It's high stakes for UK firms as sports betting starts to spread in America.

From Tuesday, new guidelines on betting entered effect in Delaware, a small east coast state about two hours from Washington.

Neighbouring New Jersey could begin accepting sports bets as early as Friday.

The modifications are the first in what could end up being a wave of legalisation after the Supreme Court last month cleared the method for states to allow sports betting.

The market sees a "once in a generation" opportunity to develop a new market in sports-mad America, said Dublin-based monetary expert David Jennings, who heads leisure research at Davy.

For UK companies, which are facing consolidation, increased online competitors and harder guidelines from UK regulators, the timing is especially suitable.

Why the gaming market faces an unsure future

How does prohibited sports betting work and what are the fears?

But the industry states depending on the US stays a dangerous bet, as UK companies face complicated state-by-state guideline and competition from entrenched regional interests.

"It's something that we're actually concentrating on, but equally we do not wish to overhype it," stated James Midmer, spokesman at Paddy Power Betfair, which just recently acquired the US dream sports betting website FanDuel.

'Take time'

The US accounted for about 23% of the world's $244bn (₤ 182bn) in video gaming profits in 2015, according to a report by Technavio, external published in January.

Firms are intending to use more of that activity after last month's choice, which struck down a 1992 federal law that barred states beyond Nevada and a few others from authorising sports betting.

The ruling discovered the law was an over-reach of federal power. But the court it did not actually legalise sports wagering, leaving that concern to regional legislators.

That is anticipated to result in significant variation in how companies get accredited, where sports wagering can take place, and which occasions are open to speculation - with huge ramifications for the size of the marketplace.

Potential income varieties from $4.2 bn to almost $20bn annually depending on aspects like the number of states relocate to legalise, Oxford Economics estimated in a 2017 study for the American Gaming Association.

"There was a lot of 'this is going to be huge'", said Will Hawkley, London-based head of leisure for experts KPMG.

Now, he said: "I believe the majority of individuals ... are taking a look at this as, 'it's an opportunity however it's not going to be $20bn and it's going to be state by state and it's going to require time'."

'Remains to be seen"

Chris Grove, handling director at Eilers & Krejcik Gaming, predicts that 32 states will legalise sports betting in some form by 2023, creating a market with about $6bn in annual profits.

But bookies deal with a far different landscape in America than they do in the UK, where wagering shops are a regular sight.

US laws limited gaming mainly to Native American lands and Nevada's Las Vegas strip up until relatively just recently.

In the popular creativity, sports betting has long been connected to a 1919 baseball World Series match-fixing scandal.

States have also been sluggish to legalise lots of kinds of online gambling, regardless of a 2011 Justice Department viewpoint that appeared to eliminate challenges.

While sports betting wagering is typically viewed in its own classification, "it plainly stays to be seen whether it gets the type of momentum individuals think it will," said Keith Miller, law teacher at Drake University and co-author of a book about sports betting wagering policy.

David Carruthers is the former president of BetonSports, who was apprehended in the US in 2006 for running an offshore online sportsbook and served jail time.

Now a specialist, he states UK firms need to approach the market thoroughly, choosing partners with care and avoiding mistakes that might cause regulator backlash.

"This is an opportunity for the American sports betting bettor ... I'm uncertain whether it is a chance for service," he states. "It truly is reliant on the outcome of [state] legislation and how the business operators pursue the opportunity."

'It will be collaborations'

As legalisation starts, sports wagering firms are lobbying to fend off high tax rates, along with requests by US sports leagues, which wish to gather a portion of income as an "stability fee".

International business face the included obstacle of a powerful existing gaming market, with casino operators, state-run lottos and Native American tribes that are seeking to safeguard their grass.

Analysts say UK firms will require to strike collaborations, providing their proficiency and innovation in order to make inroads.

They point to SBTech's current statement that it is supplying innovation for Kentucky Derby operator Churchill Downs as an example of the kind of offers likely to materialise.

"It will be a win-win for everybody, however it will be collaborations and it will be driven by innovation," Mr Hawkley stated.

'It will simply depend'

Joe Asher, president at William Hill US, is clear-eyed about the truths.

The business has been purchasing the US market because 2011, when it bought 3 US companies to establish a presence in Nevada.

William Hill now utilizes about 450 people in the US and has revealed partnerships with casinos in Iowa and New Jersey.

It works as threat supervisor for the Delaware Lottery and has actually invested millions together with a regional designer in a New Jersey horse racing track.

Mr Asher stated William Hill has actually ended up being a family name in Nevada however that's not always the objective all over.

"We certainly intend to have an extremely considerable brand presence in New Jersey," he said. "In other states, it will simply depend on policy and potentially who our local partner is."

"The US is going to be the biggest sports wagering market in the world," he added. "Obviously that's not going to happen on the first day."