Online casino revenue in New Jersey hit historic highs in 2025, driving the Garden State’s gaming industry to a nearly $7 billion year and marking a turning point in how Americans gamble.
Record month and record year
State reports show online casinos generated $273.2 million in December 2025, the highest monthly total on record, and pushed full-year internet gaming revenue to $2.91 billion – a 22% jump from 2024. Total gaming revenue across casinos, racetracks and partners reached $6.98 billion for the year, up 10.8% from 2024. These figures were released by regulators in mid-January and underscore a sustained shift toward mobile and desktop iGaming platforms. PlayNJ’s summary of the official results details the monthly and annual totals.
Operators led by FanDuel, DraftKings and BetMGM dominated the online market. FanDuel reported roughly $61.9 million in online casino revenue for December and closed the year with about $655.5 million, while DraftKings posted a December record of $52.2 million and $569.8 million for the year. BetMGM finished third with $37 million for December and $376 million for 2025. Industry analysts say product innovation, marketing around major sports seasons, and continued consumer migration to digital wallets and instant-play apps helped fuel those gains.
What’s driving the growth
Industry executives and analysts point to several drivers: broader adoption of mobile-first casino apps, aggressive promotional campaigns tied to sports betting brands, and game-design advances—particularly new slot content and live-table verticals—that have increased player engagement. Higher taxation introduced mid-2025 in New Jersey did not dent operator momentum; instead, the market grew despite a 19.75% iGaming tax rate that took effect on July 1, 2025 and pushed operator contributions to state coffers to new levels.
Atlantic City’s land-based casinos posted more muted results. While retail casino win rose modestly for the year, the nine casino hotels collectively lagged behind the exponential gains seen online, and only a minority of properties reported year-on-year in-person revenue growth. Observers say the divergence highlights the ongoing strategic tension for legacy casino operators between preserving floor-based entertainment and investing in digital partnerships and platform technology.
Regulatory and economic stakes
Regulators noted the economic upside: higher tax revenue and employment linked to tech and marketing roles, as well as downstream benefits for hospitality and tourism. Critics and responsible-gaming advocates, however, warn that accelerating online access increases risks of problem gambling and fraud. State officials signaled plans to balance market growth with stronger player protections and enforcement measures, including expanded monitoring and potential policy adjustments in 2026.
What to watch next
Stakeholders will be watching operator strategies and regulatory responses in early 2026: whether land-based casino operators accelerate digital partnerships, how promotional intensity evolves post-football season, and whether New Jersey will adjust tax or consumer-protection rules in response to the market’s rapid expansion. Investors and policymakers alike will also track monthly report cadence to see if the streak of $200M-plus iGaming months continues in 2026.