The “Big Three” iGaming states have seen extraordinary growth in 2024, with each American state reporting an increase of over 20% in gaming revenue year over year.
Significant increase in iGaming revenue in New Jersey
New Jersey reported revenue numbers of nearly $2.4 billion, with Pennsylvania and Michigan reporting numbers around $2.2 billion throughout 2024, as revealed in documents released this January.
Thus, iGaming revenue in New Jersey, including online slots and table games, generated $2.39 billion in 2024, a 24% increase from 2023.
In Michigan, commercial and tribal operators reported $2.2 billion in iGaming revenue, plus an additional $194 million in online sports betting — up 22.3% from 2023, surpassing New Jersey for the first time since the legalization of online gambling in 2021.
Pennsylvania revenue across 12 operators was $2.18 billion in 2024, up 25.25% compared to the $1.7 billion generated in 2023. Some establishments reported $2.7 billion in taxable income , but this includes annual slot machine license operating fees.
Therefore, the growing numbers are believed to have generated more than $400 million in tax revenue for each state. In Michigan, the value was US$466.1 million.
Looking more broadly at the gaming sector, including casinos and racetracks, New Jersey took in $6.3 billion in gaming revenue, while Pennsylvania surpassed the $6 billion threshold for the first time, reaching $6 .13 billion.
Michigan handled more than $5 billion in betting in 2024, with $244 million coming from iGaming alone in December 2024.
iGaming Contributions to Education Funds
The Michigan Gaming Control Board (MGCB) highlighted how taxes supported the local community. In other words, more than $501.4 million went to the state’s School Aid Fund, which provides resources for public education.
Only US$400.9 million came from taxes on betting on online games, including:
- iGaming ($388.48 million)
- Internet sports betting ($12.9 million)
- Fantasy Sports ($297,219).
The remaining $100.5 million was generated by casino gambling taxes. This includes taxes on table games and slot machines ($99.8 million) and retail sports betting ($655,436).
Taxes also provided:
- $4 million to the Michigan First Responder Presumptive Coverage Fund
- US$3 million to the Compulsive Gambling Prevention Fund
- US$3.7 million to the Equine Agricultural Industry Development Fund
- $3.75 million to marketing agency’s Emmy Award-winning “Don’t Regret the Bet.”
Overall, the revenue numbers of over $2 billion show how much the iGaming industry has grown compared to 2021. Pennsylvania reported $1.29 billion, Michigan reported $1.11 billion, and New Jersey reported US $1.37 billion.