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Gambling in the USA

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

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

 

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

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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.

Gambling in the USA

Major Casino Operators Ready to Invest if Georgia Lifts Casino Ban

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As discussions about legalizing gambling in Georgia gain momentum, major casino operators like Wynn Resorts and Boyd Gaming are poised to lead the charge if the state changes its restrictive laws.

During a recent Georgia House study committee meeting, Christopher Gordon, president of Wynn Resorts’ development arm, expressed keen interest in building a multibillion-dollar casino should legal barriers be removed. Similarly, Boyd Gaming’s government affairs vice president Ryan Soultz highlighted Georgia’s market attractiveness.

Wynn’s model would be similar to its $2.6 billion Encore Boston Harbor, suggesting that a new Georgia casino could employ up to 4000 workers and contribute substantial gaming tax revenue.

Although specific locations have not been chosen, both companies have indicated they would need constitutional changes to move forward. Their willingness to invest heavily in the Peach State demonstrates a strong belief in the untapped potential of the state’s gambling market.

Such developments offer a compelling argument for lawmakers to consider gambling expansion, marking a shift toward economic incentives as a primary motivator for legislative change.

Should Georgia proceed with legalizing casino gambling, the legislative language will be crucial in shaping the industry’s landscape. Key proposals may include requiring casino companies to invest at least $1.2 billion per resort and generate a minimum number of jobs, often set at around 10,000 per license. This ensures that any developments bring tangible benefits to the local economy.

Additional legislative demands include rigorous background checks for key personnel, proven industry experience, and adherence to strict technical and financial standards. Only companies with substantial capital and robust infrastructure, like Wynn Resorts and Boyd Gaming, are likely to meet these stringent requirements.

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Gambling in the USA

Plaza Hotel & Casino to welcome the U.S. National Champions Summerlin South All Stars to be TNT Ignitors for Welcome to the Weekend Friday Fireworks, next Friday, Sept. 5

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The Plaza Hotel & Casino will welcome the U.S. National champions, the Summerlin South All Star team to be the special guest TNT Ignitors of the property’s Welcome to the Weekend Friday Fireworks show, next Friday, Sept. 5 at 9:15 p.m., taking place on the Plaza’s rooftop pool deck.

“Getting to ignite the Plaza’s amazing fireworks show is a great honor for the team,” said Chris Mallory, president of Summerlin South. “And we thank the Plaza and Jonathan for the warm welcome and fun celebration planned for the team, including a pizza party for them and their families.”

“All of Las Vegas is proud of the accomplishments that the Summerlin South team made in the All Star postseason,” said Jonathan Jossel, CEO of the Plaza Hotel & Casino. “We look forward to hosting the team and their families, and we hope all of their fans come out to celebrate with them and enjoy the fireworks show.”

The summer fireworks shows are staged from the top of the Plaza’s South Tower every Friday at 9:15 p.m. from May through September.

The public can watch the Welcome to the Weekend Friday Fireworks Show for free at the rooftop pool, at Carousel Bar under the Plaza’s iconic dome, and from in front of the Plaza on Main Street, which will be closed to vehicular traffic during the show for viewing the fireworks from Carson Avenue to Ogden Avenue.

The Plaza’s fireworks will be dependent on weather conditions and are subject to change or cancellation. Updates will be available on the Plaza’s social media channels, including Facebook, Instagram and Twitter.

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Gambling in the USA

New Hampshire Charitable Gaming Revenue Hits $24.8M in July

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New Hampshire charitable gaming revenue has reached $24.8 million last month, up from the previous year’s figure of $14.5 million, boosted by the opening of new casinos.

The latest figures come from the New Hampshire Lottery and Gaming Commission, which shows that of the 15 casinos, only four saw losses, while four others were not in operation last July.

The Nash Casino, which opened in March, generated the highest revenue of all the casinos – $5.8 million.

The highest year-over-year increase was seen by the Revo Casino Lebanon, which opened in a new location in December, and saw revenue rise by 321% from $387,836 to over $1.6 million.

Other notable rises were seen from the Lakes Region Casino, which generated an increase of 24% year-over-year and The Brook, which saw a 17% rise from $4.7 million to $5.5 million.

The biggest declines came from The Lucky Moose Casino, where profits dropped by 79% from $666,454 to $139,748, and the Gate City Casino, which saw profits fall by 16% from $2.7 million to $2.3 million.

Historic horse racing revenue rose by 85% year-over-year, from $10.6 million to $19.7 million, while games of chance revenue increased by 53% from $3.3 million to $5.1 million.

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