New York judge rules against Daily Fantasy Sports

An Albany judge has thrown the future of Daily Fantasy Sports into potential turbulence, ruling that gambling prohibitions in the state were being breached by the daily contests offered by DFS operators.

The ruling contradicts that of a previous judge, who in 2016 outlined his belief that DFS sites fell under the umbrella of permitted games of skill, highlighting that the games relied on a certain amount of judgement from players.

However, on Monday the case was challenged by anti-gambling campaigners, who found support in the form of Albany County Supreme Court acting justice Gerald Connolly, after he backed the case against the 2016 legislation.

The office of Governor Andrew Cuomo, who had originally signed off the legislation in 2016, has outlined they are reviewing the case.

What the decision means for the future of DFS as yet, remains relatively unclear, but leading DFS operators, FanDuel and DraftKings may look to place an even greater emphasis on sports betting, with both continuing to make surges in the world of sports betting and emerging as clear market leaders in New Jersey for the month of September. Between them, they generated $15.7m of the state’s total sports wagering take of nearly $24m.

Out of the two rivals DraftKings, with its partner Resorts Digital, was ahead with revenue of $8.5m. FanDuel, partnered with Meadowlands racetrack, reported a total of $7.2m. That gave DraftKings a 35.4 per cent of the market share, with FanDuel taking a 30 per cent share. Altogether, New Jersey bettors wagered $184m on sports, with $104.9m of the handle going on online betting.

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