How Big is the iGaming Industry?

Since its inception in 1994, iGaming has continued to evolve incredibly, thanks to technological advancement. The availability of high-speed, broadband 5G Internet connectivity, cloud gaming, smartphones, and other mobile devices that incorporate AI and Machine Learning have given the online casino industry its current fame.

The iGaming industry also thrives on the consent and approval of the government of various nations, endorsements by NGOs, private sector partnerships, corporate sponsorships, etc., and its continuity is ensured by the booming target market of the younger generation who are blown away by the lures and thrills embedded therein.

The Range of iGaming

By the end of 2021, for example, the entire industry was worth $61.50 billion. In 2022, it was valued at $63.53 billion and was expected to grow annually at a compound rate of 11.7%, reaching $153.57 billion by 2030. iGaming operators, therefore, have so much potential yet untapped.

Let’s view the industry from the perspective of world regions and segments such as casinos, sports, bingo, and poker.

Regional Outlook

Sports betting in Europe accounts for over 40% of all revenue, thus, dominating the world market. This can be attributed to the legalization of gambling in many European countries and mainstream technological advancements. More popular gambling forms here are in soccer and eSports, while the less popular ones include video slots, lottery, and bingo.

As the USA continues to roll out online gambling with less stringent laws, the North American continent is positioned for an upward spiral, with Canada also set to increase its revenue. With a predicted compound annual growth rate of 20%, the industry is set to perform in excess of $60 billion.

For Central and Latin America, the online gambling industry was valued at $77 billion in 2020 and could reach more than $127.5 billion by the end of 2023 with new entrant countries like Colombia, Costa Rica, Paraguay, and Peru despite conservative views. Casino games, such as blackjack and virtual slot machines, are sure to increase the popularity of this segment. Also, the availability of customer support enables users to play games seamlessly.

The Asia-Pacific region has long been the most lucrative region for online gambling because it is home to nearly 4.3 billion people. The most popular kinds of gambling here include live dealers, casino games, slots, and then betting. The region has also embraced the use of new technology like cryptocurrency, which is of crucial advantage in terms of payment, thereby leading to increased revenue generation.

Africa has done over $1 billion in online gambling so far, and this figure is sure to increase as the rules in many countries have loosened up to allow online gambling, with key players like Nigeria, Kenya, Ghana, and Uganda. Sports betting ranks top across the continent, particularly in football, basketball, and athletics. The use of cryptocurrency here is also being embraced gradually, with a few countries still being skeptical. No doubt, Africa has significant potential for online gambling operators to take advantage of.

Factors Contributing to iGaming’s Growth

Let’s look at the factors that are responsible for the growth and expansion of the iGaming industry.

Virtual Reality (VR)

VR gives gamblers the feeling of being immersed in their surroundings through a VR helmet or headset. They can have high-powered interactions with other gamblers and achieve a wholesome gaming experience. As live casinos continue to emerge all over the world, developers and programmers are able to create attractive features that sustain the interest of users. Frequent updates and upgrades are necessary continuous improvement strategies.

Blockchain Technology

The iGaming industry has also flourished significantly with the implementation of blockchain technology as a preferred mode of payment by gambling applications, thus, fostering security, transparency, and reliability.

Key Players

As a booming industry, iGaming attracts key stakeholders, which keeps the competition fiercely advancing. They do this by making their products more affordable and user-friendly, engaging would-be users with regular advertisements, and also offering after-sales support services.

Some of the prominent players, among others, include:

• 888 Holdings Plc.
• Sky Betting & Gambling
• Bally’s Corporation
• Bet 365 Group
• William Hills Ltd.

Mobile Devices and the iGaming Industry

A critical look at this segment showed that desktop devices accounted for 48% of the total revenue generated in 2022. This was largely due to its large screen size, audio and picture quality, and storage capacity, which gave users a unique experience compared to handheld devices, with 52% revenue.

Advanced technologies in smartphones and relative affordability have resulted in realistic visuals, leading to increased access to online gambling.

Mobile gambling has many advantages, such as remote playing, loyalty points, and multiple-user options.

Summing Up

The iGaming industry has multiple untapped potentials that any serious investor cannot afford to ignore. Its value is expected to skyrocket in leaps and bounds in the coming years as more users embrace its unique versatility.

Source: tennishead.net

About Post Author

Samuel

I am a journalist specializing in gambling in Africa and around the world. I am particularly interested in stories about games and casinos.

See author's posts

Samuel

I am a journalist specializing in gambling in Africa and around the world. I am particularly interested in stories about games and casinos.