These 4 Sportsbooks Will Launch in Tennessee on Sunday Morning, Sources Say

Tennessee will finally allow operators to take bets on sports beginning this Sunday morning, sources confirm to the Action Network.

BetMGM confirmed Thursday that it would launch Nov. 1 and sources say the other three are expected to follow. There are four mobile operators approved for the state including BetMGM, DraftKings, FanDuel and Action 247, a sports betting platform that intends to only operate in Tennessee.

BetMGM is expected to launch at 8 a.m. CT.

Tennessee passed legislation to legalize gambling in May 2019. The Tennessee Education Lottery has been awarding online-only licenses, with a price tag of $750,000 a year.

It's the only state that has legalized gambling without a brick-and-mortar presence, since Tennessee doesn't have casinos.

It's also the only state that requires the sportsbooks to have a minimum hold — simply its gross revenue divided by the total dollars wagered. Tennessee is requiring a 10% hold, while Nevada and New Jersey have typically been in the 5-6% range.

The idea is that Tennessee ensures it gets a bigger cut if sportsbooks earn more. But it also means there will be fewer promotions and residents won't get the best lines. It remains to be seen how books will get to 10% — NFL point spreads at -115 or worse instead of -110, and capped payouts on futures and parlays could be in the cards.

Because of this, it's not expected that Tennessee will emerge as a big force in the legal sports betting space, like other states, including Indiana, which has roughly the same population as Tennessee.

It will be the only state in the southeast and the closest state to Georgia, North Carolina, South Carolina and Florida with full online betting.

Virginia is expected to go live in the next few months, as well.