New Jersey’s gambling industry continues to show a dramatic shift toward digital platforms, as internet gambling revenue has now surpassed traditional casino earnings for the third time in four months.
Gambling revenue in New Jersey casinos, racetracks and online sites was $536 million in April, up by 5% over the results from April 2021. Despite issues for Atlantic City’s land-based operations, online gambling has still grown.
In-person gambling at Atlantic City’s nine casinos brought in $211 million last month, a 2.7% decline from April 2024. Meanwhile, online gambling platforms surged more than 25% year-over-year to reach $235 million, the second-highest monthly total ever recorded for digital operations in the state.
This transformation reflects broader industry trends seen across the country, as more gamblers embrace the convenience of wagering from home. The growth of sweepstakes casinos for US players has accelerated this shift. These alternative platforms offer players legal ways to enjoy casino-style games online with the chance to win real prizes using virtual currency systems.
The Borgata maintained its position as Atlantic City’s top-performing physical casino, generating $58.5 million in April, a negligible 0.3% increase from last year. Hard Rock placed second with $41.5 million, while Ocean Casino reported $30.6 million. Several other properties faced significant declines, with Bally’s experiencing the steepest drop at nearly 22%.
Online gambling continues to be dominated by major brands. FanDuel led the digital market with $52.8 million in revenue, followed by DraftKings at $47 million and BetMGM with $29.6 million.
Sports betting added $90.5 million to New Jersey’s gambling revenue in April, representing a 15% decrease from the previous year. The decline occurred despite bettors placing $994 million in sports wagers during the month. Since January, New Jersey sportsbooks have handled $4.2 billion in bets. Industry analysts expect this summer’s major sporting events, including the Olympics, to potentially boost these numbers in coming months.
The state faces additional challenges as neighboring New York prepares to license three full-scale casinos in or near New York City, potentially drawing customers away from New Jersey gambling establishments.
In response to these pressures, New Jersey lawmakers recently introduced legislation for a public referendum that would allow casinos outside of Atlantic City for the first time. Potential locations include the Meadowlands Racetrack in East Rutherford and Monmouth Park in Oceanport.
The ongoing revenue shift from physical to digital platforms presents significant concerns for Atlantic City’s broader economy. Casino operators are being forced to invest more heavily in enhancing in-person experiences to draw visitors to their properties, as the traditional advantages of exclusive access to gambling activities continue to erode.
As states across the country grapple with similar trends, the gambling industry appears to be at a crossroads, with technology reshaping a business that once relied entirely on drawing customers to physical locations. The continued growth of online alternatives suggests this transformation is likely to accelerate in the coming years. Tax revenues from online gambling have become increasingly vital to state budgets, creating additional incentives for expanded digital options.