U.S. iGaming Revenue Surges in 2025

The numbers are in and clearly, the U.S. iGaming industry continues to thrive. Data was released last week by the American Gaming Association (AGA), showing an increase of 7.5% year-over-year in 2024 for all sources of commercial gambling revenue.

Online gamblers deserve a lot of credit as online sports betting and casinos made huge contributions to the increase. The iGaming sector had a great year, showing a rise of 28.7% over 2023 with an amazing increase of 33.1% popping up in Q4 versus last year.

It's worth noting that America's retail casino community had another record-breaking year, showing an increase in revenue of approximately .8%. It's not a big increase, but a record is a record. It's further noteworthy that retail casinos picked up steam in the 4Q with an increase of 2.3% in revenue. With both the retail and online casino sectors showing momentum in Q4, the outlook for 2025 looks good.

Other Records Reported by the AGA

The good news seemed to come across the board. Brick-and-mortar casinos reported annual revenue of $49.8 billion with $12.86 billion of that total coming in Q4. Both numbers are records for the year and Q4, respectively.

The $49.8 billion amount represented an annual growth rate of $8.4 billion over 2023 while the $12.86 billion amount represented a Q4 growth rate of $2.8 billion versus 2023, both record growth rates.

A Look at the U.S. iGaming Sector

Given the heavy contributions by the U.S. iGAming sector, it would seem a deeper look into the numbers is in order. Remember, only eight (8) states report online casino gambling revenue. Of those eight (8) states, only seven (7) of those states license iGaming operators, including

• Connecticut


• Delaware


• Michigan


• New Jersey


• Pennsylvania


• Rhode Island


• West Virgina
  

Here is a look at the full-year revenue and percentage increase for each of the eight states that report revenue:

Connecticut - $761.3 million, 31.3%
Delaware - $544.3 million, 8.3%
Michigan - $4.2 billion, 17.1%
Nevada - $15.6 billion, .5%
New Jersey - $6.3 billion, 9.8%
Pennsylvania - $6.8 billion, 10.3%
Rhode Island - $711.1 million, .5%
West Virginia - $874,8 million, 9.1%

While Nevada's contribution is quite large, online casinos are still not legal through online casino gambling is allowed through social iGaming sites, which are counted in these numbers. Kudos go to online casino players in Michigan who truly pushed the numbers into record territory.

Note: Of the major casino gaming providers who run both retail and online operations, only MGM Resorts has reported its 2024 numbers. Based on the reported number, there is very little evidence that online casino gambling will adversely affect retail operations. This information matters because multiple states use the fear of retail casino cannibalization as a primary reason they don't support the legalization of online casino gambling. Maybe some of those states will be paying attention to this data.