It’s been said time and time again that betting is on the rise. Thanks to legalizes sports betting gaining steam throughout the U.S. and platforms advertising in nationally televised games, the industry has grown significantly over the past few years. Internet casinos and online sportsbooks have effectively brought the feel of a Las Vegas casino right to your smartphone. However, not every state is on board with the new wave of easy wagering, which means the industry still has room to grow. In fact, we now have a hypothetical number if the entire country were on board with fully legal wagering. It might be difficult to imagine right now, but the truth is that we could someday have a betting industry that’s fully legal across all 50 states. Here’s what the industry could look like someday in the future.
Sports Betting and Internet Casino Industry Could be Worth $40 Billion
Some new estimates provided by Eilers & Krejcik Gaming indicate that the world of gambling could see a massive jump with widespread legalization. According to the company, online sportsbooks and internet casinos could see $40 billion in revenue if all 50 states fully embraced legalization.
The company has some lofty expectations for sports betting alone, with a projected $5.8 billion in revenue by the year 2023. They also have some major predictions for iGaming, with an expected $3.7 billion in revenue next year and a possible $20.8 billion if the entire U.S. is officially legalized.
Sports Betting Numbers Already Growing
The numbers for sports betting are already growing in the U.S. from year to year. From July 2020 to July 2021, sports betting numbers shot up 435%. The total revenue is confirmed to be $2.12 billion across the U.S. One of the major players in the growth has been New Jersey, which has alone been responsible for $423 million dollars from January to July 2021. In addition to Washington D.C., sports wagering is currently legal in 26 states in the U.S. Don’t be too shocked if that number continues to grow in the next year alone.
According to Eilers & Krejcik Gaming, the current market share leaders are BetMGM, DraftKings, and FanDuel. In fact, some reports indicate that FanDuel was in control of as much as 45% of the market by the end of Q2.
iGaming Gaining Steam as Well
Eilers & Krejcik Gaming isn’t the only company with high hopes for iGaming. While the online casino industry revenue is estimated to be $1.5 billion at the time of this writing, Goldman Sachs estimates that number to skyrocket to $14 billion by 2033. Those are some high expectations, with an estimated annual growth rate of 27%. There are a few reasons companies are betting big on iGaming. Mainly, the option is attractive due to lowered costs and improved profit margins. Additionally, some believe it is a more attractive option than sports betting, mostly thanks to fewer incentives and promotions needed in comparison. Some also believe that iGaming users tend to stay with the same platforms longer.