The Sports Gambling Gold Rush Is Absolutely Off the Charts Since the Supreme Court lifted federal restrictions on the industry’s growth in 2018, dozens of states have legalized it, resulting in a multibillion-dollar betting boom.
In New Jersey, more money is now gambled on sports than in Nevada. California, which has the potential to become the most important market, will vote on legalizing next year.
The boundaries that formerly separated gambling from sports media and professional sports leagues are blurring as betting becomes more popular. Sports betting is now feasible on mobile devices thanks to digital apps, giving it a foothold in the United States and posing a threat to brick-and-mortar casinos. And this is just the beginning; the business is on the verge of exploding.
The graphs below show the current state of sports betting, including the amount of money and locations engaged, as well as some of the recent agreements formed between gambling businesses, sports leagues, and media outlets.
For the month of June 2018, sports bettors wagered $310 million. They wagered $7 billion for the month of October 2021, a more than 20-fold increase.
Sports betting has been an add-on at most casinos for decades. The main action (and money) was at the slot machines, keno, roulette, and other table games, which contributed to the atmosphere. Sports betting is currently on the rise. By 2033, Goldman Sachs Group Inc. estimates that the internet industry would have grown to $39 billion in yearly revenue, up from less than $1 billion now. This increase is due to the rise of digital betting. The Covid-19 lockdowns gave it a significant boost, as did many other online activities.
Gamblers have turned to mobile wagering as their preferred means of gambling (gambling revenue at the corporate level represents total wagers minus payouts to winning bettors).
In states where sports betting is popular, mobile has quickly overtaken on-site sports betting.
Gambling was considered sinful by the Puritans. And, as hypocritical or puritanical it may appear, that cultural disdain prevailed for much of American history. However, over the last few decades, the expansion of state lotteries and regulated casino gambling, as well as growing cultural acceptance of numerous behaviors traditionally considered vices, has made gambling ubiquitous. As shown in the graph below, sports betting is taking root over the world and shows no signs of slowing down.
Companies involved in sports betting are expected to make almost $4 billion this year; if California legalizes it next year, the market might explode.
During sports broadcasts, betting lines now appear on TV screens. Professional sports clubs and leagues have formed direct relationships with gambling companies. Similar agreements have been pursued or made possible by media and entertainment firms, including family-friendly giants like the Walt Disney Company.