US gaming revenue to surpass $67 billion in 2024

Anchal Verma December 27, 2024

SiGMA news

The American gaming industry continues to break records, with 2024 shaping up to be its most successful year yet. The American Gaming Association (AGA) has projected that US commercial gaming revenue will surpass $67 billion this year, marking a four-year streak of record-breaking performance. Revenue through September has already reached $53.24 billion, an 8 percent year-on-year increase. This growth underscores the industry’s resilience and ability to adapt, with online gaming emerging as a significant driver of success.

Online gaming powers growth

Explosive growth in online gaming has been at the heart of the performance of the industry in 2024. iGaming revenues grew 30.3 percent in just the third quarter, growing to $2.08 billion. Meanwhile, the revenue from sports betting rose an eye-popping 42.4 percent to $3.24 billion. Altogether, these channels account for 29 percent of the revenue generated by the industry-an indication of consumer preference.

Bill Miller, President and CEO of the AGA, highlighted the role of digital innovation in attracting younger audiences. “The average age of a casino visitor has dropped from 50 to 42,” Miller noted, emphasising the industry’s ability to evolve and engage new generations of customers.

Brick-and-mortar casinos stay resilient

Even though the traditional casinos suffered a rather minor decline of 0.9 percent in Q3 revenue, which amounted to $12.38 billion, they still form the foundation of the industry. New casino openings and healthy consumer demand have been supporting brick-and-mortar establishments against other economic pressures.

The slight dip does not overshadow the sector’s importance, as many casinos continue to thrive by integrating modern amenities and experiences to attract visitors. The AGA is optimistic that traditional casinos will remain relevant as part of a balanced gaming ecosystem.

Growth in the gaming industry has also led to more efforts toward anti- illicit operations and ensuring a level playing field. For one, the AGA has recently boasted of regulatory oversight with the recent win it has obtained in the court in Virginia against unlicensed gaming machines.

Economic impact and tax revenue

This industry was performing at a record-breaking level, affecting state and local budgets. In just one third quarter, gaming activities had yielded 3.79 billion in taxes, up 8.9 percent from 2023. That money is there to fund critical public services, including education, infrastructure, and healthcare.