Wisconsin’s Native American tribes are fighting tooth and nail to launch online sports betting statewide, but big players like DraftKings and FanDuel stand in their way. This heated battle could reshape gambling in the Badger State, pitting tribal rights against commercial interests. As lawmakers hit the brakes on a key vote, the stakes keep rising.
A bipartisan bill zooming through Wisconsin’s legislature aims to expand sports betting beyond in-person wagers at tribal casinos. Known as SB 592, it would let tribes run online betting through a “hub-and-spoke” system, with servers on tribal land and bets placed anywhere in the state.
This setup mirrors Florida’s model, where tribes hold the reins. Supporters say it honors the state’s constitution, which gives tribes exclusive gambling rights. The bill advanced in the Senate recently, but a sudden pullback from a planned vote shows cracks in the support.
The proposal demands a 60% revenue share for tribes, leaving operators with slim margins. That bold requirement has sparked fierce debate.
Lawmakers heard testimony in early November, with tribes arguing for economic boosts to their communities. One hearing drew crowds, highlighting how this could pump millions into tribal programs.
The bill’s future hangs in the balance after conservative groups and talk radio voices slammed it as a tribal monopoly.
Why Operators Like DraftKings and FanDuel Are Pushing Back
The Sports Betting Alliance, backed by giants DraftKings and FanDuel, calls the bill unworkable. They warn that the high revenue split makes business impossible, potentially killing competition.
DraftKings already teams up with the Lac du Flambeau Band for retail betting at their casino. Yet, the alliance opposes the online expansion, saying it shuts out private firms.
In a public hearing, alliance reps argued for a fair market where multiple operators can thrive.
This opposition comes amid bigger shifts. DraftKings and FanDuel recently quit the American Gaming Association to chase prediction markets, which let users bet on events like elections. Tribes see this as a threat, eating into their potential revenue.
One key worry: prediction markets could dodge traditional betting rules, siphoning cash from tribal operations.
- Revenue Concerns: Tribes fear losing market share to these unregulated platforms.
- Partnership Hurdles: Operators want better deals, not forced tie-ups with tribes.
- State Impact: Without competition, bettors might face higher costs or fewer options.
Tribal Leaders Rally for Control
The Indian Gaming Association stepped in with webinars this month, dubbing it “the battle for Wisconsin.” They urge tribes to fight back against commercial encroachment and emerging threats like prediction markets.
Wisconsin tribes, including the Ho-Chunk and Potawatomi, lobby hard. They point to 2021 changes that first allowed in-person sports betting at casinos, a win after years of talks.
Expanding online would mean jobs and funding for health, education, and housing in tribal areas. That’s the heart of their pitch.
A recent webinar warned that without action, tribes could lose ground to apps from FanDuel and others. Leaders stress lobbying Congress to protect their interests.
Sports betting is legal in nearly 40 states now, per industry trackers. In Wisconsin, tribes manage all casino gambling, a deal struck decades ago.
Yet, critics say the bill might violate federal laws or create risky monopolies. Tribes counter that it’s their right under compacts.
Broader Stakes in the Gambling World
This Wisconsin showdown reflects national trends. Tribes in states like California and Florida have won big by controlling betting expansions.
Here, the Milwaukee Brewers and local business groups back the tribes, seeing economic ripple effects.
If passed, the bill could generate hefty tax revenue for the state, though exact figures remain fuzzy. A 2023 study by the National Indian Gaming Commission showed tribal gaming brought in $39 billion nationwide, supporting over 700,000 jobs.
| State | Online Betting Status | Tribal Involvement |
|---|---|---|
| Florida | Legal via tribes | High, hub-and-spoke model |
| California | Not legal yet | Tribes pushing for control |
| Wisconsin | In-person only | Tribes seeking online lead |
| Minnesota | Limited | Tribal monopoly under fire |
This table shows how Wisconsin fits into the puzzle.
Opposition from conservatives adds political heat. Talk radio hosts rail against what they call unfair advantages, delaying votes.
As debates rage, everyday bettors watch closely. Many already use offshore sites, risking safety for convenience.
The fight exposes tensions between tradition and innovation in gaming. Tribes aim to modernize while guarding sovereignty.
Wisconsin’s push for tribal-led online sports betting spotlights a classic clash of power, money, and rights that could set precedents far beyond state lines. With billions at stake nationwide, this battle reminds us how gambling laws touch economies, communities, and even cultural identities.
