MaximBet Leaving The US Sports Betting Industry
Another sports betting operator is leaving the United States to continue the trend. Find out what operator is leaving, and why this might be happening.
MaximBet Leaving The US Sports Betting Industry
The sports betting industry in the United States continues to grow, but the growth hasn’t been equal for everyone. The top sportsbooks continue to thrive and post massive revenue totals, but smaller sportsbooks just aren’t able to keep up.
Customers at MaximBet received an interesting email this week as the company announced that it would be ceasing operations and shutting down its operations in the United States. MaximBet has already stopped taking wagers, and customers must make withdrawals prior to December 15.
It was a short-lived existence for MaximBet in the United States as the company has only been around for a little over a year. This online sportsbook was created after the Carousel Group and Maxim were able to form a partnership.
This is only going to impact sports bettors in two states, but it’s still a massive blow to those states and to the industry in general. MaximBet had been working hard to acquire celebrities and sports figures to help with advertising, but they just simply couldn’t generate enough business to make it worthwhile.
There are now over 40 different sportsbook operators accepting bets within the United States, but the big four continue to lead the way. That group includes BetMGM, Caesars, DraftKings, and FanDuel. Those four operators make up 85% of the online market share.
MaximBet Had Big Plans
Since the formation of MaximBet back in 2021, this operator was only able to launch in two states, but there were some big plans in the works. Colorado was the first state to see this sports betting operator go live, and the company just recently went live in Indiana back in September.
Earlier this year, MaximBet announced a partnership with Caesars that would have given this operator the chance to go live in 10 different states. New Jersey and Pennsylvania were included in that list, and those are two of the biggest markets in the United States.
The Carousel Group has been trying to raise money to help MaximBet expand, but they just weren’t seeing the results in terms of handle or revenue. It hurt the operator that it was unable to offer the same big bonuses and promotions that you would see from the other sportsbooks.
Bad Trend For Industry
This announcement from MaximBet wasn’t as shocking as it probably should have been, but that’s because this industry has already seen this happen plenty. International operators have been the companies that are jumping ship the most, but it’s also impacting the US sports betting operators as well.
Churchill Downs made headlines early in 2022 when it announced that it was removing TwinSpires from the online sports betting industry. FuboTV just recently removed the Fubo Sportsbook from three states after it was unable to find a partner to help out with some of the expenses.
