Why OpenBet & Sportradar Left the AGA Over Prediction Markets

David Moore · 2026-01-28

Here's something that caught my eye recently. Two major players in the gambling data world, OpenBet and Sportradar, are no longer on the American Gaming Association's member list for the upcoming year. That's a pretty significant move, and it's got everyone talking about why. They're not the first big names to walk away, you know. They're joining Fanatics, DraftKings, and FanDuel, who all left the industry association recently. For DraftKings and FanDuel, their exit was pretty straightforward—they jumped into prediction markets, and the AGA is firmly against that whole sector. The AGA's stance isn't subtle. They believe prediction markets undermine state gaming laws and siphon off tax revenue that would otherwise go to state coffers. It's a fundamental clash of visions for the future of gaming. ### What Do OpenBet and Sportradar Actually Do? Now, here's the interesting part. Unlike DraftKings, OpenBet and Sportradar don't run sportsbooks you can bet on directly. You won't find their apps on your phone. Their business is in the background. They're the data powerhouses. They partner with the actual betting operators, providing the official data feeds that are used to set odds and manage risk. They're essential, but they're not consumer-facing brands in the traditional sense. So, why would they leave? Industry experts are pointing one finger: prediction markets. Sportradar itself said back in November that it sees serious growth potential in that space. OpenBet hasn't made a public statement, but the timing and the company's strategic direction make the connection hard to ignore. ### The AGA Doubles Down on Its Opposition While these tech providers are eyeing new opportunities, the AGA is moving in the opposite direction. They're actively trying to curb prediction market platforms. Just earlier this month, they teamed up with the Indian Gaming Association to send a joint letter to Congress. The message? It's time to rein this sector in. Their arguments center on a couple of key points: - **Consumer Protection:** They express deep concerns about user safety on these new platforms. - **Legal Circumvention:** They argue prediction markets are finding ways around established state gaming laws and regulations. There's one specific issue that really highlights the regulatory gap. On most prediction market sites, you only need to be 18 years old to participate. Compare that to the legal sports betting age in most states, which is firmly set at 21. That's a three-year difference that raises a lot of eyebrows about consistency and protection. ### What This All Means for the Industry This isn't just a minor disagreement. It's a sign of a major fault line developing within the gambling industry itself. On one side, you have the established trade body advocating for the current, state-regulated model. On the other, you have innovative companies—both operators and their vital tech partners—seeing a future in a different kind of market. The exits of OpenBet and Sportradar are particularly telling. When the companies that provide the foundational data start to distance themselves from the main industry association, it signals a shift in where the industry's momentum might be heading. It feels like we're watching the beginning of a new chapter, one where the rules of the game are being rewritten, and not everyone agrees on the final draft. As one analyst put it recently, "When your suppliers start looking the other way, you know the landscape is changing." It's going to be fascinating to see how this tension between innovation and regulation plays out in the months to come.