In November 2023, Tennessee’s sports betting handle exceeded $500 million for the first time since the market opened in November 2020. Despite a 5.6% drop in gross wagers month-on-month to $467.4 million, the state still fell short of November’s total of $517.1 million. However, January’s gross wagers were 13.8% higher than in the same month of 2023. The privilege tax for January was $8.6 million, dipping below $9 million for the first time since November 2023.
According to the Quarterly Survey of State and Local Tax Revenue, Tennessee ranked seventh in the nation in Q3 2023 for sports betting tax revenue, generating $16.1 million, or 3.1% of the $506 million total nationwide.
Several leading operators, including FanDuel, DraftKings, BetMGM, Fanatics Sportsbook, ESPN Bet, Hard Rock, and Caesars Sportsbook, have entered the Tennessee market since its inception in 2020. Fanatics Sportsbook and ESPN Bet expanded to Tennessee in August and November 2023, respectively, as part of their nationwide growth plans. Hard Rock launched in September 2022, while Caesars Sportsbook operates in Tennessee through a partnership with the Memphis Grizzlies NBA team established in August 2022.
