The American Gaming Association (AGA) has confirmed another record-breaking year for the commercial gaming industry, with total revenue hitting $71.92 billion in 2024. That’s a 7.5% jump from the previous year, marking the fourth consecutive year of growth. And that’s just the commercial side—when tribal gaming revenue is factored in, the total U.S. gaming industry is projected to top $115 billion for the year.
AGA President and CEO Bill Miller was optimistic, calling 2024 a “positive story” for the industry’s continued strength. But while the overall numbers are impressive, some areas saw shifts—especially in sports betting and table games, which had mixed results throughout the year.
Live Casino Revenue Sees Growth, But December Dips
While 2024 was a historic year for gaming, December took a hit. The month’s total gaming revenue dropped 2% compared to December 2023, marking the first monthly decline in nearly four years. However, the final quarter still managed to set a record, showing overall industry resilience.
A key factor behind the December slump? Sports betting had an unusually low hold rate, meaning operators won less from bettors than expected. Still, brick-and-mortar casinos had a solid year, bringing in $50.32 billion—or about 70% of total revenue.
Here’s how the core segments performed in 2024:
- Slot machines: $36.06 billion (+1.6%)
- Table games (e.g., blackjack, poker): $10.14 billion (-1.7%)
- Retail sports betting: $13.71 billion (+25.4%)
Even with table games dipping slightly, the demand for in-person gambling remains strong. Retail sports betting, in particular, saw a surge, up more than 25% year over year, reflecting the growing popularity of legal sports gambling across the U.S.
Online Gambling Surges as More Americans Bet Digitally
It’s no secret that online gaming has been on fire, and 2024 was no exception. Digital gambling—including online sports betting and casino games—accounted for $21.54 billion in revenue, making up 30% of the entire industry’s total earnings.
Online casino gaming alone jumped 28.7% to $8.4 billion, as more states embraced digital wagering. Sports betting and iGaming now generate the majority of commercial gaming revenue in 13 states, including key markets like New Jersey, Pennsylvania, and Michigan.
This shift isn’t slowing down, either. Experts predict that as more states legalize digital gambling, online revenue will eventually rival or even surpass traditional in-person casino earnings.
States and Local Governments Reap Billions in Gaming Taxes
Beyond the casinos and online platforms, one major winner in all of this? State and local governments.
Gaming operators paid an estimated $15.66 billion in gaming taxes in 2024, an 8.5% increase from 2023. Just in the fourth quarter alone, $4.01 billion was collected in taxes, marking another 8.4% jump compared to the previous year.
One important note: these figures only include direct taxes on gaming revenue. They don’t account for other contributions like:
- Annual licensing fees
- Federal sports betting excise taxes
- Corporate income taxes
- Payroll and sales taxes
When all of these are factored in, the industry’s total tax contributions soar even higher, making gaming a major economic driver at both the state and national levels.
What’s Next for the U.S. Gaming Industry?
With four straight years of record-breaking revenue, the gambling industry is proving to be one of the most resilient sectors in the U.S. economy. But where does it go from here?
- More states are expected to legalize online gambling: The success of iGaming in Michigan and Pennsylvania could push other states to follow suit.
- Sports betting continues to grow: The Super Bowl and March Madness could set new records for sports wagering in 2025.
- Casinos must adapt: As digital gambling eats into brick-and-mortar revenue, casinos may need to rethink their strategies to keep foot traffic high.
One thing is certain—Americans aren’t slowing down on gambling anytime soon.
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