Michigan’s online gaming industry experienced a combined gross receipts of $205.3 million in October, comprising Internet gaming and sports betting activities. Although this figure represented a 2.4% decrease from September, the state achieved a notable milestone with the Internet sports betting handle surpassing $500 million for the first time. This report delves into the specifics of the October revenue, shedding light on the dynamics of Michigan’s evolving online gaming market.
Key Revenue Metrics:
Total Gross Receipts: Michigan’s commercial and tribal operators reported a combined gross of $205.3 million from Internet gaming and sports betting activities in October.
Internet Gaming Gross Receipts: The gross receipts from Internet gaming in October were $160.3 million, marking a 3.7% decline from September. Despite this month-over-month decrease, Internet gaming showed a robust year-on-year growth of 13.9%.
Sports Betting Gross Receipts: Gross receipts from sports betting in October amounted to $45 million, experiencing a 2% decrease from September. However, sports betting demonstrated a substantial year-on-year increase of 5.4%.
Combined Adjusted Gross Receipts (AGR): The combined AGR from Internet gaming and sports betting reached $167.7 million in October. Internet gaming contributed $144.2 million, while sports betting contributed $23.5 million.
Internet Sports Betting Handle Milestone:
October witnessed the highest Internet sports betting handle to date, exceeding $500 million. The handle reached $533 million, indicating a significant 16.5% increase from September.
Tax Contributions:
In October, operators submitted $31.9 million in taxes and payments to the State of Michigan. Additionally, the three Detroit casinos contributed $8.2 million in wagering taxes and municipal services fees to the City of Detroit.
Tribal operators made payments totaling $3.7 million to governing bodies in October.
New Collaboration – Light & Wonder and Caesars Digital:
Light & Wonder has entered into a strategic partnership with Caesars Digital to introduce online casino games in Michigan. Through Light & Wonder’s Playzido content platform, customized titles, including a Caesars-branded version of HITSqwad Gaming’s Sweet 16 Blackjack game, will be offered on Caesars Palace Online Casino and Caesars Sportsbook & Casino.
Michigan’s online gaming market showcased resilience in October, with Internet gaming and sports betting continuing to play a pivotal role. Despite a slight month-over-month decline, the industry’s overall trajectory remains positive, setting the stage for further growth and innovation. The collaboration between Light & Wonder and Caesars Digital adds a new dimension to Michigan’s online casino offerings, contributing to the diverse and dynamic landscape of the state’s gaming industry.