In the wake of Sacramento State's new deal with Wilton Rancheria, and Sky River Casino, we continue to see an increasing number of colleges and universities forming partnerships with casinos, sportsbooks, and resorts.
This trend primarily stems from the need for new revenue streams in an era of rising costs and budget pressures. Since the U.S. Supreme Court struck down the federal ban on sports betting in 2018, the gambling industry has exploded, and it’s taking college campuses along for the ride.
Let’s take a closer look at why these partnerships are happening and what they entail.
Why Are Colleges Teaming Up with Casinos?
Colleges and universities are increasingly forming partnerships with casinos and casino-related entities for several key reasons:
Athletic Department Revenue
College sports programs are expensive to maintain.
From stadium facilities and coaching salaries to scholarships and Name, Image, and Likeness (NIL) deals for student-athletes, the costs can be overwhelming. To help cover these expenses, athletic departments seek out partnerships with casinos, which can provide multimillion-dollar deals.
Broader Financial Needs
Beyond athletics, universities face broader financial challenges. The impacts of the COVID-19 pandemic, for instance, left many institutions in need of additional funds. Casino partnerships can help bridge these financial gaps by funding scholarships, facilities upgrades, and other university programs.
NIL and Student-Athlete Opportunities
In the era of NIL, where student-athletes can profit from their personal brand, some casinos offer deals that provide paid appearances or promotional opportunities at casino events. This allows athletes to earn money, often avoiding direct gambling promotion by focusing on hospitality and entertainment events.
Hospitality and Gaming Education Programs
Some universities with programs in hospitality, tourism, or resort management form academic partnerships with casinos.
Institutions like the University of Nevada, Las Vegas (UNLV) and Central Michigan University are paving the way for education programs directly tied to the gaming industry.
UNLV provides expertise in gaming and hospitality innovation, regulation and public policy (among other casino-related areas), while Central Michigan's program complements business-focused majors and even features in-depth tours of gaming venues.
These collaborations can provide students with curriculum support, internships, and real-world experience.
Controversies Surrounding These Partnerships
The rise of casino partnerships hasn’t come without controversy.
Critics argue that these agreements expose students—many of whom are under 21—to gambling, thus increasing the risk of developing an addiction. Some early sports-betting deals, such as those with Caesars and PointsBet, attracted criticism for targeting young fans.
In response, the industry has attempted to self-regulate by promoting more indirect sponsorships, such as event hosting and resort branding.
High-Profile Casino-University Partnerships
Some partnerships have also made headlines for their financial heft and scope.
Virginia State University and Live! Casino Virginia: The Virginia State University Foundation has been selected as the inaugural nonprofit partner for Live! Casino Virginia’s "Live! Change Maker" program. This initiative aims to support local organizations through donations made by the casino's patrons.
Although Live! Casino Virginia just opened in January in Petersburg, all proceeds from the "Live! Change Maker" program's first quarter will benefit the VSU Foundation. The program allows guests to donate their leftover change at cash-out kiosks, with contributions directed toward a designated local nonprofit.
Casino Del Sol and the University of Arizona: This partnership became a landmark 20-year naming rights deal valued at over $60 million for Arizona Stadium, renaming it Casino Del Sol Stadium starting in the 2026-27 season.
Elite Casino Resorts and Iowa State University: Announced in June, the partnership includes sponsorship assets and NIL opportunities for student-athletes, enhancing the university's sports programs.
Sky River Casino and Sacramento State University: This five-year, $7.5 million deal marks the largest Tribal partnership in Sacramento State’s history, aiming to enrich student-athlete development and expand educational opportunities for Native and Indigenous students.
Overall, the trend of casino partnerships with colleges reflects the gambling industry’s growth post-2018 and universities' struggles to generate non-tuition revenue in today's challenging economic environment.
While most visible in athletics, these partnerships extend to academic and community engagement as well, charting a new course for both the gambling industry and educational institutions.
