Pennsylvania proved that it is the king of online casinos, especially after December’s revenue output, which put the state over the $2 billion yearly threshold.
The Keystone State is reaching milestones that no other market is, which also seemed unfathomable five years ago. PA online casinos are evolving rapidly and don’t appear to be slowing down anytime soon.
Pennsylvania tops $2 billion landmark in 2023 online casino revenue
The Keystone State notched two records when the Pennsylvania Gaming Control Board (PGCB) released December revenue earlier this week. Operators set a new monthly record, producing $204.2 million in December earnings, along with a yearly record. In 2023, online casinos generated $2.1 billion in annual revenue, a new all-time high.
Online casinos hinted at $200 million in monthly earnings, especially since two of the previous three months resulted in US records, too. The fourth quarter saw totals of:
- September: $187.3 million
- October: $186.9 million
- November: $191.9 million
- December: $204.2 million
The last four months were crucial in carrying the state over the $2 billion mark for the year, easily the highest total ever. Pennsylvania legalized online casinos in 2017, with the first operators launching in 2019. The market has grown ever since:
- 2019: $39.3 million
- 2020: $717.2 million
- 2021: $1.3 billion
- 2022: $1.7 billion
- 2023: $2.1 billion
It looks as if online casino profits have increased by around $400 million since 2022. Should that continue in 2024, operators are eyeing $2.5 billion in yearly revenue. It certainly isn’t out of the question.
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Keystone State online casinos dominate other markets
Out of the six states with legal online casinos, Pennsylvania was in control last year. States such as Michigan and New Jersey, which are competitive markets, still do not measure up to Pennsylvania.
Here is a table that shows the revenue from all three states since Pennsylvania launched platforms starting in 2019. New Jersey had led the industry up until this year.
| Pennsylvania | Michigan | New Jersey | |
|---|---|---|---|
| 2019 | $39.3 million | Not yet launched | $480.9 million |
| 2020 | $717.2 million | Not yet launched | $970.4 million |
| 2021 | $1.3 billion | $1.1 billion | $1.4 billion |
| 2022 | $1.7 billion | $1.6 billion | $1.7 billion |
| 2023 | $2.1 billion | $1.9 billion | $1.9 billion |
How online casino operators continue to grow in Pennsylvania
The collective revenue is going to increase with the addition of new PA online casinos. In 2023 alone, four new gaming providers debuted in the Keystone State. Those were:
- Tropicana Casino PA (April)
- Bally Casino PA (June)
- Golden Nugget online casino PA (August)
- Jackpot City PA (December)
Each of these apps has contributed to the impressive revenue output of Pennsylvania. The year 2024 is likely to add at least two more online casinos. Fanatics Casino PA is debuting at some point next week, as bet365 hopes to join the market later this year.
In addition to new operators, existing ones are increasing the number of slot offerings to customers. The state features 21 platforms, which are supplying exactly 9,000 slot titles.
Not only are there a lot of games, but platforms are providing some of the most exciting PA slots. The following content is now available on multiple apps, which was first released by BetMGM Casino PA:
- Using famous movies, such as The Godfather, to create slot content
- BetMGM partnering with a national chain, Buffalo Wild Wings, to launch a new slot
- Taking a popular retail slot, such as Buffalo, to produce a new online experience
- Launching new Wheel of Fortune slots in Pennsylvania to mirror the show’s promotional calendar
The innovation of games has also carried over to the live dealer vertical. Evolution Gaming, which powers live dealer games in PA, released new game show titles that have become a hit with players.
It is also preparing for competition with Playtech, which opened another live dealer studio in the state.
The battle between operators and providers is at an all-time high. It’s certainly possible for the PA market to continue growing.
