts in New Jersey:
“GNOG has one of the most experienced online teams, a historied US casino brand and a proven track record in our neighboring state of New Jersey.”
Tioga Downs owner Jeffery Gural
Gural further noted that Golden Nugget was in a position to bring an advanced gambling product to the Empire State and join Tioga Downs in creating a unique customer experience for one of the largest economies in the United States.
Golden Nugget has its eye set on the New York market, forecasting $2 billion in potential revenue at maturity. However, a study by The New York State Gaming Commission argues that revenue could reach $4.49 billion for New York City. The company has been securing market access in rapid successions with no fewer than nine state entries in the past year.
Online Gaming Regulation in NY Still up in the Air
Meanwhile, regulation in New York remains up in the air. Gov. Andrew Cuomo is reluctant to endorse gambling legislation that extends to the private sector, arguing that the Empire State should assign a single partner, and potentially split the revenue with it. The governor, though, last seemed keenest of appointing the State Lottery or other state-controlled entity in charge.
Isolating gambling companies from the market, though, would interfere with the state’s reaching its full potential. Worse, it would probably tank the state’s retail and tribal casinos’ revenues to the point their existence is imperiled.
While the debate for an iGaming industry, and its exact format, continues to rage on, the state has already authorized the sale of digital lottery tickets. This has not shaken Golden Nugget Online Gaming president Thomas Winter‘s confidence that New York and Tioga Downs are a perfect match for the company.
Winter assured that GNOG will continue breaking ground into new markets, focusing on exponential growth in the iGaming market. Hopefully, part of that growth would include New York. Presently, GNOG has an estimated market share worth $10 billion upon that share reaching maturity. The news comes amid steady results for the company in 2020.