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

From Tuesday, new rules on wagering entered into impact in Delaware, a tiny east coast state about two hours from Washington.

Neighbouring New Jersey could start accepting sports betting bets as early as Friday.

The changes 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 industry sees a "as soon as in a generation" opportunity to establish a new market in sports-mad America, said Dublin-based monetary analyst David Jennings, who heads leisure research study at Davy.

For UK firms, which are coming to grips with debt consolidation, increased online competition and harder guidelines from UK regulators, the timing is particularly opportune.

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But the market says counting on the US stays a risky bet, as UK business face complicated state-by-state guideline and competitors from established local interests.

"It's something that we're really concentrating on, but equally we don't wish to overhype it," stated James Midmer, spokesman at Paddy Power Betfair, which just recently acquired the US fantasy sports website FanDuel.

'Take time'

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

Firms are wanting to tap into 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 judgment discovered the law was an over-reach of federal power. But the court it did not in fact legalise sports betting wagering, leaving that question to local legislators.

That is anticipated to cause considerable variation in how companies get certified, where sports betting can take place, and which events are open to speculation - with big implications for the size of the marketplace.

Potential revenue varieties from $4.2 bn to practically $20bn annually depending upon aspects like how lots of states move to legalise, Oxford Economics estimated in a 2017 study for the American Gaming Association.

"There was a great deal of 'this is going to be substantial'", said Will Hawkley, London-based head of leisure for consultants KPMG.

Now, he said: "I think a lot of people ... 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, handling director at Eilers & Krejcik Gaming, forecasts that 32 states will legalise sports betting in some type by 2023, developing a market with about $6bn in yearly income.

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

US laws restricted gaming mostly to Native American lands and Nevada's Las Vegas strip till reasonably recently.

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

States have also been slow to legalise numerous forms of online gaming, regardless of a 2011 Justice Department opinion that appeared to get rid of challenges.

While sports wagering is normally seen in its own category, "it plainly remains to be seen whether it gets the sort of momentum people believe it will," stated Keith Miller, law professor at Drake University and co-author of a book about sports betting wagering guideline.

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

Now a consultant, he states UK firms ought to approach the market carefully, picking partners with caution and preventing mistakes that could lead to regulator backlash.

"This is a chance for the American sports betting wagerer ... I'm unsure whether it is a chance for business," he states. "It actually is dependent on the outcome of [state] legislation and how business operators pursue the opportunity."

'It will be partnerships'

As legalisation begins, sports betting firms are lobbying to fend off high tax rates, in addition to requests by US sports leagues, which wish to collect a portion of income as an "stability cost".

International business face the added obstacle of a powerful existing video gaming market, with casino operators, state-run lotteries and Native American tribes that are looking for to protect their turf.

Analysts say UK companies will need to strike partnerships, offering their expertise and technology in order to make inroads.

They point to SBTech's current statement that it is providing innovation for Kentucky Derby operator Churchill Downs as an example of the kind of offers 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 just depend'

Joe Asher, primary executive at William Hill US, is clear-eyed about the realities.

The business has actually been investing in the US market because 2011, when it acquired 3 US firms to establish a presence in Nevada.

William Hill now utilizes about 450 people in the US and has actually announced collaborations with casinos in Iowa and New Jersey.

It works as threat supervisor for the Delaware Lottery and has actually invested millions along with a local developer 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 goal everywhere.

"We definitely intend to have a really substantial brand existence in New Jersey," he said. "In other states, it will simply depend upon guideline and possibly who our local partner is."

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