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

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

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

The changes are the first in what might end up being a wave of legalisation after the Supreme Court last month cleared the way for states to enable sports betting wagering.

The industry sees a "when in a generation" opportunity to develop a new market in sports betting-mad America, stated Dublin-based monetary analyst David Jennings, who heads leisure research study at Davy.

For UK firms, which are grappling with combination, increased online competitors and harder rules from UK regulators, the timing is particularly appropriate.

Why the gambling industry deals with an unsure future

How does unlawful sports wagering work and what are the fears?

But the industry states counting on the US stays a risky bet, as UK companies deal with complicated state-by-state guideline and competition from established local interests.

"It's something that we're actually focusing on, however equally we don't wish to overhype it," said James Midmer, representative at Paddy Power Betfair, which just recently bought the US fantasy sports betting website FanDuel.

'Require time'

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

Firms are wanting to take advantage of more of that activity after last month's decision, which struck down a 1992 federal law that disallowed states beyond Nevada and a few others from authorising sports betting.

The judgment found the law was an over-reach of federal power. But the court it did not really legalise sports betting wagering, leaving that concern to local legislators.

That is anticipated to result in substantial variation in how firms get licensed, where sports betting can take place, and which occasions are open to speculation - with big ramifications for the size of the marketplace.

Potential earnings ranges from $4.2 bn to nearly $20bn each year depending upon aspects like how many states transfer to legalise, Oxford Economics estimated in a 2017 research study for the American Gaming Association.

"There was a lot of 'this is going to be substantial'", stated Will Hawkley, London-based head of leisure for specialists KPMG.

Now, he stated: "I believe many people ... are looking at this as, 'it's an opportunity but 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, managing director at Eilers & Krejcik Gaming, predicts that 32 states will legalise sports wagering in some type by 2023, creating a market with about $6bn in annual earnings.

But bookies face a far various landscape in America than they do in the UK, where betting stores are a frequent sight.

US laws limited betting mainly to Native American lands and Nevada's Las Vegas strip until reasonably recently.

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

States have actually also been slow to legalise many types of online gaming, in spite of a 2011 Justice Department viewpoint that appeared to remove challenges.

While sports wagering is usually seen in its own category, "it clearly stays to be seen whether it gets the sort of momentum people think it will," stated Keith Miller, law teacher at Drake University and co-author of a book about sports betting wagering regulation.

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

Now a specialist, he says UK firms must approach the market carefully, picking partners with caution and preventing missteps that could result in regulator backlash.

"This is a chance for the American sports betting gambler ... I'm not exactly sure whether it is a chance for organization," he says. "It really is dependent on the outcome of [state] legislation and how business operators pursue the opportunity."

'It will be partnerships'

As legalisation starts, sports betting wagering companies are lobbying to ward off high tax rates, as well as requests by US sports leagues, which wish to gather a portion of revenue as an "stability cost".

International business deal with the added difficulty of an effective existing video gaming market, with gambling establishment operators, state-run lottos and Native American people that are seeking to defend their grass.

Analysts say UK companies will require to strike partnerships, offering their know-how and technology in order to make inroads.

They point to SBTech's recent statement that it is providing technology for Kentucky Derby operator Churchill Downs as an example of the type of deals most likely to materialise.

"It will be a win-win for everybody, but it will be partnerships and it will be driven by innovation," Mr Hawkley said.

'It will simply depend'

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

The company has been investing in the US market given that 2011, when it purchased 3 US firms to establish a presence in Nevada.

William Hill now uses about 450 individuals in the US and has revealed collaborations with casinos in Iowa and New Jersey.

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

Mr Asher stated William Hill has actually become a family name in Nevada but that's not necessarily the objective all over.

"We certainly plan to have a really considerable brand name presence in New Jersey," he said. "In other states, it will simply depend on policy and potentially who our regional partner is."

"The US is going to be the greatest sports betting wagering market on the planet," he included. "Obviously that's not going to occur on the first day."