OpenBet and Sportradar are the latest gambling companies to exit the American Gaming Association (AGA). Their names don’t appear on January’s list, which indicates the members for the upcoming year.
They join Fanatics, DraftKings, and FanDuel in exiting the industry association. The latter two left due to their entry into the prediction markets space. The AGA is vehemently against the sector, as it believes it undermines state gaming laws and takes away valuable tax dollars.
Sportradar and OpenBet don’t directly offer any gambling products to consumers, but they do partner with operators to provide official data used to set odds and manage risk.
Sportradar said in November that it sees growth potential in prediction markets
Industry experts are speculating that their exit is linked to prediction markets. While OpenBet hasn’t publicly mentioned this sector, Sportradar said in November that it sees growth potential in prediction markets.
The AGA, in contrast, is stepping up its efforts to curb the platforms. Earlier this month, it sent a joint letter with the Indian Gaming Association calling on Congress to rein in the sector, emphasizing consumer protection concerns and the circumvention of state gaming laws.
One particular point of contention is that people can be just 18 to use prediction market sites, as opposed to the 21-year-old minimum most states have for sports betting.
