iGaming Pushes Total US Gambling Revenue Above $16.1B in the Second Quarter

Article by : Erik Gibbs Aug 18, 2023

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The gaming industry remains on an exponential rise, and businesses continue to prove why there is plenty of money to be made in gaming and betting. The industry reported the second-highest revenue over a quarter in its history.

The reports still showed values slightly lower than in Q1 of 2023. Yet, Q2 for 2023 surpassed Q2 of 2022 by more than an 8% increment in revenue. To financial experts, this is just another sign demonstrating how the gaming industry continues solidifying in the US market.

The revenue from commercial gaming in the US gambling industry surpassed the $30 billion mark in the year’s first half. That is equivalent to an increase of 12% compared to the previous year.
In parallel, local governments have also seen their tax revenues increase. The gaming tax revenue for state and local governments will be just above the $7-billion mark. Compared to last year, that amounts to a rise of approximately 12.9%. According to various financial analysis institutions, this year might break the record for the highest tax revenue collected from gaming and by state governments in the history of the business.

According to the president and CEO of the American Gaming Association, Bill Miller, like any other business, financial and economic impacts benefit local communities. The overall impact the industry has had on local economies takes a lot of work to track. Yet, generating jobs, side businesses, and even bursting local commerce are some predicted benefits.

While internet gaming services remain rising, its land-based casino operations continue leading the stats. Over two-thirds of the revenue recorded by the AGA comes from land-based gaming operations. Still, growth in the online sports betting and gaming industries has also had a significant impact.

Land-based slot machines, table games, and retail sports betting, all together, accounted for over $12 billion in Q2. That is almost 1% from 2022. These stats contrast with the $3.68 billion, or 43.1%, increase in online gaming revenue.

Thanks to the newly ascended operators throughout various states, the online gaming industry has expanded its offer in newly approved territories. Kansas, Maryland, Massachusetts, and Ohio have all adopted online gaming and sports betting since last year.

Online and offline sports betting accounted for $2.3 billion in revenue for Q2 of 2023. This indicates an increase of more than 50% compared to last year. However, Q2 revenue was lower than Q1, given lighter calendars in the sports industry.