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Three US Online Casino Projections For 2026

Drew Ellis

By Drew Ellis in Online Casino

Published:


US online casinos

An eventful 2025 is winding down for the US online casino industry.

It was a year with plenty of headlines, including record revenue across the board in all seven iGaming states.

It leaves many wondering what we could see in 2026?

Here’s three projections for what the US online casino market can expect next year.

Revenue Averages Over $1 Billion Per Month

Though US online casinos have yet to hit that $1 billion monthly mark in gross revenue, it’s on the horizon.

I predicted that it will occur in December, and still feel strongly about that projection despite a setback in November.

However, no matter what occurs in December, the seven online casinos in the US should easily average that milestone when 2026 concludes.

Let’s just take a step back and compare October’s revenue in recent years.

StateOct. 2023 RevenueOct. 2024 RevenueOct. 2025 Revenue
Pennsylvania$186.9 million$245.2 million$312.5 million
Michigan$160.3 million$220.7 million$278.5 million
New Jersey$166.8 million$213.6 million$260.3 million
Connecticut$36.5 million$48.0 million$65.4 million
West Virginia$15.0 million$23.4 million$34.7 million
Delaware$1.2 million$7.9 million$12.9 million
Rhode IslandN/A$3.2 million$5.4 million
Totals$566.7 million$762.0 million$969.7 million

In each year, revenue has grown by about $200 million compared to the previous year. That should put October 2026 well past $1 billion in revenue. It should put it more in the $1.17 billion range.

There’s likely to be some months in 2026 that will fall below $1 billion, but I expect those to be fewer than half. Revenue growth isn’t slowing down by any metrics, so expect to see some big numbers develop throughout 2026. I wouldn’t rule out $1.2-1.25 billion being the new record by the time the new year ends.

Given that, the average for the 12 months should be above $1 billion, meaning total US online casino revenue for 2026 should be above $12 billion altogether.

No New State Launches, but Progress Made

There doesn’t seem to be any real potential for a new iGaming state launch in 2026.

In order for one to occur, a state would already need to be near or past the finish line for legalization, and that is not the case.

However, there have been some positive developments in select states. Multiple state governments look set to discuss potential online casino legalization in 2026. Here’s four states that seem to have potential for major iGaming expansion progress next year.

  • Illinois: The state is seeing some budget concerns and targeting gambling as a means to help aid in the matter. Illinois cranked up its tax rate on online sportsbooks, but that only will go so far. Gov. J.B. Pritzker and Illinois Attorney General Kwame Raoul have both acknowledged the benefits of adding Illinois online casinos for state tax revenue. It seems more of a matter of when instead of if with Illinois. However, a launch in 2026 is highly unlikely unless state lawmakers really expedite the process.
  • Massachusetts: One of the leading candidates, the state introduced HB 4431 in August with both the House and Senate holding discussions on the matter. The reporting date of the bill was pushed into 2026, meaning there is enough interest to keep the conversation going. The state is looking to launch an online lottery midway through the year, so that could prevent any real action in 2026 for iGaming.
  • Maine: A bill passed through state legislature last year for Maine online casinos, limiting operation to the Wabanaki Tribes, but the Gov. Janet Mills has not signed it into law. When lawmakers return to work in January, Mills will have three days to sign or veto the bill. Any inaction would see the legislation pass. Mills has not been a proponent for legalizing online casinos, so a veto seems the most likely outcome.
  • New York: It’s been a big year for New York in regards to gambling. A multi-year process concluded with the New York State Gaming Commission granting three downstate retail casino licenses to begin construction in 2026. Gov. Kathy Hochul also signed a dual-currency sweepstakes ban into law in the last month. Both are steps that should help New York move closer to online casino legalization. Sen. Joseph Addabbo Jr., the biggest proponent of legalizing iGaming, has said he will again introduce a bill in 2026. However, the chances for legalization seem slim, as it would be a lot of expansion in a short time.

Further AI Development in Online Casino Gaming

There is no turning back when it comes to Artificial Intelligence and its ties to online casinos.

It’s here and it’s not going away.

We have already seen AI’s influence on iGaming through personalization and advancement in game options and performance.

What’s interesting is AI’s development is far more rapid than what we are seeing with online casino revenue growth. Each year, AI advancement makes massive gains, and it’s hard to know just what that means for where it will be at the end of 2026.

But, whatever the advancements are, online casino operators are going to find ways to capitalize on them.

By the end of 2026, each iGaming customer should be able to have a fully-customized experience to their gameplay. AI research and analytics will be able to personalize games, providing unique suggestions to a player given their gaming history. That could be more than just game suggestions, but tips for how to best play the game to that customer’s trends.

AI will also create more innovative games. We’ve seen more of a connection between retail and online casinos thanks to AI. Virtual reality opportunities should be greater throughout 2026 as well, giving players the ability to step into their own fully immersive casino world.

It’s not out of the question that AI will be able to develop games strictly tailored to a customer and their preferences, along with their likeness should they approve.

Along with these gaming developments, hopefully AI continues to advance in regard to player safety and customer support. The line between AI being helpful and harmful is thin. Personalized suggestions could drive customers further down a bad path and be at their expense as opposed to their benefit.

Drew Ellis

Drew Ellis has decades of experience in media covering sports, gambling and general news. He has provided news coverage for online and retail casino developments across the US and around the globe.

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