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AGA

New AGA Report Shows Americans Gamble More Than Half a Trillion Dollars Illegally Each Year

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2 years ago

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Americans gamble an estimated $511 billion each year with illegal and unregulated sportsbooks, iGaming websites and so-called “skill games,” according to a new report from the American Gaming Association.

This illegal wagering robs state governments of $13.3 billion in tax revenue annually, nearly $2.5 billion more than legal operators generated in 2021 ($11.7 billion). It also costs the legal gaming industry $44.2 billion in annual revenue, or nearly half of the $92 billion in combined commercial and tribal revenue in 2021.

 

“Illegal and unregulated gambling is a scourge on our society, taking advantage of vulnerable consumers, skirting regulatory obligations and robbing communities of critical tax revenue for infrastructure, education and more,” said AGA President and CEO Bill Miller. “We have always known that the illegal and unregulated market is expansive, but this report illuminates just how pervasive it is.”

Sports Betting Findings

AGA’s report estimates that Americans wager $63.8 billion with illegal bookies and offshore sites at a cost of $3.8 billion in gaming revenue and $700 million in state taxes. With Americans projected to place $100 billion in legal sports bets this year, these findings imply that illegal sportsbook operators are capturing nearly 40 percent of the U.S. sports betting market.

While the numbers are significant, they also demonstrate Americans’ movement to the regulated market with legal sports betting’s expansion to 36 states and the District of Columbia.

The report also found that 49 percent of past-year sports bettors have placed a bet with an illegal operator. Previous AGA research shows that more than half of Americans that bet on sports with illegal operators believe they are wagering legally.

iGaming Findings

Americans wager an estimated $337.9 billion with illegal iGaming websites, with a loss of $3.9 billion in state tax revenue. With $13.5 billion in estimated revenue, the illegal iGaming market in the U.S. is nearly three times the size of the legal U.S. iGaming market, estimated to be $5 billion in 2022.

With iGaming only legal in six states, nearly half of Americans (48%) that have played online slots or table games in the past year have played with illegal online casinos.

Unregulated “Skill Machine” Findings

Unregulated gaming machines also continue to proliferate, with an estimated 580,651 unregulated machines in the U.S. With 870,000 regulated machines in casinos and slot routes, that means 40 percent of all gaming machines in the U.S. are unlicensed.

Based on state regulatory data for similar machines, the operator win percentage on unregulated gambling machines is significantly higher than legal casino slot machines. During the past 12 months, slot machines in Nevada have a 7.16 percent win rate, compared to a nearly 25 percent estimated win rate for unregulated machines—demonstrating how unregulated machines take advantage of customers.

“All stakeholders—policymakers, law enforcement, regulators, legal businesses—must work together to root out the illegal and unregulated gambling market. This is a fight we’re in for the long haul to protect consumers, support communities and defend the law-abiding members of our industry.”

Methodology

The study was conducted by The Innovation Group on behalf of the American Gaming Association and is based largely on a survey of 5,284 U.S adults, examining their past-year gambling behaviors with both legal and illegal operators as well as their observations of unregulated gaming machines. It also incorporates publicly available data on the size of the legal U.S. gaming market and certain state gaming machine markets.

Background

  • Commercial or tribal casino gaming is legal in 36 states, iGaming is legal in six states, and sports betting is legal is 36 states and Washington, D.C.
  • AGA’s State of Play Map provides a state-by-state look at legal, regulated gaming in the U.S.
  • StopIllegalGambling.com provides additional resources for consumers, industry stakeholders and media to raise awareness on the importance of eliminating illegal gambling and bolster efforts to combat illegal operators.
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AGA

Americans to Legally Wager Estimated $3.1 Billion on March Madness

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2 weeks ago

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March 17, 2025

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The American Gaming Association (AGA) estimates that Americans will legally wager $3.1 billion on the men’s and women’s college basketball tournaments this year, up from $2.7 billion in 2024. This growth underscores the expanding legal sports betting market and the growing trust in legal wagering options. 

“March Madness is one of the most exciting times in American sports, with fans fired up for both the men’s and women’s NCAA tournaments,” said AGA SVP of Strategic Communications Joe Maloney. “As legal wagering expands across the U.S., more fans than ever have the opportunity to bet legally and responsibly.” 

Throughout the month of March, Have A Game Plan.® Bet Responsibly.™ campaign will serve important messages to fans, encouraging responsible sports betting. The campaign promotes five key principles: 

  • Set a Budget: Determine how much you are willing to spend and stick to it. 
  • Keep it Social: Betting should be a form of entertainment shared with others. 
  • Know the Odds: Understand the games and your chances of winning. 
  • Play Legally: Use regulated, legal betting platforms.  
  • Keep Your Cool: The result of a bet – win or lose – is not an invitation to criticize players, coaches, or officials online or in-person.  

