The rise of the U.S. online gambling market has been truly staggering over the past few years, but this is only the start of a period of incredible growth. Analysts are reporting that the market could reach a value of $143 billion by 2028, and it’s increasingly hard to disagree with them. From sportsbooks to online casinos and sweepstakes platforms, Americans have a veritable banquet of fun gambling options in front of them—it’s no surprise they’ve been so successful.
If you’re struggling to see why, just consider the abundant opportunities that sports betting, online casinos and other online gambling platforms offer. Sportsbooks provide odds on everything from the Super Bowl to local field hockey, while online casinos are loaded with thousands of online slots, live dealer games and other iGaming options.Â
Let’s look at how accurate the claim that the U.S. online gambling market could hit $143 billion by 2028 really is:
How has the U.S. online gambling market expanded since 2018?
Before we get into the question of the potential value of the U.S. online gambling market by 2028, it’s worth taking a moment to explain how the market has even gotten this far. While some smaller variations of online gambling were legal before 2018, the Supreme Court’s decision to overturn the Professional and Amateur Sports Protection Act was a pivotal moment.
The decision allowed states to formalize their own gambling regulations, and New Jersey—the instigators of the legal challenge against the federal government—was the first state to take advantage. Mere months after PASPA was overturned, the Garden State pushed through legislation to legalize online gambling, and an exciting new world was made possible.
The floodgates didn’t open as some analysts expected after New Jersey, but it wasn’t long before other states, including Pennsylvania and Colorado, wrote their own online gambling legislation. As of March 2024, almost 40 states offer some kind of online gambling, with North Carolina being the latest to launch legal sports betting.
Vital statistics for the U.S. online gambling market
How does this wave of legalizations translate into tangible data? Checking an overview of U.S. online gambling statistics is the best way to visualize the massive impact the Supreme Court’s decision has had.Â
The U.S. sports betting industry created almost $8 billion in revenue in 2022 alone, perfectly demonstrating the potential. Bear in mind, this was before several states had legalized sports betting themselves, and it doesn’t include other types of online gambling. By the end of 2023, the market had a value of close to $53 billion, so it’s easy to see why analysts are expecting it to break the $143 billion mark by 2028.
Popular U.S. online gambling activities
The statistics paint an impressive picture. The main online gambling activities that are fueling this unprecedented growth include:
Sports betting
Sports betting is by far the most popular gambling activity across the U.S., especially with the wave of recent legislations. Bettors can place wagers on a near-limitless array of global sports, with sportsbooks offering odds on a consistently increasing selection of sporting options. Major events like the Super Bowl are the most significant options, with bettors able to predict everything from the overall winner to the number of passing yards thrown by a particular quarterback.
Sweeps gambling
Sweepstake casinos have enjoyed a meteoric rise over the past decade, which is unsurprising considering their capacity to offer legal online casino titles to players in states where traditional online gambling is unavailable. Sweepstake platforms allow players to gamble using a virtual currency that can be obtained for free with no purchase necessary. For example, sweepstake casinos like High 5 Casino offer various ways to collect free tokens, including a no-deposit sign-up bonus and a referral scheme. Â
Horse racing betting
Horse racing betting has been an integral part of U.S. culture for more than a century, and it’s another highly popular online gambling option. Despite the strict laws on conventional sports betting, horse racing wagering was legalized in certain capacities after the Federal Interstate Horseracing Act in 1978. By the 1990s, online horse racing betting was taking off, and it continues to be a popular option in many states.
Online poker
Online poker is another part of the U.S. gambling industry that crept under the legal net. It was massively popular in the 1990s and early 2000s, although federal laws in 2006 and 2011 massively curtailed the industry. New legislation in many states was implemented by 2013, making online poker popular once again. The only problem was the obstacle of multi-state play, as a result, poker players can only compete against other people from their home state.
Online casino
Online casino gambling is legal in six states, and has experienced a slower ascent than sports betting. Nevertheless, the market is big business, with American gamblers able to play slots, live dealer titles and other games without going to an actual casino institution.
The future of U.S. online gambling
As you can see, the U.S. online gambling market is in very good health. Will analysts be proved right about the $143 billion valuation by 2028? Only time will tell, but it looks likely.
