AGA anticipates cooling-off for US iGaming in 2025

Article by : Charles Perrin Oct 9, 2024

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iGaming in the US appears primed to be heading into a cooling-off period over the next 12 months.

That is the worrying and damning prediction made by the American Gaming Association (AGA) who shared their thoughts after carrying out their biannual studdy of trends and forecasts in the gaming sector.

During 2024, iGaming, broadly speaking across the US, experienced a huge surge, and it has seen some states embrace it.

Although iGaming operators appear to be well positioned, it is thought that fears over the economy are driving the lukewarm atmosphere.

Indeed, the report suggested that the level of fear among CEOs in relation to iGaming grew by 22% compared to the findings published in the 2024 AGA spring report.

Apart from an overall industry slide, CEOs are convinced that the pace of hiring and revenue growth will begin to decline.

This was outlined in the Future Conditions Index, which takes into account the opinions of gaming CEOs.

It read: “The Future Conditions Index reflects gaming CEO growth expectations that have softened relative to six months ago – with the share of executives expecting decelerating growth outweighing those expecting accelerating growth – and an economy that has had solid growth recently, but which is expected to slow moderately in coming quarters.”

Aside from trepidation over the economy, the AGA’s outlook report shows the number of CEOs who think gaming conditions will fall over the next 3 to 6 months.

This is 28% higher than those who took more of an optimistic stance.

The US will undergo some significant changes over the next few months, and with an election on the horizon, it will be interesting to see what stance the incoming president takes.

For now, at least, things may not seem as gloomy as the AGA might be purporting.