We’re now in mid-August, and many of the country’s top gambling venues remain shut down. Many felt that casinos would only remain closed for a few weeks. As time goes on, however, more people recognize how difficult it is to reopen casinos right now. Interestingly, US online gambling revenue is surging thus far in 2020.
States are beginning to take notice of this revenue jump. It’s likely that more state leaders will begin looking into the legalization of this industry soon.
Today, we’re going to look at how much online gaming revenue jumped already this year.
Many Casinos Remain Closed Around the Country
For the past few years, the US casino industry has been growing steadily. Major gambling destinations such as Las Vegas and Atlantic City saw their tourism rates surge. Several massive new casino-resorts were being constructed around the country and some felt we’d entered into a new golden age for the gambling industry.
Things came to a screeching halt in March. At that time, health officials began warning that crowded venues would be prime locations for the new coronavirus to spread. State leaders around the country immediately called for the closure of all casinos.
Some parts of the US were hit harder due to these regulations than others. Places like Las Vegas, for example, took an immediate blow. This city relies heavily on its tourism and gambling industry. An incredible number of jobs were immediately lost due to the casinos shutdowns.
To make matters worse, no one knew when these regulations would be lifted. Casino companies immediately began coming up with plans to safely reopen. It wasn’t until June that casinos in Las Vegas were given permission to start accepting guests again.
Even today, many states are prohibiting their commercial casinos from reopening. Over in New York, a large rally is being held this week to protest these regulations. It’s still unclear when all of the country’s gaming venues will be allowed to reopen. Many will likely be forced to permanently close their doors.
The longer land-based casinos remain closed, the more popular online casino gambling becomes. Reports have just surfaced that show how much revenue the country’s regulated online casino industry is generating right now.
Here’s How Much US Online Gambling Revenue Already Increased in 2020
Online gambling has always been popular in the US. In recent years, several states have chosen to officially regulate and tax this industry. These states are now earning a massive amount of revenue from this industry.
It’s now becoming clear how much money the US online casino and poker industry is earning. This week, the American Gambling Association released a report showing the jump in earnings. The report claims US online gambling revenue tripled in 2020’s second quarter when compared to 2019.
The online poker and casino industry managed to bring in an incredible $402 million through April, May, and June. It’s the largest revenue increase ever recorded. Land-based casinos, unfortunately, saw their revenue dip by more than 80% in 2020’s second quarter.
Casey Clark, a vice president at the American Gaming Association, spoke with Business Insider about this massive revenue increase this week.
“Consumers like convenience,” Clark said. “There was very little competition from brick-and-mortar casinos in the second quarter.”
This trend probably won’t slow down anytime soon. More states are likely to begin looking into the regulations of this industry soon. Casino companies across the country may begin focusing more on their online operations, as well.
Sports betting is growing more popular now, as well. This industry is also becoming highly profitable for many different states around the country.
Online Sports Betting Revenue Continues to Surge
The land-based casino industry in the US wasn’t the only one to be affected by the regulations being set around the country. The professional sports industry was hit extremely hard, as well. All major sports leagues around the country were forced to shut down in March and many have only recently begun to operate again.
Some leagues saw the situation as an opportunity. The UFC became the first league to come back and is now more popular than ever before. Today, the MLS, MLB, and NBA are all holding their seasons, albeit with significant changes set in place.
Online sports betting is now extremely popular around the country. More than 20 states around the country have officially legalized and regulated this industry. Many more are likely to do so over the next few years.
Casino companies around the country saw their second-quarter revenue earnings drop sharply. It’s clear that US online gambling revenue is increasing right now and more of these companies are taking notice. We’ll likely see a major push to regulate internet casino gambling in more states around the country soon.
It’s an extremely unusual time for the gambling industry. Things are changing fast and no one really knows how things will look by the time 2021 rolls around. Make sure to stay tuned for more updates on the country’s casino industry over the next few weeks.
Are you surprised to see how much online gambling revenue has increased? Let us know in the comments section below!