How the Online Gambling Sector Doubled Its Revenues in 4 Years

In 1993, Tim Berners-Lee, a CERN-educated computer scientist, published the source code for the first Internet editor and browser in existence, a feat that came in April 1993, four years after Berners-Lee put out an idea for a linked informational system. Hence, the WorldWideWeb, originally titled Mesh, became the initial easy-to-use, royalty-free way of checking the Internet. One year after this happened, the Caribbean island nation of Antigua and Barbuda decided to capitalize on this then-rising global phenomenon and communication medium by pushing through a novel law called the Free Trade and Processing Act that allowed businesses to run remote gambling operations from this country over this new network system.

In 1996, online casinos debuted, and in that year, this new section of the gambling industry was only home to a few gaming/betting sites, with Microgaming developing the world’s first casino games. In the following year, more than two hundred such platforms were around, and now the number is in the thousands.

This gambling landscape brought in $45 billion in global yearly revenues in 2018. Four years later, this figure stood at $95 billion, and now, experts project that online gaming, betting, and lotteries, all together, will rake in $138 billion annually by 2028. Below, we seek to explore why more people are gambling remotely and what is driving them away from land-based venues and playing/betting on their phones.

North American Expansion & Laxer Gambling Regulation

Despite what many people think, online gambling is not legal the world over, and in countries that allow this pastime, it has only been permitted primarily in the last two decades. For example, the UK legalized remote games and chance and sports betting in 2005 via its Gambling Act, and Belgium did so in 2011. Hence, Belgium casino sites were not a thing before the 2010s, but they have now led this country’s annual gambling revenues to grow past the €1.21 billion mark. That said, developed nations like Germany and the Netherlands only recently legalized Internet gaming and wagering, making this a possibility for their residents in 2021.

Of course, the main reason why Germany, The Netherlands, and other countries worldwide opted for passing new gambling-related laws was to plug budget shortfalls created by the financial crises the global COVID pandemic caused, making them desperate for new tax revenue streams. Given that gambling activities usually get taxed at a high rate, it only made sense that they go down this road.

In the US, in May 2018, America’s Supreme Court struck down a federal law best known under the acronym PASPA (the Professional and Amateur Sports Protection Act), which opened the doors for states to allow sports betting to their citizens if they choose to. That has now led to over thirty US regions opting for this, most of which also permit online wagering action. That held even for traditionally gambling-restrictive states like New York, which legalized mobile betting in 2022.

Canada has also adopted this trend, with Ontario becoming the Great White North’s first province to establish legal Internet gambling. Before this move, most Canadians, like the majority of American gamblers, did betting/gaming at offshore sites based in countries like Costa Rica, Curacao, Panama, and islands in the Union of Comoros that would accept them. These platforms boasted licenses from this nations’ government-created regulators, which allowed them to operate with an international clientele.

The Rise of Streaming Games & Novel Gaming Genres

Even many online hard-core gamblers do not know that streaming table games have been a thing for over twenty years in this industry. Playtech, a company created by Teddy Sagi, an Israeli entrepreneur, which now operates headquartered in the Ilse of Man, was the entity responsible for the first live dealer studio. It established this facility in 2003, catering to the Asian market. However, this game category did not take off until the early 2010s via the emergence of Evolution Gaming, a corporation now ranking as this sector’s most powerful juggernaut, one that has bought out massive live game competitors like NetEnt and Ezugi. Plus. It has also purchased many renowned slot creators, such as Nolimit City and Big Time Gaming.

Nowadays, every online casino lobby has a live dealer page, which carries streaming options from multiple providers. Other notable players in this field include Pragmatic Play Live, Vivo Gaming, LuckyStreak, Atmosfera, TVBet, Visionary iGaming, and Fresh Deck Studios. The appeal of their products lies in the authentic casino feel they supply and the high-stakes action they can deliver.

Due to the emergence of this genre, game suppliers have gotten stimulated to satisfy a taste for gaming diversity that online gamblers have developed in the past few years. They have attempted to do so through the creation of shooting games that simulate a skill-based element, more lottery-style creation in the vein of classic picks like keno and bingo, and various arcade-inspired choices. That has boosted online casino game pages to be seas of gaming variety.

The Incorporation of Live Streaming & Advance Betting Functions

In the past, people could only watch sporting matches in real-time at arenas/stadiums or on TV, with a slight delay. Nonetheless, the Internet has changed that. These days, thanks to high-speed bandwidth and modern hardware, people can view their favorite sporting contests from anywhere from the palm of their hand. Of course, if they want to do this legally, they must pay a fee. Yet, online sportsbooks provide this service free of charge for active bettors, an option that has substantially contributed to their attractiveness.

To boost engagement further and make sporting competitions even more immersive. Internet bookies have introduced live wagering or betting on ongoing contests. Moreover, they have added options like the cash-out feature, which lets gamblers settle their bets before an event’s conclusion. That goes a long way in these individuals maximizing profits and cutting down losses. Given that such choices do not get provided at land-based sportsbook lounges, it is clear why so many are navigating to betting online.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes.