Michigan Sportsbooks Closed 2021 With a Bang

Blake Bueter and Luke Campbell #62 of Michigan State hold the trophy after defeating Pittsburgh in the 2021 Peach Bowl. Adam Hagy/Getty Images/AFP

Michigan sportsbooks set a new state record by handling $514.6 million in wagers during December. It eclipsed the previous record of $500.5 million set in November, according to a new report from the Michigan Gaming Control Board.

It brought the total revenue for 2021 to $3.9 billion, with online sportsbooks making up $3.7 billion of those wagers. Online sports betting in the Great Lakes State only began in 2021, so it capped a very strong first year of trading.

Revenue for December was $35.9 million, which represented a 7% hold. That was down 38.9% on the record revenue of $58.8 million in November, but that month saw an unusually high hold of 11.7% amid a string of bad results for bettors.

READ MORE: Several States Report Strong December Trading Figures

For the year, sportsbooks in Michigan earned $319.5 million in revenue, with online sportsbooks making up $292.2 million of that sum. The state earned $13.6 million in taxes over the course of the year, including $1.2 million in December.

Sportsbooks are allowed to deduct promotional spend before paying taxes on the remainder, which reduces their liability in Michigan.

The Battle for Supremacy

DraftKings edged ahead of FanDuel in the race for market supremacy. It handled $120.3 million worth of online wagers in December, while FanDuel handled $119.9 million.

However, FanDuel also handled $9.5 million in retail wagers, which saw it take the top spot overall. It also earned $9.5 million in revenue, compared to $7.3 million for DraftKings.

BetMGM was a very close third, with an online handle of $108.7 million and a total handle of $117.8 million. It operates a popular retail sportsbook at MGM Grand Detroit. BetMGM also led the way in terms of revenue, with $10 million.

READ MORE: BetMGM to Launch Online Sportsbook in New York on Monday

There are 10 operators with online sports betting sites and apps in Michigan, including Caesars, PointsBet and BetRivers.

Caesars Sponsors Michigan State University

Caesars Sportsbook was fifth in Michigan in December, with a handle of $38.4 million and revenue of $2.6 million.

It needs to work hard to catch up with FanDuel, DraftKings and BetMGM, so it has inked a deal to become the sports betting and online casino gaming partner of Michigan State University.

The partnership combines “fan engagement opportunities” with a new premium seating area at Spartan Stadium and an expansion of responsible sports gaming education.

Caesars Sportsbook customers will gain access to VIP experiences at Michigan State games as part of the Caesars Rewards loyalty program.

READ MORE: Breaking Down Caesars Sportsbook’s Impressive New Sign-Up Bonus

“Michigan State has a proud tradition of excellence and partnering with an internationally recognized brand in college athletics is a great opportunity for us,” said Eric Hession, co-president of Caesars Digital. “The Spartan fan base and alumni network is passionate and well-established across the country.

“We look forward to building upon our connection with them while strengthening the legacy we hold in the state of Michigan and advancing scholarship opportunities through this partnership.”

Caesars Sportsbook will also provide funds to support responsible gambling education on campus, along with student scholarships and professional development opportunities for MSU students pursuing careers in the sports industry.

“The opportunity to partner with Caesars, a leading force in the sports and entertainment industry, will help enhance gameday experiences for Spartan fans and provide significant resources to support the growing needs of each of our varsity programs,” said Alan Haller, Michigan State Vice President and Director of Athletics.

“We are excited to be on the cutting edge of this innovative opportunity while recognizing the importance of Caesars’ commitment to responsible sports gaming education both for the student-athletes and the University community as a whole.”