Nevada has been without any major professional sports franchises for many years. The NHL just recently launched a franchise in Sin City, and now the NFL’s Oakland Raiders have secured their move to Vegas. This move has intrigued analysts, fans and a third party—bettors—who will all be watching to see how this relocation plays out.
The Raiders are the third team in recent years to relocate. The St. Louis Rams and San Diego Chargers both moved to Los Angeles, leaving California with four football teams. While a move to Vegas has always been on the NFL’s to-do list, nothing had come about because of the gambling industry located there. The Raiders were finally able to circumvent the negative perception associated with sports betting and get their move approved by the league’s team owners. It was a resounding 31-1 vote, with the Miami Dolphins owner the only one to vote against the move.
The sports betting industry is perhaps the most interesting piece of this move. The NFL has never endorsed sports betting and Commissioner Roger Goodell has been stagnant on his views about it, but Nevada is one of four states that offers legal regulated sports betting. State residents are spoiled when it comes to sports gambling in Nevada, as residents can just use one of the physical sportsbook locations, whereas those living in states where sports betting is restricted have to use legal offshore sportsbooks. While other league commissioners have come out in support of a legalized sports betting industry, they have yet to start any franchises in the nation’s sports betting capital. The Raiders move marks a pivotal point for the industry, as it could lead to more teams opening and a loosening on the restrictions in place regarding sports gambling. The NFL’s argument against sports betting is also weaker with a league franchise located in Las Vegas
From a fan perspective, this move is beneficial in that it expands the market. In 2020, fans will be able to watch games in a brand new $2 billion stadium. The Oakland Raiders’ fans don’t see this move as beneficial, as they are losing their hometown team. The Raiders’ fan base is considered amongst the best, so perhaps fans will get over not having home games in their backyard, but it will still be bittersweet nonetheless. This is why the Miami Dolphins owner voted against the move, as he believes the team could still find a way to remain in Oakland—the fans at least deserve that much in his opinion. Commissioner Goodell disagrees and doesn’t believe the city could back a new stadium.
Part of the incentive to move the team to Vegas is that the league won’t be putting up a large amount of money for it. Nevada public funds will be taking the bulk of the financing for the stadium, while Bank of America will handle the other significant portion. The league will only put up $200 million, which isn’t much compared to the other sizeable investments. This financial factor certainly supported the NFL’s decision to approve moving the Raiders to Las Vegas.
Whether the NBA, MLS and MLB follow suit and bring teams to Las Vegas remains to be seen, but the Las Vegas Raiders will be a top story for the next few years. Sports betting will also be in the spotlight as this move will stir conversations on how sports betting ties in, especially with teams now located in Nevada. This move is positive for the NFL, for sports betting advocates and for fans (except Oakland fans) and could prove very influential in the coming years.