Alberta Regulators on the Brink of Implementing a Sports Betting Market with a Restricted Number of Operators
As Alberta gears up for the launch of its commercial sports betting market, strong signs point to a restricted-operator model being the preferred choice for sports wagering in destination facilities throughout Canada's fourth-most populous province. With two NHL clubs, the Edmonton Oilers and the Calgary Flames, as well as two CFL teams, Alberta is seen as a competitive market for sports betting enthusiasts. Yet, it seems that only a couple of commercial sportsbook operators or platform providers may secure a spot in this market, as peraled by sources.
This restricted model starkly contrasts with the open-market structure suggested in Ontario, where experts estimate more than a dozen commercial sportsbooks will join the private market. The Alberta Gaming, Liquor and Cannabis Commission (AGLC) is rumored to announce the process through a Request For Proposals (RFP) within the next week. Although an AGLC spokeswoman hinted at an imminent announcement, she failed to provide details on the proposed market infrastructure.
Industry stakeholders across various industries have voiced their support for an open market in the province. Alberta casinos have pondered the addition of retail sports betting, along with online extensions through mobile wagering, for months. On the other hand, top professional sports teams are actively exploring multiple ways to monetize the activity.
The Senate of Canada legalized single-event sports betting in June by passing bill C-218 in a groundbreaking vote. The federal government enacted a sports betting law in late August, paving the way for several provincial lotteries to start offering single-game wagers. As early as September, Play Alberta, a regulated online gaming website, introduced a sports betting platform of its own.
The back and forth between restricted and open markets has been a hot topic, particularly in leading U.S. sports betting states such as New Jersey and Colorado. Ontario, much like these states, has opted for a consumer-centric model that supports choice, with industry heavyweights like DraftKings, BetMGM, and FanDuel anticipated to vie for licensure in Ontario. Provinces like New York, on the other hand, have adopted a more controlled approach to maximize tax revenue by limiting the number of operators.
In the end, the success of Alberta's sports betting market will depend on striking a balance between maximizing revenue, ensuring consumer protections, and fostering a competitive but manageable environment for both operators and players.
- In contrast to Ontario's open-market model, Alberta's sports betting market appears to favor a restricted-operator structure, possibly limited to a couple of commercial sportsbook operators or platform providers.
- Despite the limited number of operators in Alberta's sports betting market, the province, with its two NHL clubs, the Edmonton Oilers and the Calgary Flames, and two CFL teams, remains an attractive market for sports betting enthusiasts.
- Industry stakeholders, such as Alberta casinos and top professional sports teams, are actively considering various strategies to monetize sports betting, mirroring discussions happening in leading U.S. sports betting states.
