The American Gaming Association’s State of the Industry 2025 webinar again was mostly positive.
Revenue for the U.S. commercial gaming industry reached $71.92 billion in 2024, a year-over-year increase of 7.5 percent. That record total bested 2023’s revenue figure of $66.5 billion.
“Much of this growth has been driven by the continued expansion in online gaming and sports betting,” AGA President and CEO Bill Miller said during the webinar. “Meanwhile, traditional brick-and-mortar operations have shown their resiliency against macro-economic headwinds, particularly in Las Vegas, which has experienced months of softer revenue in late 2024 compared to the previous year’s highs.”
Nevada casinos generated a record $31.5 billion in revenue during the state’s 2024 fiscal year, but net income declined 24.4 percent, including a 40.4 percent drop on the Las Vegas Strip.
The fourth quarter of 2024 yielded a record quarter high of $18.62 billion.
Other notes from the webinar:
- Brick-and-mortar casino slots and table games generated a record revenue of $49.78 billion in 2024, a growth of 82 basis points compared to 2023.
- Twelve of 27 traditional gaming markets achieved state revenue records in 2024.
- Sports betting revenue reached $13.71 billion, a 25.4 percent increase from 2023’s record of $11.04 billion. New Jersey and Illinois exceeded $1 billion in annual sports betting revenue for the first time.
- In 2024, igaming revenue generated $8.41 billion, a 28.7 percent increase year-over-year
During his presentation, Miller highlighted the gaming industry’s philanthropic efforts, notably contributions to victims of Hurricane’s Milton and Helene, and of the California wildfires.
He also spoke out against the existence of gray and illegal markets, noting that the AGA is in a “constant battle” against offshore operators and other illegal entities.
“They sneak in through the back door, circumventing gaming laws and operating in the shadows outside of regulatory oversight, exploiting legal loopholes to force their products on unsuspecting communities, like the 580,000 unregulated so-called skill games that have spread across the United States generating $109 billion in illegal bets,” Miller said. “They’re targeting vulnerable communities, generating zero tax revenue to support local services, attracting crime and exploiting people who confuse them with legitimate gaming machines.”
Miller also appeared to decry sweepstakes gaming when he said:
“Then there’s the newer categories of unregulated actors that appear to bypass or circumvent state gaming, from currency exchanges to digital asset platforms. These entrants deploy legal acrobatics to avoid calling themselves betting or gambling, only then to offer products that most would most universally would agree are gambling, yet without the safeguards and regulatory constraints that build consumer trust, promote responsibility and support state budgets.”
Miller noted that offshore gaming operators were estimated to have accepted $402 billion in illegal bets last year, which resulted in a loss of $4 billion in tax revenue and cost the legal gaming industry more than $17.3 billion in annual revenue.
“Legal gaming creates sustainable economic growth, partnering with local businesses and supporting 1.8 million American jobs,” Miller said.
In 2024, operators paid an estimated $15.66 billion in gaming taxes, an increase of 8.5 percent year-over-year. The AGA stated the industry also contributes billions of tax dollars to states annually in the form of income, sales, payroll and other corporate taxes.
During this year’s webinar, Indian Gaming Association Executive Director Jason Giles and Association of Gaming Equipment Manufacturer Executive Director Daron Dorsey also gave statements.
Giles said that tribal gaming generated more than $42 billion in revenue during 2024.
“These revenues are directly returned to our tribal communities and tribal citizens, not investors or shareholders,” Giles said. “The use of these revenues goes directly to the health and welfare of our tribal citizens on the reservation.”
Dorsey noted there were “delays and disruptions for suppliers” in 2024. But he added that “our group met the expectations of its customers, stakeholders and shareholders while continuing to significantly invest in in R&D to create better and attractive products. That spirit of innovation and continued competition in our industry has also shown that our supplier sector remains attractive for private and public investment.”
