Sports Betting to Become a $100 Billion+ Industry?

Online gambling has become an increasingly polarizing topic in talking circles around the world, but its popularity continues to grow at an unbelievable rate. Of course, a lot of that could have to do with how much free time people have, and how badly they want to escape from the ”new normal” but it has created a sort of boom period for online gambling.

“The global online gambling market size was valued at $53.7 billion (USD) in 2019 and is expected to grow at a compound annual growth rate (CAGR) of 11.5% from 2020 to 2027,” Grandview Research claims on their website” The high internet penetration and increasing use of mobile phones among individuals for playing online games from their homes and public places are driving the market. In addition, factors such as easy access to online gambling, legalization and cultural approval, corporate sponsorships, and celebrity endorsements are also contributing to market growth.”

An Unlikely Partner in Virtual Reality

The trend of online sports betting is also starting to merge with augmented reality sports experiences that can almost transport fans to their favorite arena. It also is quickly becoming a way to show fans stats in real time, which just brings the whole experience to a completely different level. Just imagine the capabilities in the years to come with this kind of technology.

What’s most interesting about the augmented reality sports experience though is the fact that it doesn’t even have to be a high-tech VR device. These kinds of abilities already exist on a variety of Smartphones and thus would be easily accessible to the general public. The only problem that stands in VR’s way though is the ability to experience a game live.

“We haven’t caught up with the alternative of an improved experience,” Nicolas Avila, who is who serves as Chief technology officer for Globant said when comparing the differences of the experience “As long as you’re competing with going to watch a game that you can go watch – it’s never going to be the same.”

Did the Pandemic Create a Boom Period for Online Gambling?

While it was expected that online gambling would eventually become the norm for most of society, the onset of the ongoing pandemic has seemingly sped up the process. Not only is that evident by an estimated $56.9 billion in revenue made in the US from online gambling in 2020, but also by the number of bills that have reached state legislature to allow online gambling as well.

In all, nine states have legalized online gambling so far, but that number could grow exponentially once several bills are decided on in the legislature. One example of this is Texas, who is presenting a bill that would legalize online gambling in a similar fashion to Tennessee. The state even announced a 6.5 percent tax rate on online gambling that would help restore the state’s economy.

Just look at what online gambling has done for the Volunteer state, who raked in $134 million in revenue in its first month of operation! Then there’s New Jersey, who legalized online gambling in 2019, and went on to set record after record in revenue. Records even indicate that the state has made a billion dollars in revenue in just one year, making it an attractive source of revenue for stumbling states.

If nothing else, online sports betting has generated a lot of revenue, and created a lot of needed jobs in the process. It has also helped states that are in a recession period due to the pandemic, which is something that could force other states to legalize the practice. Sure, there will always be the moral argument, and tribe’s disagreement, but what is there to lose this time?

In the end, states need ideas in order to generate revenue, and online gambling is quickly becoming a hundreds of billion-dollars per year industry. Why other states wouldn’t want to get in on this and rake in billions of dollars in revenue is beyond comprehension. It’s popular, it’s easy to do, and it will make massive amounts of money in state revenue. Again, what is there to lose at this point?

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Brian Thornsburg
Brian worked his way through college writing for a variety of publications. Once his education was over, he yearned for a new challenge and started reporting on gambling news. This lead to the coverage of sports betting, horse racing and various other gaming related topics.