It's high stakes for UK firms as sports wagering starts to spread out in America.

From Tuesday, brand-new guidelines on betting came into result in Delaware, a tiny east coast state about two hours from Washington.

Neighbouring New Jersey could start accepting sports betting bets as early as Friday.

The modifications are the first in what could end up being a wave of legalisation after the Supreme Court last month cleared the way for states to permit sports betting.

The market sees a "once in a generation" chance to develop a brand-new market in sports-mad America, stated Dublin-based financial expert David Jennings, who heads leisure research at Davy.

For UK firms, which are grappling with debt consolidation, increased online competitors and tougher rules from UK regulators, the timing is especially appropriate.

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But the market states depending on the US remains a dangerous bet, as UK business face complicated state-by-state guideline and competition from established local interests.

"It's something that we're really focusing on, but equally we don't want to overhype it," said James Midmer, spokesman at Paddy Power Betfair, which recently bought the US fantasy sports site FanDuel.

'Take time'

The US represented about 23% of the world's $244bn (₤ 182bn) in gaming income in 2015, according to a report by Technavio, external published in January.

Firms are wanting to tap into more of that activity after last month's decision, which overruled a 1992 federal law that barred states beyond Nevada and a couple of others from authorising sports betting.

The judgment discovered the law was an over-reach of federal power. But the court it did not in fact legalise sports betting wagering, leaving that concern to regional lawmakers.

That is anticipated to lead to substantial variation in how firms get accredited, where sports betting can occur, and which occasions are open to speculation - with big ramifications for the size of the market.

Potential income varieties from $4.2 bn to almost $20bn each year depending on factors like the number of states relocate to legalise, Oxford Economics approximated in a 2017 research study for the American Gaming Association.

"There was a great deal of 'this is going to be big'", stated Will Hawkley, London-based head of leisure for consultants KPMG.

Now, he stated: "I think many people ... are taking a look at this as, 'it's an opportunity but it's not going to be $20bn and it's going to be state by state and it's going to take some time'."

'Remains to be seen"

Chris Grove, handling director at Eilers & Krejcik Gaming, forecasts that 32 states will legalise sports betting wagering in some form by 2023, producing a market with about $6bn in yearly revenue.

But bookmakers deal with a far various landscape in America than they do in the UK, where betting shops are a frequent sight.

US laws restricted betting mostly to Native American lands and Nevada's Las Vegas strip until fairly recently.

In the popular imagination, sports betting wagering has actually long been connected to a 1919 baseball World Series match-fixing scandal.

States have also been sluggish to legalise numerous forms of online betting, in spite of a 2011 Justice Department viewpoint that appeared to eliminate obstacles.

While sports wagering is typically seen in its own category, "it clearly stays to be seen whether it gets the sort of momentum individuals think it will," said Keith Miller, law teacher at Drake University and co-author of a book about sports wagering policy.

David Carruthers is the former chief executive of BetonSports, who was detained in the US in 2006 for running an offshore online sportsbook and served prison time.

Now a consultant, he states UK firms ought to approach the marketplace thoroughly, picking partners with caution and preventing errors that might result in regulator reaction.

"This is an opportunity for the American sports betting bettor ... I'm unsure whether it is a chance for service," he says. "It really is reliant on the result of [state] legislation and how business operators pursue the opportunity."

'It will be collaborations'

As legalisation begins, sports wagering companies are lobbying to ward off high tax rates, in addition to requests by US sports leagues, which wish to gather a portion of income as an "stability cost".

International companies deal with the included obstacle of an effective existing video gaming market, with casino operators, state-run lottery games and Native American people that are seeking to defend their grass.

Analysts state UK firms will require to strike partnerships, offering their know-how and innovation in order to make inroads.

They point to SBTech's current statement that it is providing innovation for Kentucky Derby operator Churchill Downs as an example of the sort of offers likely to materialise.

"It will be a win-win for everybody, but it will be collaborations and it will be driven by technology," Mr Hawkley stated.

'It will simply depend'

Joe Asher, president at William Hill US, is clear-eyed about the realities.

The business has been buying the US market considering that 2011, when it purchased 3 US companies to establish a presence in Nevada.

William Hill now uses about 450 individuals in the US and has announced collaborations with casinos in Iowa and New Jersey.

It works as threat supervisor for the Delaware Lottery and has invested millions along with a regional designer in a New Jersey horse racing track.

Mr Asher stated William Hill has actually ended up being a household name in Nevada but that's not necessarily the objective everywhere.

"We certainly mean to have an extremely considerable brand presence in New Jersey," he stated. "In other states, it will just depend on guideline and possibly who our regional partner is."

"The US is going to be the greatest sports wagering market on the planet," he added. "Obviously that's not going to occur on day one."