The online gambling industry has seen significant growth since the start of the internet revolution. The interest in virtual gaming rises by the day, and this encompasses all major forms of online casino games and sports betting.
The stats, according to Fortune Business Insights, indicate that the global online gambling market is expected to reach $158.2bn by 2028. With online gambling worth $66.72bn in 2020, this report reveals a compound annual growth rate (CAGR) of 11.4%.
The valuation of the industry in 2021 sits at $74.17bn, a significant increase from the previous year. This further goes to show how much growth is on the horizon.
Driving factors boosting the appeal
The onset of the COVID-19 pandemic proved a significant catalyst, as the lack of access to physical gaming solutions made the internet the only route to gambling recreation. However, the online scene was already showing favorable signs pre-pandemic.
The convenience of enjoying these favorite pastimes at greater convenience was one of the major reasons for the shift and still remains so. Another significant propeller is the interest in mobile-focused gaming. More players are opting to play games on their mobile phones, which are handy and always within reach, thereby relegating to the background the need for physical gaming.
Innovation further fuels the market. From advanced artificial intelligence to blockchain technology, these innovations are targeted at providing greater security, safety and accessibility for casino and sports betting within the virtual space. Notable platforms running these sophisticated technologies include Edgeless (Ethereum-based virtual casino), Tombola (Blockchain-enabled lottery platform) and Quarter4 (Canada-based startup leveraging AI for sports betting solutions). On the topic of innovation, the live casino cannot be left out. This has significantly bridged the gap between traditional and modern gaming by offering a traditional experience through internet streaming.
According to the Fortune Business Insights report, the game categories considered are sports betting, casinos, poker, lottery, bingo and others. The gaming devices used have been separated into desktop, mobile and others, but as earlier stated, the mobile market is in the lead.
On a larger scale, the market segments by region are North America, Europe, Asia Pacific, the Middle East & Africa and South America. Europe is at the forefront with the market size for the continent reported as $30.92bn for 2020.
North America is steadily advancing, and strong gambling regulations and the presence of secure connectivity put it in second place right after Europe. Latin America is not too far behind thanks to growing investments in the region and favorable regulations in countries like Colombia and Argentina.