The fight for legalized gambling in the state of Alabama received a boost last week after candidates funded by a super PAC endorsed by the likes of DraftKings and FanDuel came out on top in hotly contested Republican primaries.
According to a report by Bloomberg, of the 17 Alabama candidates funded by the American Conservative Fund, at least 12 won outright. In total, the super PAC spent $9.3 million on the race, which represents one of the most aggressive spending pushes in recent political history by the gambling lobby.
Alabama one of last remaining states to ban gambling
Alabama remains among the few U.S. states without a lottery or legal online sports betting, as repeated legalization efforts have stalled in the legislature. In 2024, lawmakers advanced a broad gambling proposal including a lottery, sports betting and casinos, but the Senate stripped out sports wagering and limited casino expansion before the measure ultimately failed to reach voters.
However, there is now renewed confidence within the industry that Alabama is in play for the sector. The spending campaign signaled a new willingness by national gambling groups to influence Alabama politics early in the legislative process, rather than waiting for a bill to reach the State House floor.
Supporters of expansion argue Alabama is losing tax revenue to neighboring states while denying residents the opportunity to vote on gambling legalization themselves. Polling previously reported by Alabama Political Reporter found overwhelming support for allowing voters to decide the issue. For years, gambling proposals have repeatedly advanced in one chamber before stalling in the Senate, where divisions over casinos and sports betting have derailed broader compromise efforts.
The latest election results do not guarantee legalization. Any constitutional amendment would still require approval from three-fifths of lawmakers before going to a statewide vote, a hurdle that has blocked gambling legislation for decades. But the success of candidates backed by gambling interests has renewed optimism among supporters that the next Legislature could be more receptive to another push.
Alabama case echoes Missouri’s journey to legalization
Alabama’s renewed push for gambling expansion mirrors the path taken recently in Missouri, where years of failed legislative efforts eventually gave way to legalized sports betting after voters approved a statewide ballot measure in 2024.
In both states, supporters argued residents were already gambling through neighboring states or offshore websites, while local governments received none of the tax revenue. National sportsbook operators also played a major role in both campaigns. In Missouri, companies including DraftKings and FanDuel spent heavily to back legalization efforts after repeated failures in the legislature. Alabama is now seeing a similar strategy.
There are also political similarities. Both Alabama and Missouri are Republican-led states where gambling debates have long divided conservatives between those focused on economic benefits and those warning about addiction, social harms and growing industry influence. Supporters in both states framed the issue less as expanding gambling and more as giving voters the opportunity to decide the matter themselves.
Missouri’s breakthrough came only after lawmakers failed multiple times to pass sports betting legislation, prompting supporters to bypass the legislature and take the issue directly to voters. Alabama faces a steeper challenge because any gambling expansion would still require approval from three-fifths of lawmakers before reaching a statewide ballot, a threshold that has repeatedly blocked proposals in the Senate.
Still, gambling advocates see the recent Alabama primary results as evidence that political attitudes may be shifting. Public polling has consistently shown strong support for allowing voters to decide on a lottery, casinos and sports betting, and supporters believe the growing involvement of national betting companies could increase pressure on lawmakers to revisit the issue in the next legislative session.
Commercial Gaming Revenue raised record $18.1 billion in taxes in 2025, says AGA
Lawmakers from prohibition states may get their heads turned by the cash injection into budgetary coffers from legalized gambling last year.
According to the most recent American Gaming Association (AGA) figures, the U.S. commercial gaming industry posted record results in 2025, generating $78.72 billion in revenue, up 9.2% from the previous year Legal gambling operations also produced $18.09 billion in state and local tax revenue, a 15.1% increase that supported education, infrastructure and other public services.
The association said the results reflected continued growth across regulated gambling markets and highlighted the importance of state oversight as the industry expands. Traditional casino gaming remained the industry’s largest segment, generating $50.94 billion in revenue and contributing $11.33 billion in taxes.
Sports betting and online gaming recorded the fastest growth. Sportsbooks generated $16.96 billion in revenue, up 22.8%, while producing $3.71 billion in taxes. Online casino gaming, known as iGaming, reached $10.74 billion in revenue, a 27.6% increase, and delivered $2.59 billion in tax revenue to state governments.
