BetMGM CEO says Supreme Court is likely to rule against prediction markets

BetMGM CEO Adam Greenblatt said he expects the Supreme Court to ultimately rule against prediction markets, arguing that sports- and casino-like offerings go beyond what Congress intended. His comments came during the company’s third-quarter earnings update, where BetMGM also reported revenue and EBITDA growth.

Greenblatt said the core legal question is whether Congress intended to permit products that resemble sportsbook and casino wagering. He added that most related cases so far have gone in favor of states, attorneys general, and tribes, and said he hopes for a resolution during the 2026-27 Supreme Court term. The court has not yet decided whether it will hear the case.

BetMGM says prediction market risk remains

Greenblatt also said recent federal regulatory language has not removed the competitive threat from prediction markets.

“I don’t think it’s no longer a risk,” Greenblatt said, adding that proposed rules could still allow prediction markets to develop products that are functionally similar to casino-style offerings.

He said he expects more states to challenge sports event contracts and casino-like prediction products under their own laws. Nevada has been among the leading states in those legal fights and can now enforce its gambling laws against unlicensed sports event contracts.

For sportsbook operators, the dispute matters because prediction markets have become a growing point of tension with the regulated gambling industry, including companies such as BetMGM, FanDuel, DraftKings, and Fanatics.

Q3 revenue and EBITDA both rose

BetMGM reported third-quarter net revenue of $710 million, up 7% year over year. Adjusted EBITDA reached $86 million, up 112% from the same period last year.

Online sports betting handle increased 3% to $3.24 billion. BetMGM said it has reduced direct online sportsbook acquisition spending over several quarters while maintaining an 8% share of the sports gross gaming revenue market.

The company reiterated full-year guidance of $2.9 billion to $3.1 billion in net revenue and $300 million to $350 million in adjusted EBITDA.

For players, the main near-term takeaway is that the legal fight over prediction markets is still unresolved, even as major operators continue to treat it as a competitive and regulatory issue to watch. The next key question is whether the Supreme Court agrees to hear the case, while states may continue pursuing their own enforcement actions in the meantime.

If you bet, do so responsibly.

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Source: As reported by Ryan Butler.