Online Casinos and Sports Betting Propel Commercial Gaming Industry to Record High

Posted on: February 19, 2025, 12:57h. 

Last updated on: February 19, 2025, 01:08h.

Devin O'Connor @CasinoorgDevinO Read More
Expertise: Asia Pacific Gaming, Commercial Gaming, Legislation, Politics.
  • Commercial gaming revenue totaled $71.9 billion in 2024
  • Online casinos and sports betting were most responsible for the 7.5% year-over-year growth
  • Unregulated, illegal gambling remains a concern

Online casino gambling and sports betting helped the United States commercial gaming industry reach a new high in 2024.

online casinos sports betting revenue AGA
Though brick-and-mortar casino revenue grew less than 1% in 2024, iGaming and sports betting continued to blossom. The American Gaming Association reports that 2024 was a banner year for the commercial gaming industry. (Image: Shutterstock)

The American Gaming Association (AGA) reported Wednesday that gamblers and bettors lost more money in 2024 than they did in any year before. Commercial gaming revenue totaled more than $71.9 billion, a year-over-year increase of 7.5%.

2024 marked the fourth straight record revenue year. While the COVID-19 pandemic was initially credited for the unprecedented growth, as pent-up demand and Americans seeing their bank accounts grow with government stimuli, iGaming and the continued expansion of legal sports betting have maintained the rally in recent years.

The AGA yearly report shows that while legacy gambling, or in-person casino gross gaming revenue (GGR), expanded by less than 1%, sports betting and iGaming win respectively surged by 25.4% and 28.7% compared with 2023.

In 2024, Americans embraced the diverse legal gaming options available to them — whether in casinos, at sportsbooks, or online — leading to another record-setting year for our industry,” said AGA President and CEO Bill Miller. “As we build on this success, the AGA remains committed to fostering additional growth that benefits consumers, operators, and communities alike.”

The AGA report tallied gross revenues from commercial casinos, retail and online sports betting, and iGaming. Gaming revenue from tribal operations was not included, nor was lottery gaming. 

online casinos sports betting revenue AGA
(Image: AGA)

Casino Industry Finds ‘Unprecedented Success’

Legal gambling is more widespread in the US than ever before. There are 27 states with commercial casinos, 39 states and Washington, DC have legal sports betting, and seven states have legal iGaming with online slots and interactive table games.

The many gaming options led to record revenue for the commercial gaming industry, which in turn delivered record tax revenue to state and local governments. The AGA estimates that commercial gaming operators paid almost $16 billion in taxes in 2024.  

“Commercial gaming continues to demonstrate unprecedented success,” Miller added. “Much of this growth has been driven by the continued expansion in online gaming and sports betting.”

Despite significantly lagging iGaming and sports betting in terms of year-over-year growth, Miller declared that the state of legacy gaming remains strong.

Traditional brick-and-mortar operations have shown their resilience against macroeconomic headwinds, particularly in Las Vegas, which has experienced months of softer revenue in late 2024 compared to the previous year’s highs,” Miller explained.

The nation’s top gaming lobbyist concluded by saying the 2024 numbers show that the industry continues to field “growing public support.”

Unregulated Gaming Remains Paramount 

Unregulated and, therefore, illegal online gambling websites remain a primary focus of the AGA, which continues to encourage federal and state law enforcement agencies to crack down on such internet enterprises.

A growing threat to the regulated iGaming market is controversial “sweepstakes” platforms, which bill themselves as social gaming outlets. Critics, however, say they constitute illegal gambling. Unregulated skill games, the AGA believes, also threaten brick-and-mortar casinos. The slot-like devices are widespread in several states, including Pennsylvania, Missouri, Texas, Illinois, and Wyoming.

“[Unregulated gaming] builds nothing of lasting economic value and undermines both the industry’s integrity and the community’s well-being,” Miller declared.