Texas Betting Effort to Gain Momentum with DraftKings Lobbying

Texas, the second-largest US state in terms of population, currently offers limited forms of gambling. With several horse racetracks, casinos operated by Native American Tribes and a lottery, the state doesn’t offer a lot of gambling options. Still, efforts toward the expansion of the activity with the legalization of Las Vegas-style casino gambling and sports betting continue.

DraftKings to Increase Texas Betting Legalization Efforts

In 2023, a proposal calling for betting legalization picked up speed after successfully passing the House vote. However, the proposal needs to gain further traction and most importantly, support in the Senate and by Republican lawmakers, who have been vocal opponents of the expansion of gambling.

Now, a new report suggests that lobbying efforts by recognizable betting and gaming companies are set to intensify in light of the upcoming 2025 legislative session. As announced by Covers, one of the two leading betting companies in the US, DraftKings, is hiring a government affairs specialist to help push the legalization of sports betting in Texas.

The lobbying effort comes after the Lone Star State was able to resist the expansion of gambling for some three decades. Notably, the last time Texas made a push in that direction was when the state legalized a lottery. Since then, while many lawmakers and betting companies advocated for the expansion of gambling, those efforts have failed.

More Gaming and Betting Operators Join Forces

Besides DraftKings, other recognizable casino and betting operators are likely going to dedicate further efforts to lobbying in Texas. The list includes Las Vegas Sands, as well as representatives of FanDuel, BetMGM and Fanatics Sportsbook, all joining forces in advocating for the legalization of betting across the Lone Star State.

Undoubtedly, such lobbying efforts will face difficulties, considering that Republicans have long opposed the expansion of gambling in the state. At the same time, only a handful of lawmakers are likely to support such legislation. In case casino and sports betting bills do not get enough support, their future is certainly doomed.

One card that supporters of the betting and casino expansion can play revolves around tax revenue. Many states that offer additional gambling options benefit from tens of millions and in some cases hundreds of millions in tax revenue annually.

At the same time, many customers engage in betting on sports, even if the activity isn’t available in their home state. While some use unlicensed gambling operators, others prefer to go to a nearby state and use the services of legal operators.

In the case of Texas, most of its neighbors already offer legal sports betting. Legal wagering on sports is available in Louisiana, Arkansas and New Mexico, all bordering the Lone Star State. The only exception where legal betting isn’t available is Texas’ northern neighbor, Oklahoma.