American Gaming Association Turns 10 as iGaming Grows in the US

Article by : Erik Gibbs Nov 7, 2023

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There’s more reason for celebration as the iGaming industry is on a steady rise. iGaming operators have collectively generated an impressive $16.3 billion in total gross gaming revenue (GGR), contributing over $4 billion in tax payments, as reported by the AGA.

Pennsylvania leads the pack in terms of total iGaming revenue, contributing $1.83 billion in tax revenue. Following closely, New Jersey and Michigan are in the second spot, each surpassing the $1.3 billion mark.

As of 2023, iGaming states have accumulated slightly over $3.9 billion, marking a substantial year-over-year increase of 22.7%.

The legal landscape of iGaming continues to change and evolve. Currently, iGaming is accessible to approximately 13% of the adult population in the United States.

Seven states have embraced iGaming, with New Jersey, Michigan, Pennsylvania, West Virginia, Connecticut and Delaware offering comprehensive iGaming options.

Rhode Island became the seventh state to approve iGaming in 2023 and is currently in the prelaunch phase, expected to be fully operational by Spring 2024.

One of the key objectives of legalizing online casinos was to curtail the black market, but this goal remains largely unmet. The AGA reports that Americans continue to wager as much as $338 billion annually with illegal operators due to limited legal alternatives.

The AGA’s focus on the economic impact of the casino industry has always been a concern and a main point to analyze.

In October, the American Gaming Association (AGA) unveiled a study highlighting the significant economic influence of the casino gambling industry, revealing an annual economic activity of nearly $329 billion.

This marked the first study released by the association since 2018, and it indicated that 2023 is on track to surpass previous records.

David Schwartz, a gambling historian at the University of Nevada Las Vegas, observed that the enduring popularity of casino gambling in the US is evident.

Looking ahead to the 2024 legislative calendar, the AGA is eyeing several states for the potential passage of successful new iGaming bills. In 2023, states like New York, Illinois, Indiana, Kentucky, Maryland and New Hampshire saw online gaming bills fail to pass.