The recent decision by Betsson Group to shut down its Betsafe Sportsbook operations in Colorado highlights the evolving challenges European gaming companies face in the US market. Entering the highly competitive US sports betting sector has proven difficult for many international brands, including Betsson, as they navigate local regulations and fierce competition from homegrown giants like FanDuel and DraftKings.
For European operators, Betsson’s exit from Colorado signals a clear message: success in the US requires more than brand recognition. As markets consolidate, operators need not only cutting-edge technology but also deep pockets for marketing and consumer acquisition, areas where native US operators hold an advantage. Betsafe’s original intention was to establish a foothold in the US by leveraging its sportsbook as a B2B showcase; however, the operational costs and competitive landscape proved too steep to sustain.
Betsson’s decision underscores how crucial it is for international companies to focus on partnerships and B2B solutions rather than direct consumer engagement in the US. The changing regulatory environments in various states also pose significant challenges for non-native brands, requiring flexibility and deep understanding of the market’s intricacies. Other European operators should take heed, exploring strategic collaborations and local partnerships rather than attempting to go head-to-head with well-established US players in this growing sector.
