Casinos across the United States closed 2024 with record commercial gaming revenue, but the story for 2025 is one of shifting economics – modest growth at brick-and-mortar floors while online gambling and sports wagering accelerate the industry’s momentum. Operators and regulators alike are recalibrating strategy as consumer habits and regulatory expansions reshape the market.
Record revenue, uneven gains (lead)
The American Gaming Association reported on February 19, 2025 that commercial gaming revenue climbed to a record $71.9 billion in 2024, driven largely by double-digit gains in iGaming and sports betting while land-based casino revenue edged up only about 1%. That dynamic has set the tone for 2025: land-based venues remain central to industry income, but online verticals are siphoning incremental growth and prompting investment decisions across the sector. American Gaming Association State of the States 2025.
What’s happening on the casino floor
Slot machines and traditional table games still generated the majority of commercial casino gross gaming revenue in 2024, with land-based play producing roughly $49.8 billion. Yet many major gaming districts reported pressure: the Las Vegas Strip, for example, has experienced softer visitation and gaming takeaways in parts of 2024-25 even as regional and tribal casinos in many states posted record months. Operators are responding with capital projects – renovations, new food-and-beverage concepts, and retooled entertainment offerings – to reinforce the destination value of physical resorts and lure higher-spending visitors.
Industry leaders emphasize the floor’s enduring value. “Casinos remain experiential places where customers want to be in person,” AGA CEO Bill Miller said during the association’s 2025 state-of-the-industry briefings. At the same time, Miller acknowledged that the fastest growth is now coming from digital channels, which complement rather than wholly replace brick-and-mortar revenue.
Digital growth, regulatory expansion, and competitive implications
iGaming grew nearly 29% year-over-year in 2024 and sports betting revenue surged by more than 25%, results that carried into early 2025 as several states expanded legal wagering frameworks and operators increased cross-channel promotions. Notable regulatory developments during 2024 and early 2025 include the launches of retail and online sportsbooks in additional states and adjustments to tax and licensing rules in some jurisdictions that aim to capture online tax bases while balancing responsible-gambling safeguards.
For land-based casinos, the digital rise has practical implications. Many major operators are accelerating investments in omnichannel platforms, loyalty program integration, and cashless payment systems that bridge in-person play with online accounts. Joint ventures between property owners and established sportsbook or iGaming firms – exemplified by expanded partnerships and updated financial forecasts from companies such as BetMGM in 2025 – illustrate the strategic pivot toward hybrid models where on-premises resorts feed online engagement and vice versa.
Sustainability, labor and experience-driven bets
Beyond digital, two other trends are reshaping land-based strategy in 2025. First, operators face rising pressure and opportunity on sustainability and ESG fronts – from energy-efficient renovations to waste reductions – both to cut costs and to meet investor expectations. Second, labor constraints and wage pressures remain front-of-mind; attracting and retaining hospitality staff affects operating hours, entertainment schedules, and service levels, which in turn influence guest satisfaction and return visits.
Finally, experiential differentiation is back on the agenda. Renovations, themed suites, celebrity chef restaurants, and curated nightlife – often announced with precise rollout timelines in 2024 and 2025 – are intended to make the property visit itself a draw that cannot be digitized.
Wrap-up – what to watch next
Through 2025 the key metric to monitor will be how successfully land-based operators convert their physical assets into omnichannel revenue engines: look for quarterly reports through the spring and summer that show whether casinos can grow gaming floors’ profitability while capturing wallet share on iGaming and sports betting platforms. Regulators’ moves on licensing and tax treatment of online gambling in additional states will also be pivotal – any new market openings or significant rule changes could reset competitive dynamics rapidly. For now, the industry’s near-term future appears to be one of coexistence – physical floors holding baseline revenue while digital channels supply the most rapid growth.