DraftKings Becomes the First DFS Operator to Get the Green Light in Louisiana

  • DraftKings got approval from the Louisiana Gaming Control Board on Thursday
  • Louisiana will be the 44th state in which DraftKings will launch a DFS offering
  • DraftKings estimates that its first-year net revenue in Louisiana from DFS will be $15.5m
  • DFS became legal in Louisiana in 47 parishes following a public vote in November 2018
  • FanDuel also has a DFS license application pending in Louisiana
DraftKings icon on a smartphone
DraftKings has become the first operator to receive a daily fantasy sports license in Louisiana. [Image: Shutterstock.com]

44th state for DraftKings

DraftKings has secured the first-ever daily fantasy sports (DFS) license from the Louisiana Gaming Control Board. This means that it will now be able to roll out its DFS offering to all approved Louisiana parishes. The gambling operator announced the regulatory approval on Thursday via Twitter:

Louisiana will be the 44th state in which DraftKings will have a DFS presence. Company officials reportedly hope to go live as soon as possible with this offering.

A passionate fan base

DraftKings estimates that it will generate net revenue of $15.5m in its first year of operations in Louisiana. This would result in almost $1.3m of tax revenue for the state.

die-hard fanbases in both professional and college sports”

DraftKings North America president and co-founder Matt Kalish commented on the news of getting DFS approval in Louisiana. He said: “….we welcome Louisiana to the DraftKings family, an area rich with culture, heritage, and die-hard fanbases in both professional and college sports.”

There is a passionate sports fan base in Louisiana; the state is home to the New Orleans Saints and New Orleans Pelicans, as well as numerous Division I college sports programs.

DFS and sports betting expansion in Louisiana

In November 2018, voters in 47 of the 64 Louisiana parishes approved the legalization of fantasy sports betting. It took a few years for all of the relevant legislation to eventually pass. Other competitors in the DFS space are expected to join DraftKings in Louisiana. Long-time rival FanDuel has submitted an licensing application and hopes to be live in the state in time for the beginning of the football season.

Sports betting is also expected to be on its way to Louisiana before the end of the year. Through its DFS offering, DraftKings will be able to start building a customer base in the state before the launch of sports betting.

DraftKings also is one of the biggest sports betting operators in the United States. It currently has online and/or retail sportsbooks up and running in 14 states, including New Jersey, New York, Colorado, and Pennsylvania. It also has online casinos available in a number of states. The operator has relationships with many of the leading sports organizations in the US, including the NFL, PGA Tour, UFC, MLB, and NASCAR.

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