Online Gambling In Michigan Sees Year-on-Year Growth

Online gambling revenue in Michigan continues to show strong year-on-year growth, with the internet casino segment offsetting a decline in sports betting. In September, gross internet gaming and sports betting receipts from commercial and tribal operators reached $210.4 million, marking a 19.2% increase compared to the previous year. The growth trend also continued from August 2022, with a 20.0% increase in revenue.

The primary source of online gaming revenue in Michigan remains the online casino segment. Gross receipts for online casinos reached $166.4 million in September, indicating a significant 29.3% increase compared to the previous year. The popularity of online casino games continues to attract a large number of players, contributing to the overall growth of the online gambling market in Michigan.

While online casino revenue surged, sports betting gross receipts experienced a decline in September. Despite an impressive 25.6% increase in handle, reaching $457.7 million, sports betting revenue dropped by 8.0% to $44.0 million. This decline reflects the challenges faced by the sports betting sector in Michigan during this period.

Taking into account promotional spending, the adjusted gross receipts from both online gaming and sports betting combined amounted to $168.5 million in September. This represents a 17.8% increase compared to the same period in 2022 and a 10.1% increase compared to August 2022. Adjusted gross receipts from online casinos rose by 29.3% to $149.8 million year-on-year. However, adjusted gross receipts from sports betting declined by 31.1% to $18.7 million.

Tax payments from online gambling activities in Michigan were significant in September. Internet gaming tax amounted to $31.3 million, while sports betting tax reached $1.3 million. Furthermore, Detroit’s three commercial casinos contributed an additional $8.0 million, with $7.5 million attributed to online gaming tax and $470,071 to sports betting tax.

During August, a total of 15 operators offered online gambling services in Michigan. However, Odawa Casinos withdrew its internet sports betting offerings, leaving only 15 operators that provide sports wagering services.