“‘Keep Your Cool,’ our newest ‘Have A Game Plan’ principle, is all about keeping betting fun and respecting the game – no matter how unpredictable March Madness becomes,” Maloney added. 

Since the U.S. Supreme Court’s decision to overturn PASPA in 2018, legal sports betting has expanded to 38 states and Washington, D.C., offering consumers safe and regulated options to engage with their favorite sports. Americans’ support for legal sports betting continues to grow. According to the AGA’s 2024 American Attitudes Survey, 75% of Americans support legal sports wagering in their home state, and 90% view sports betting as an acceptable form of entertainment. 

For more information on responsible sports betting, visit www.haveagameplan.org. 

The post Americans to Legally Wager Estimated $3.1 Billion on March Madness appeared first on Gaming and Gambling Industry in the Americas.

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AGA

Americans to Wager Estimated $1.39 Billion on Super Bowl LIX

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2 months ago

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February 6, 2025

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The American Gaming Association (AGA) estimates that Americans will wager a record $1.39 billion legally on Super Bowl LIX, highlighting the continued expansion and enthusiasm around the legal sports betting market.

“No single event unites sports fans like the Super Bowl, and that excitement extends to sports betting, with this year’s record legal handle reflecting its widespread appeal,” said Bill Miller, AGA President and CEO. “This figure underscores the positive impact of the legal market—from protecting consumers to generating tax revenue that benefits communities across the country—while enhancing the game experience for all.”

Americans’ support for legal sports betting continues to grow. According to the AGA’s 2024 American Attitudes Survey, 75% of Americans support legal sports wagering in their home state, and 90% view sports betting as an acceptable form of entertainment. Since the Supreme Court struck down PASPA in 2018, 38 states and D.C. have launched legal sports betting markets, expanding consumer access to safe, regulated options.

With Super Bowl LIX marking another major milestone in the growth of the legal U.S. sports betting market, the AGA is committed to fostering a thriving legal market that promotes responsible gaming, safeguards consumers, and supports long-term economic growth. As part of this effort, the AGA is once again partnering with New Orleans Saints great, college football analyst and responsible gaming ambassador, Mark Ingram II, at Super Bowl LIX. Mark will appear on Radio Row on behalf of AGA’s Have A Game Plan.® Bet Responsibly.™ campaign. He will encourage bettors to bet legally and responsibly on Super Bowl LIX.

The post Americans to Wager Estimated $1.39 Billion on Super Bowl LIX appeared first on Gaming and Gambling Industry in the Americas.

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AGA

Commercial Gaming Revenue Growth Continues in Q3 2024, Driving Industry’s 15th Consecutive Quarter of Growth

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4 months ago

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November 21, 2024

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U.S. commercial gaming revenue reached $17.71 billion in Q3 2024, the industry’s highest-grossing Q3 on record, according to the American Gaming Association’s (AGA) Commercial Gaming Revenue Tracker. This makes Q3 2024 the industry’s 15th consecutive quarter of annual revenue growth, with September marking the 43rd straight month of rising year-over-year commercial gaming revenue.

Through the first nine months of the year, nationwide commercial gaming revenue stands at $53.24 billion, pacing 8.0 percent ahead of 2023 and putting the industry on track for a fourth straight record revenue year.

In Q3 2024, 29 of the 35 commercial gaming jurisdictions operational last year saw increased year-over-year revenue. This growth resulted in an 8.9 percent year-over-year increase in state and local taxes tied directly to gaming revenue, with commercial gaming operators contributing $3.79 billion in taxes across the quarter.

Quarterly revenue from land-based gaming – encompassing casino slots, table games and retail sports betting – totaled $12.56 billion, 0.62 percent lower than Q3 2023. Meanwhile, combined revenue from online sports betting and iGaming totaled $5.14 billion in Q3 2024 as online gaming made up 29.0 percent of commercial gaming revenue, a significantly higher share than in Q3 2023.

Looking at each sector in Q3 2024:

  • Traditional Gaming: Traditional brick-and-mortar casino gaming generated quarterly revenue of $12.38 billion, a contraction of 0.9 percent year-over-year.
  • Legal Sports Betting: Americans legally wagered $30.3 billion on sports, generating $3.24 billion in quarterly revenue (+42.4% YoY). Recent market launches in Kentucky, Maine, North Carolina and Vermont contributed to this growth.
  • iGaming: iGaming generated $2.08 billion in revenue, marking a 30.3 percent year-over-year increase.

“Q3 2024 continued gaming’s momentum from the first half of the year, with online casino and sports betting driving strong growth. At the same time, new brick-and-mortar casino openings bolstered traditional gaming, which still accounts for the bulk of industry revenue,” said AGA Vice President of Research David Forman. “More than a quarter of commercial revenue now regularly comes from online sources, raising the importance of continued sustainable growth with consumers in those states.”

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