U.S. Online Casino Industry Booms in 2024 Despite Limited Expansion

At CasinoDaddy, we’ve been tracking the explosive growth of the U.S. online casino industry, and 2024 proved to be a record-breaking year. Despite no major new market launches, the industry surged 28.7%, smashing expectations and generating $8.4 billion in revenue—$600 million more than projected. What’s driving this unprecedented success? Let’s dive in.

Unstoppable Growth Without New Markets

Unlike previous years, 2024 saw minimal geographic expansion, with Rhode Island being the only new state to legalize online casinos, contributing a mere $25 million (0.03% of national revenue). Similarly, new operator entries, like bet365 in Pennsylvania and Jackpocket Casino, had little impact on the overall numbers.

So, what fueled this unexpected surge? The answer lies in strong economic conditions, operator strategy shifts, and evolving consumer behavior.

Key Market Trends & State-by-State Surprises

Several states outperformed expectations, showing that existing markets can still deliver high growth:

🔥 Delaware – The state saw an incredible 345% revenue jump after switching from 888 (Evoke) to BetRivers, setting a new record of $7.7 million in December.

🔥 West Virginia – Annual growth soared from 39.8% in 2023 to 56.8% in 2024, driven by better market conditions and increased consumer adoption.

🔥 New Jersey & Pennsylvania – Even the most mature markets accelerated, with New Jersey’s growth rate climbing from 15.7% to 23.9% and Pennsylvania growing from 26.3% to 28.6%, thanks to strong operator competition and engagement strategies.

Not all states followed this trend. Connecticut, still relatively young in the iGaming space, saw growth slow from 44.7% to 32.3%, proving that early market booms eventually stabilize.

Operator Shakeups – Big Winners & Losers

One of the most fascinating aspects of 2024 was how operator strategy dictated success. Mid-tier brands that rebranded or launched standalone platforms saw massive growth spikes:

✅ Caesars – Focused on its Caesars Palace Online Casino, doubling its growth rate from 33% to 69.4%.

✅ Fanatics Casino (formerly PointsBet) – Exploded with 175.6% growth, up from 77% in 2023.

✅ Hollywood Casino (formerly Barstool Casino) – Benefited from PENN’s rebranding, gaining 42.8 percentage points in growth.

Meanwhile, some big names struggled:

❌ DraftKings – Growth slowed significantly from 46.7% to 24.8%, showing signs of stagnation.

❌ PokerStars – Dropped into negative growth at -4.5%, struggling to keep pace.

❌ BetMGM – After a -0.4% dip in 2023, it managed a modest rebound to 9.2% growth, proving competition is tightening.

What’s Next for U.S. Online Casinos in 2025?

The unexpected surge in 2024 proved that the industry can grow even without new states legalizing online casinos. Strong consumer spending, innovative operator strategies, and market optimizations drove revenue far beyond initial projections.

Looking ahead, 2025 will test the industry’s ability to sustain this momentum. Challenges like regulatory hurdles, market saturation, and shifting player preferences will play a crucial role. However, if operators continue innovating and adapting, the industry’s growth trajectory is far from over.

🔥 Bottom Line: The U.S. online casino market isn’t slowing down—it’s just evolving. Stay tuned to CasinoDaddy for all the latest insights on where iGaming is headed next! 🚀🎰