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Will iGaming Take Over Sports Betting as the Best Gaming Alternative in 2023

Published on January 12, 2023
Updated on September 11, 2023
Written by Simon

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Sports betting certainly made its impact, especially in the United States in 2022, as numerous states entered the industry. However, the online gaming industry has an even broader global reach, as it is popular in many countries and continents.

Sports Betting’s Rise Will Be Nothing Compared to iGaming 

As it currently stands, numerous states have joined the sports betting industry, as Ohio opened in 2023 with a universal launch. Massachusetts has opted to launch its retail sports betting operation first, as mobile sports betting will most likely launch by March Madness.

With that being said, only a handful of states offer online casino gaming to consumers who use platforms like FanDuel and DraftKings. Some of the states are New Jersey, West Virginia, Michigan, Delaware, Pennsylvania, and Connecticut.

Some people are unaware that iGaming has higher monthly handles and revenues than sports betting since leagues don’t last all year. It is most prevalent during the summer months, as it was easy to demonstrate the impact of the summer slowdown on the sports betting industry with the MLB, the only major league still in operation.

The pandemic was also a time when iGaming took off, as there were only a few leagues in operation, which were mostly situated overseas. This includes a few lesser-known international soccer leagues, table tennis, and some foreign baseball leagues.

Why iGaming Will Thrive in the United States?

Many lawmakers throughout the country believe that iGaming is inevitable as the operation would give sportsbook users more options to choose from. Customer acquisition is an expensive venture as marketing campaigns, and advertising costs go through the roof.

With that in mind, lawmakers across the United States will bring up iGaming in their respective legislative sessions. For example, sportsbook CEOs have expressed their concerns regarding the high 51 percent tax rate based on revenue. The highest tax rate is unlikely to change in the foreseeable future.

In spite of the struggles to be profitable in the state, lawmakers may add more options for bettors to place wagers on. The Empire State’s potential handles and revenues will certainly increase if online casinos are added to the market. To put that into perspective, neighboring New Jersey continues to thrive in the business even with the monthly handles not maintaining the numbers it once did prior to the mobile sports betting launch in New York.

In addition, advocates in Indiana will make a strong push in their legislative session, as bettors in Ohio will no longer need to travel to neighboring states. Indiana continues to be a strong market in the sports gambling space but can certainly do a lot better in the iGaming industry.

The iGaming industry continues to extend partnerships, especially in Europe. Flutter Entertainment, for example, is an online gaming and sports betting company based in Dublin. An online gambling company in Italy is being acquired for 1.9 billion euros by Flutter Entertainment in 2022. There is no doubt, iGaming will find its footing in the United States if the card was played right.

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Simon Flynn is a sports bettor with over 10 years experience in building profitable sports trading systems. Specializing in football (the type where players use their feet), he dreams of hitting that elusive 10-game accumulator one day. Editorial Promise