Online gaming was already on its way toward becoming hugely popular, especially among younger generations that prefer digital alternatives, before COVID-19 came in. However, the global pandemic expedited the transition to iGaming for many, and it is now the fastest growing segment of all that are available. Casino operators should take note of the growth – and some already have – and prepare for what lies ahead. According to Fortune Business Insights (FBI), the iGaming gambling market is going to be worth over $158 billion by 2028.
The business research company just released a report, Online Gambling Market, 2021-2028, in which it forecasts what it expects out of the iGaming market. It points out that the segment was worth around $66.72 billion last year, but will see compound an annual growth rate (CAGR) of 11.4% over the next seven years. It explains that COVID-19 and the subsequent government-led lockdowns around the world forced many companies to work using online models and remote offices, serving as a catalyst for online gambling growth.
FBI adds, “[An] article published by New York University revealed that digital gambling platforms have gained speedy momentum in Canada after the coronavirus broke out. In Australia, according to a report by Concordia University, Canada, spending on online casinos rose sharply by 67% in April 2020. The coronavirus pandemic has, thus, proved favorable for this market, enabling it to register a healthy CAGR of 11.2% and reach a value of USD 74.17 billion in 2021.”
Leading the charge, even as the U.K. and others seem intent on handicapping the gaming industry as much as possible, Europe is going to see the healthiest market share. Last year, Europe’s market was worth around $30.92 billion, and it will continue to be the leader going forward. Much of the growth and Europe’s market control will be dictated by the attention given online sports gambling. After Europe, North America will take second place in terms of revenue, while Latin America’s growing interest in iGaming will catapult it to the top of the ranks.
Going forward, more attention will be placed on iGaming through emerging technologies. Artificial intelligence (AI) has been around for decades, but has only recently come to the forefront in gaming, and this trend is going to continue. FBI adds, “Advanced, intelligent technologies, such as artificial intelligence (AI) and blockchain, are being increasingly employed by online gambling platforms to ensure a secure and safe space for enthusiasts. Heralding this trend are startups that are developing and offering novel gambling platforms powered by smart technologies… The incorporation of new-age solutions in digital gambling is, thus, opening new pathways of development for this market.”