Large sportsbooks only option in California is for tech says S.M Band

Updated January 3, 2023
Updated January 3, 2023By Chris Boline
california betting news january

With the latest election period coming and going without any new significant changes regarding gaming in California, the San Manuel Band of Mission Indians says there needs to be a key concession for change from national parties. According to one recent report, the group’s chief operating officer (Frank Sizemore) and chief intergovernmental affairs officer (Dan Little) said that brands could enter the California sports betting market as technology providers. However, they added the additional caveat that they would be customer-facing brands, with the native brands being out front in this case. With the ashes of Propositions 26 and 27 still cooling off in the Golden State, there is still some hope that the key players in the gaming industry here hammer something out that works for all parties. With these latest developments, it is clear there is a line drawn in the sand that works for one party. 

For this report, SBS will be going over what to look for from the latest gaming news in the Golden State along with other thoughts and notes about wagering in California. 

A new gaming deal could happen in 2023 with caveats 

Per one report, the tribal casinos, card rooms, pari-mutuels, and national sports sportsbook brands could craft a mutually amenable proposition to put before voters next year. In this scenario, it would spare the state the type of pricey, tiring, “scorch-earth marketing” as one article put it that sent both Prop 26 and 27 to significant defeats at the polls in November. However, the native tribes in the state have made their position clear as to what kind of agreement they would like to see for the deal. In this case, Sizemore said there would be “no co-branding” with major national brands operating in the background. According to an article, he said this would be “similar to the way Cisco and others operate your computer system.”

In one report, Sizemore would go on to say the group envisions a structure in which they provide technology solutions back to the tribes. He would continue that this structure could be used where the tribes are the operators of the game, but the national companies would be the “back-of-house” technology providers. Moreover, Little chimed in that national sports betting operators would still do very well in this model, however, it would not figure to be the payoff for companies like FanDuel and DraftKings had hoped Prop 27 (state-wide mobile sports betting) had hoped to be. Finally, the two representatives pointed out that “humility” would be a key part here to the bigger compromise and have everyone understand their role. Per a source, IGT and Caesars have expressed interest in such an arrangement.

San Manuel Band does not speak for all tribes in the state

According to one article, the San Manuel group does not account for the same opinion of all the 110 federally recognized tribes in the state. As one report points out, not every tribe supported Prop 26, which would have allowed retail sports wagering at Native casinos and four horse racing tracks. However, the tribes almost universally opposed Prop 27 and wielded their capital with the voting public and hundreds of millions of dollars to paint the ballot measure as a “legalized invasion and attack on their economic sovereignty.” Nonetheless, several from this group espoused the back-of-the-house possibility at a recent tribal conference. 

According to Little, the “invasion” has long been underway in California because the state has no specific laws making daily fantasy sports legal or illegal. Many of these kinds of websites work in the void in the state with Californians, and per various reports, comprise as much as 10% of the national DFS market. As referenced in one article, DraftKings and FanDuel, which continue offering DFS after mutating into sports betting operations, are major players in the state. Little contended that what is problematic about companies like DraftKings is they have been “operating illegal daily fantasy sports in California for years.” He also pointed out that they have had time to develop databases that they should not be allowed to benefit from. Though the future of wide-scale gaming legalization in the state remains unclear, the prize will most likely come with significant caveats. 

Other thoughts and notes about California wagering

After you are all caught up to speed regarding the gaming scene in California, make sure to check out the wide variety of articles that SBS has rolled out for you. Of course, for even more Golden State news, the SBS California sports betting rundown has your back with the latest information coming from the state. Moreover, if you are looking to get the most out of your wagers, our best bonus betting sites breakdown has you covered with a ton of great information related to the most ideal welcome bonuses out there. This page also contains a fantastic catalog of the latest welcome bonuses available. Finally, for those on the go, the SBS best betting apps guide is a fantastic resource to always have on tap and make sure you are never missing out on the action. 

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About the Author

Chris Boline
Chris Boline

As a devout aficionado of sports, Chris Boline has carved a career within the athletic realm. A skilled scribe, he boasts a decade-long portfolio that encompasses coverage of the NBA G League, the Los Angeles Chargers, football in the Mountain West Conference, and basketball. Beyond his professional pursuits, Chris is deeply invested in his community and dedicates his leisure hours to serving on boards, collaborating with community organizations, and cherishing the company of loved ones.

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