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

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

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

The changes are the very first in what might become a wave of legalisation after the Supreme Court last month cleared the way for states to allow sports betting.

The market sees a "as soon as in a generation" chance to establish a brand-new market in sports-mad America, stated Dublin-based monetary analyst David Jennings, who heads leisure research at Davy.

For UK companies, which are coming to grips with combination, increased online competitors and tougher rules from UK regulators, the timing is particularly opportune.

Why the betting industry deals with an uncertain future

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

But the market says relying on the US remains a dangerous bet, as UK business deal with complex state-by-state regulation and competitors from entrenched regional interests.

"It's something that we're really focusing on, but similarly we do not wish to overhype it," said James Midmer, spokesperson at Paddy Power Betfair, which recently acquired the US dream sports website FanDuel.

'Require time'

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

Firms are wishing to tap into more of that activity after last month's decision, which overruled a 1992 federal law that barred states outside of Nevada and a few others from authorising sports wagering.

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

That is anticipated to result in considerable variation in how firms get licensed, where sports betting can occur, and which events are open to speculation - with huge implications for the size of the marketplace.

Potential income ranges from $4.2 bn to almost $20bn yearly depending on elements like the number of states relocate to legalise, Oxford Economics approximated 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 the majority of individuals ... are taking a look at this as, 'it's a chance but it's not going to be $20bn and it's going to be state by state and it's going to take some time'."

'Remains to be seen"

Chris Grove, managing director at Eilers & Krejcik Gaming, anticipates that 32 states will legalise sports betting in some type by 2023, creating a market with about $6bn in annual earnings.

But bookmakers deal with a far different landscape in America than they perform in the UK, where wagering stores are a regular sight.

US laws restricted betting largely to Native American lands and Nevada's Las Vegas strip till relatively just recently.

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

States have actually likewise been slow to legalise many forms of online betting, in spite of a 2011 Justice Department opinion that appeared to get rid of barriers.

While sports betting is generally viewed in its own category, "it plainly remains to be seen whether it gets the kind of momentum individuals believe it will," stated Keith Miller, law professor at Drake University and co-author of a book about sports betting regulation.

David Carruthers is the previous president of BetonSports, who was jailed in the US in 2006 for running an overseas online sportsbook and served jail time.

Now a specialist, he says UK companies should approach the marketplace carefully, choosing partners with care and preventing bad moves that might cause regulator backlash.

"This is an opportunity for the American sports wagerer ... I'm not sure whether it is an opportunity for company," he states. "It actually depends on the result of [state] legislation and how the organization operators pursue the opportunity."

'It will be partnerships'

As legalisation begins, sports wagering companies are lobbying to fend off high tax rates, along with requests by US sports leagues, which desire to gather a portion of income as an "integrity fee".

International business face the included difficulty of an effective existing gaming industry, with casino operators, state-run lottos and Native American people that are looking for to defend their turf.

Analysts state UK companies will require to strike partnerships, providing their competence and technology in order to make inroads.

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

"It will be a win-win for everybody, but it will be collaborations 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 realities.

The company has been buying the US market considering that 2011, when it bought 3 US companies to establish a presence in Nevada.

William Hill now utilizes about 450 individuals in the US and has announced collaborations with gambling establishments in Iowa and New Jersey.

It works as danger manager 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 become a home name in Nevada but that's not necessarily the goal all over.

"We definitely plan to have an extremely significant brand name presence in New Jersey," he said. "In other states, it will simply depend upon guideline and potentially who our regional partner is."

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