It's been 5+ years since PASPA was overturned and we have seen slow and steady growth in terms of legislation. As we close out 2023, we currently have 38 states plus Washington DC offering some form of legalized sports betting. According to Legal Sports Report, by 2026 there will be 47 states with legalized sports betting covering over 90% of the US adult population. Approximately 80% of that will include some form of online or mobile sports betting which is where the bulk of the handle comes from. Many believe that in 2024 three states will pass legislation and launch sports betting: Georgia, Minnesota and Missouri.
According to recent research from the American Gaming Association, "More Americans than ever participated in gaming-related entertainment over the past twelve months” which is “driving widespread recognition of the positive economic and community impacts that gaming brings."
In 2022, total handle exceeded $96 billion and is expected to top $110 billion in 2023.
State regulatory disclosures, compiled by the American Gaming Association, show that aggregate commercial gaming revenue generated by land-based casinos, sports betting and iGaming reached $16.26 billion in the third quarter. Total revenue for the first nine months of 2023 stands at $48.78 billion, 10.1 percent higher than the same period in 2022.
With a banner year across a variety of betting verticals, and sports betting showing the largest percentage increase at almost 53% year over year, 2023 is poised to become the third consecutive record-breaking year for the commercial gaming industry.
Once thought of as an activity primarily consumed by males, sports betting companies are seeing a rise in women signing up; there has also been an expectation that increased legalization of sports betting could increase the popularity of several prominent women’s sports which have exploded over the past 2 years especially in 2023 with the NWSL announcing massive new media rights deals and the introduction of new properties such as the Women’s Professional Hockey League (which begins play on Jan 1, 2024).
While there hasn't been much research showing the impact of legalized betting on consumption, anecdotal evidence including the 2023 Women’s Final Four being the most watched in history could support the idea that sports betting is playing a role of some level in growing women’s sports.