rss-bridge 2026-02-27T11:11:33+00:00

US commercial gaming revenue surges to record highs in 2025 nationwide

The US commercial gaming business reached a new peak in 2025, pulling in $78.72 billion in gross gaming revenue, according… Continue reading US commercial gaming revenue surges to record highs in 2025 nationwide
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The US commercial gaming business reached a new peak in 2025, pulling in $78.72 billion in gross gaming revenue, according to figures released Thursday (February 26) by the American Gaming Association. That total represents a 9.2% increase over 2024 and extends the industry’s run of year-over-year gains.

As revenue climbed, so did the amount flowing back to governments. State and local coffers collected a record $18.09 billion in gaming taxes, up 15.1% from the previous year. Those dollars, tracked through the AGA’s Commercial Gaming Revenue Tracker, are said to help pay for schools, roads and other essential services across the country.

Industry executives say the sustained growth shows that regulated gambling continues to resonate with consumers. “For another year, legal commercial gaming in the United States has delivered exceptional results for consumers, operators, and the communities we serve,” Bill Miller, president and CEO of the AGA, said in a statement. “These record revenues and tax contributions demonstrate the broad appeal of regulated gaming markets and why strong state oversight remains essential as our industry evolves.”

Traditional, in-person casinos remained the largest slice of the market. Brick-and-mortar properties and other land-based games generated $50.94 billion in 2025, a 2.3% bump from a year earlier. Those venues alone produced $11.33 billion in tax revenue, reflecting a 7.2% rise.

Sports betting once again supplied much of the momentum. Revenue from sportsbooks jumped 22.8% to $16.96 billion, while the total amount wagered nationwide reached $166.94 billion. States collected roughly $3.71 billion in taxes from sports betting, a 32.4% year-over-year increase. Earlier AGA projections estimated that $1.76 billion would be wagered on Super Bowl LX alone, underscoring the scale of demand around major events.

Online casino play posted the fastest growth rate. Internet-based gaming brought in $10.74 billion, soaring 27.6% compared with 2024. Taxes from iGaming climbed even faster, up 36.9% to $2.59 billion.

All 38 commercial gaming jurisdictions monitored by the association reported annual revenue gains, reflecting broad-based expansion across the map.

Illegal gambling concerns resurface amid record US commercial gaming growth

Illegal gambling drains communities of resources that should support education, infrastructure, and public safety – costing states $15.3 billion in lost tax revenue each year.

Learn more about the threat and how we’re fighting back: https://t.co/f9ulbjBTu1 pic.twitter.com/M2ybZRjykF

— American Gaming Association (@AmericanGaming) February 24, 2026

Even as legal markets expand, the AGA argues that illegal and unregulated operators continue to siphon off significant money. A recent analysis cited by the group suggests illegal gambling accounts for roughly a third of all US wagering activity, draining an estimated $15.3 billion a year in lost state tax revenue that could otherwise support public priorities.

The association has also sharpened its criticism of prediction markets offering sports-related contracts outside state and tribal frameworks. According to the AGA, those platforms have diverted about $500 million in potential tax revenue to date while sidestepping safeguards required of licensed operators.

Prediction markets are expanding rapidly, raising serious legal and regulatory questions for states. Last week, AGA’s Chris Cylke joined a @NCSLorg webinar to discuss the key policy issues at stake. pic.twitter.com/AtvSFUhTjQ

— American Gaming Association (@AmericanGaming) February 25, 2026

“In the end, these products are indistinguishable from sports betting, they are violating state and tribal sovereignty, they allow teenagers to bet on their platforms, lack consumer protections, and pay no tax revenue to your states.” Chris Cykle, SVP, Government Relations, American Gaming Association, said.

Miller echoed that position as the industry closed out its record year. “With 2025 marking another record year, the industry’s performance reinforces a clear principle,” Miller added. “Sports betting belongs under state and tribal regulation. That’s how consumers are protected and how communities share in the benefits.”

Featured image: Canva

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