Instead of retreating, industry leaders are intensifying their digital growth, emphasizing online casinos and sports betting as important future income generators.
Despite escalating apprehensions over a global economic downturn induced by new trade tariffs, leading US casino and gaming executives have expressed confidence in their enterprises’ capacity to endure the challenges. In recent earnings discussions, executives from Caesars Entertainment and MGM Resorts noted that their financial performance for the first quarter remained robust, with improvements in certain areas compared to the same period last year.
Despite stable visitor numbers, casino executives focus on iGaming
Rather than reducing efforts, firm executives are intensifying their digital expansion, concentrating on online casinos and sports betting as vital revenue sources for the forthcoming years. Despite fluctuations in foreign tourism to Las Vegas, particularly with a notable decline in tourists from Canada, casino expenditures remained consistent across all sectors, as reported by Covers.
Tom Reeg, Caesars’ CEO, noted that consumer spending habits remain unchanged despite media reports emphasizing financial difficulties. The visitor count at the company’s sites remained stable through April, and Caesars anticipates no significant decline in attendance for the remainder of the second quarter.
Concerns over new tariffs increasing construction and operational expenses did not trouble several casino enterprises in Nevada. They stated that they have sufficient inventory for their forthcoming projects and would not immediately experience the impact of price increases.
Online Casinos: The Safety Net
Based on an article from Gambling.com, online betting and casino games are now seen as a means of safeguarding against potential financial difficulties. Caesars and MGM both generated greater revenue from online betting compared to the previous year. BetMGM transformed a substantial loss into a $22 million profit during the initial quarter of 2025. Caesars performed exceptionally, generating nearly eightfold revenue throughout the same year.
Rush Street Interactive of Chicago, which operates only online, had an increase in performance from its BetRivers brand, demonstrating the efficacy of digital models in the current market.
Gaming executives anticipate significant potential for expansion in online casino gambling. Although sports betting is now permitted in several jurisdictions, internet casino games, including blackjack and slots, are authorized in only four states: New Jersey, Michigan, West Virginia, and Pennsylvania.
Despite ongoing legislative resistance, sometimes arising from concerns over competition with physical casinos, industry leaders believe that the financial advantages of legalized iGaming will ultimately prevail. Regardless of an economic downturn, they maintain their emphasis on enhancing their digital products as a crucial component of long-term growth.
The statistics underlying the expansion of iGaming in the USA
Industry projections indicate that the U.S. online gaming sector will attain $26.8 billion in gross revenues by the conclusion of 2025. This is an increase from $23.4 billion in 2024. Future forecasts indicate that the market may exceed $41 billion by 2028.
New York continues to be a formidable force. The state’s mobile sports betting industry surpassed $2 billion in revenue in the past 12 months, becoming the first to achieve this milestone. New Jersey, Illinois, and Florida are projected to provide over $1 billion in yearly internet sports betting income.
Nonetheless, iGaming continues to exhibit significant concentration. According to the latest monthly data, New Jersey is poised to exceed $2 billion in yearly iGaming revenue. In October 2024, New Jersey’s internet gambling income surpassed that of land-based casinos under non-pandemic circumstances for the first time. Michigan and Pennsylvania consistently demonstrate robust growth, occasionally surpassing $200 million in monthly sales. Initiatives to spread iGaming outside these states have encountered significant opposition.
The possibility of other states entering the iGaming sector persists. States such as New York, Louisiana, and Maryland persist in examining legislative measures. Should any of these states legalize online casinos in 2025, market forecasts may escalate further. Industry experts contend that if New York legalizes online casinos, adjacent states may be compelled to reconsider their prohibitions. No state has officially connected its goals to New York. However, its market influence may affect regional perspectives. Despite existing challenges, Colorado and Wyoming may seek to enter the iGaming market.
Certain industry experts, like those at Gambling.com, propose that if any one of these states overcomes the opposition, it may initiate a domino effect. Achievement in a state like New York may compel other states to reevaluate their dissent. The financial potential is very significant to overlook, and state shortfalls may accelerate the movement towards legalization.
One thing is for certain, of all the industry sectors, iGaming is primed to be the future U.S. casino revenue.
