iGaming and sports boost US gaming revenue past $6 billion in April
April 2025 was a remarkable month for the US gaming industry, as it raked in over $6 billion in revenue. Growth in consumer patronage in online casinos and sports betting contributed a significant amount to this figure. The American Gaming Authority (AGA) report also shows a 5.6% growth when compared to the figures of April 2024. Let’s discuss the factors responsible for this and the possible regulatory outlook on the industry.
Why is iGaming more popular in the US?
Several key reasons are responsible for the growing popularity of online casinos and the rise in revenue witnessed in the industry. iGaming, on the one hand, has not enjoyed the legislative favor that is bestowed on digital sports betting. As of December 2023, only seven American states had granted operational licenses for online casinos. Despite this, the industry experienced growth due to two key reasons.
Digital innovation is one of the primary reasons for the rising popularity, bringing with it a wide range of options and gaming variety. There are thousands of slot titles with different storylines, themes and fancy mechanics. Some online casino platforms have slots under sections such as Ancient Egypt, Wild West, Mythology and the like. This is not to mention the varieties among table games such as poker, blackjack and roulette.
Convenience is another factor. Today, players are only a few clicks away from playing a slot game. With an internet connection, players can have access to casino play at any time of the day, and from anywhere in the country, as long as it is legalized in that jurisdiction. Thanks to faster systems, you can find some of the casinos that payout instantly online.
It's worth mentioning that online casino platforms are getting more creative with bonuses, rewards and promotions. The aim of these is to attract new players and to retain existing ones. A non-player could be using the internet while in bed, only to receive a pop-up message asking them to try five free no-deposit spins before midnight. They click on the message and as they use the free spins, they discover cool features on the platform. The following day, guess who's using the platform without further enticement? These incentives have proved to be successful marketing strategies for online casino platforms in the United States.
iGaming is not the only online gambling sector getting all the attention; here's another:
The rising popularity of sports betting
Online sports wagering is by far the most patronized online betting sector in the country, due to less stringent regulations and the sheer popularity of many sports. Unlike the online casino industry, which is gradually gaining more legal ground for its operations, online sports betting is already legalized in about 30 states. In April, several sporting events occurred, which caused wagering activities to soar. During the active season, European leagues feature hundreds of games during the week, and April had several epic games with interesting odds. That was because for most of those leagues, it was the crunch period where league winners would emerge and bottom-log clubs would strive to avoid relegation.
Back home, other major sporting events took place. The NBA Playoffs were in full swing, and it was also the early MLB season.
Does this affect traditional casinos?
Traditional casinos appear unaffected by the growth of digital casino platforms. Rather than being replaced, slot machines and table games act as the pillar of the industry. This multibillion-dollar sector raked in over $4.14 billion in April of 2025, despite seasonal fluctuations. This amount means that there was a 1.9% growth above what was recorded in April of 2024. In 2023 alone, the Gross Gaming Revenue (GGR) of the on-land casino industry was three times the value of the GGR for digital gambling sites.
Despite this performance, for many of these on-land platforms, there's the consciousness that competing with digital brands could be a futile effort, hence the need to create complementing digital franchises as subsidiaries of the traditional casino brand. This strategy also involves integrating online and offline loyalty systems in order to spread and retain customer engagement across platforms.
What are the regulatory trends toward iGaming and sports betting across the country?
The online wagering industry is one of the most regulated industries in the country, with both federal and state regulations playing a part in the degree of availability of the enterprises that make up the industry. For example, the Unlawful Internet Gambling Enforcement Act (2006) prevents financial organizations from handling payments and transactions for illegal wagering activities online. The curveball here is that the term ‘illegal' is left to states to define. This federal rule now gives individual states the authority to decide whether iGaming activities are legal.
So far, only seven states have fully legalized the operation of online casinos:
- Michigan
- West Virginia
- New Jersey
- Rhode Island
- Delaware
- Pennsylvania
- Connecticut
However, legislation is in process to legalize the industry in more states. California, being one such state, faces significant opposition in its attempt to legalize the iGaming industry. Recently, under the “California Solutions to Homelessness and Mental Health Support Act”, Proposition 27 pushed for legalization. However, this was opposed by proponents of traditional casinos, who viewed online gaming sites as a threat to their businesses.
Final thoughts
Traditional casinos and gaming remain staunch pillars of the gambling industry, but the recent performance of their online counterparts suggests an upward trend that is not slowing down. With more states pushing for the legalization of online casino gambling and sports betting, we will be seeing greater participation in the coming years. This will be in addition to round-the-clock availability in states with legal clearance, the widespread variety of gaming options, and the popularity of sporting events that present wagering opportunities. With this sector contributing over $6 billion in gaming revenue in the month of April, 2025, it is expected that the figure will get higher with time.
By GamesAndCasino