Michigan on Track To Set New iGaming Revenue Record This Year

Article by : Erik Gibbs Jul 3, 2024

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Michigan’s online casino industry is on pace to set a new revenue record in 2024, outstripping the previous year’s total. The state has seen consistent revenue growth over the last three months, positioning it as the second-highest earning state for online casinos in the nation, just behind Pennsylvania.

This significant revenue rise was evident in the first five months of 2024, suggesting that Michigan is well on its way to achieving an impressive yearly increase.

In 2023, Michigan’s online casinos generated $1.92 billion, narrowly missing the $2 billion milestone. Projections for 2024 are more optimistic, with an anticipated increase in annual revenue by approximately $400 million.

So far, Michigan has accumulated $976.6 million in revenue, averaging $195.3 million per month. If this trajectory continues, Michigan’s online casino revenue could reach $2.34 billion by year’s end.

The monthly revenue trends have shown a robust performance with no signs of deceleration. Although the summer months might see a slight dip in earnings, the fall is traditionally a peak season for gambling.

Over the past three months, Michigan’s online casino platforms have consistently generated at least $190 million each month. March was particularly notable, with $215.2 million in revenue, and the subsequent two months recorded the second-highest revenue totals in the state’s history.

The Michigan Gaming Control Board is expected to release the June revenue totals in mid-July, which will provide further insight into the summer performance.

A significant factor in Michigan’s thriving online casino market is the fierce competition between major players BetMGM and FanDuel. BetMGM had dominated the state’s earnings for 39 consecutive months until FanDuel surpassed it in March and April.

However, BetMGM reclaimed the top spot in May by a narrow margin of $100,000, highlighting the competitive nature of the market. BetMGM’s offering includes 1,821 slot titles, an increase from 1,360 in December, whereas FanDuel has expanded its selection to 1,110 slots from 855. Despite having fewer games, FanDuel has managed to stay neck and neck with BetMGM.

The competitive landscape extends beyond the top contenders, with second and third-tier platforms also performing well. In May, five online casinos in Michigan reported earnings ranging from $4 million to $12.5 million, indicating a healthy market with multiple successful operators.

The market is poised for further changes and potential growth with new licenses and market entrants. In May, Evoke (formerly 888 Holdings) announced that Sports Illustrated (SI) will exit the Michigan gambling market by the end of 2024.

SI has been the lowest-earning online casino in the state, with monthly revenues never exceeding $1.9 million. SI’s exit will leave Hannahville with an open license, and Hard Rock is the leading candidate to take over this position.

Hard Rock acquired 888 Holdings’ assets in March and will need to apply for its own online casino license to operate in Michigan. Hard Rock’s performance in New Jersey, where it recorded nearly $9 million in revenue in May, suggests it could be a strong addition to Michigan’s market.