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Barely seven months after its departure from the Nevada online market, UK-based sportsbook Betfred has announced that it’s also ceasing its operations in Pennsylvania, confirming its complete exit from the United States online market. The company will officially shut down its operations on July 31.
In Pennsylvania, Betfred operated through a partnership with Wind Creek Bethlehem Casino. As it prepares to close, the platform has already stopped accepting new bets.
Current users can still settle their wagers and use early cash-out options until the end of the month. For any bets that remain unresolved after the closure, Betfred will send payouts by mail.
While it’s uncertain if Betfred will continue managing the on-site retail sportsbook, the company has not yet released a statement regarding the closure of its online platform. This move comes in the wake of significant financial losses, aligning with a broader trend where other European sportsbooks, ike 888 Holdings and Betway, have also exited the US market.
At the start of 2025, only Pennsylvania and Nevada remained as Betfred’s active markets, following exits from Iowa and Washington in late 2024, where it had both online and retail operations. Before then, the company had also pulled out of markets in Arizona, Colorado, Ohio, Maryland, and Virginia, struggling to gain a competitive edge.
The Big Four Continue to Dominate US Market
Betfred’s exit from the US market doesn’t come as a surprise, with established players like FanDuel, DraftKings, Caesars, and BetMGM continuing to hold a significant advantage. Their strong brand recognition and extensive resources create a tough environment for newer and international operators trying to gain a foothold.
These newcomers also have to face numerous hurdles, including navigating multiple state regulations and obtaining licenses. Each state has its own licensing, tax structures, and compliance requirements, making the operations more complex and costly.
Experts have also pointed out that bettors in the US behave differently compared to those in Europe, and this can be challenging to operators. They have to worry about high marketing expenses and the costs associated with acquiring new customers, making it harder to profit.
It has also been pointed out that simply having a license in the US does not guarantee financial profitability, leading some European operators to rethink their strategies and even exit the highly competitive market.
Betfred Not the Only One Leaving
Betfred’s departure from the US market is not entirely surprising, as other Europeans have left in recent months. Brands like Betway, Tipico, and 888 Holdings have also scaled back their U.S. ambitions, signaling a shift in strategy.
Super Group decided to close Betway’s US sportsbook after realising that its business model would take too long to become profitable. Alongside this, they announced plans to withdraw their online casino brands from New Jersey and Pennsylvania, citing excessive regulatory costs.
Tipico, which had been operating in four states, exited the US market after being acquired by LeoVegas, a subsidiary of MGM Resorts, in 2024.
888 Holdings has also faced its own challenges, agreeing to pay a $50 million penalty to dissolve its joint venture with Authentic Brands Group due to disappointing returns and high operational costs associated with the SI Sportsbook and Casino.
Pennsylvania Looking to Expand Market Amid Exits
With sportsbook continuing to withdraw from Pennsylvania, state lawmakers are taking steps to revamp the betting landscape.
This month, State Rep. Ed Neilson introduced HB1636, a bill aimed at legalizing esports betting by redefining what constitutes a sports event to include esports competitions.
This bill defines esports as skill-based contests involving either individuals or teams playing video games. Interestingly, the bill does not currently place restrictions on betting involving minors, despite some esports players being as young as 13.
Pennsylvania already prohibits wagers on high school player props, highlighting a potential gap in the new bill and current state regulation.
Neilson believes that the Pennsylvania Gaming Control Board (PGCB) should have the authority to adjust the state’s betting offerings to keep up with emerging trends like esports. While it remains uncertain whether the bill will gain support, it shows that lawmakers are being proactive and ready to expand the state’s market during this critical time.
Source: YogoNet
Image Credit: Edwardx
