Michigan Crosses $3 Billion in Annual iGaming Revenue
Michigan’s online gambling market set a new monthly record in December 2025, with operators reporting combined gross receipts approaching $316 million.
The performance capped a year in which the state became the first U.S. jurisdiction to surpass $3 billion in annual iGaming revenue alone.
The figures signal a market that has moved beyond its early growth phase as Michigan now operates as one of the country’s most productive online gambling sectors.
Online Casino Revenue Dominates Michigan’s Growth Story
December marked the first time Michigan exceeded $300 million in monthly iGaming gross receipts. The milestone came roughly five years after the state launched regulated online casino gaming.
FanDuel Casino and BetMGM Casino maintained their positions as the dominant operators in the state. The former reported the highest December receipts at $76.9 million, while BetMGM Casino followed at $67.8 million.
Hard Rock Bet Casino entered Michigan at the start of December and quickly established itself with $35.7 million in gross receipts. DraftKings also generated $45.4 million during the same period.
Online casino revenue, rather than sports betting, drives Michigan’s growth trajectory.
Annual iGaming revenue reached $3.1 billion across Michigan’s 15 licensed operators. The state became the first U.S. market to surpass the $3 billion threshold for online casino revenue in a calendar year.
Three operators dominated the Michigan market in 2025. FanDuel Casino led with $817.1 million in annual revenue, followed by BetMGM Casino at $782.5 million and DraftKings Casino at $461.8 million.
Combined, the three operators generated more than 66% of Michigan’s total iGaming revenue last year.
Detroit’s retail casino sector remained flat while online gambling revenue surged across the state.
Sports betting activity told a different story in December. Gross receipts fell to $84 million from November’s $87.3 million, while total handle dropped 18.7% to $512.9 million.
Annual sports betting receipts still rose significantly to $671.3 million. However, betting volume showed minimal growth across the year, even as operator revenue climbed sharply.
The divergence suggests tighter margins and more disciplined pricing. Operators appear to be moving away from the heavy promotional spending that characterized Michigan’s early years.
The gap between gross and adjusted revenue supports this shift. Combined adjusted gross receipts for iGaming and sports betting reached $3.3 billion for the full year, a 39.5% increase that far outpaced handle growth.
Operators collected $624.6 million in taxes and payments to the state during 2025. Nearly all of that total came from iGaming, which contributed $597.5 million.
Michigan and New Jersey Lead U.S. Market Growth
Michigan’s performance was part of a broader national surge. The U.S. online casino market generated $934.3 million in December, setting a new monthly revenue record.
December revenue rose nearly $80 million from the previous month. The 9.3% increase was concentrated primarily in Michigan and New Jersey.
New Jersey operators reported approximately $20 million in additional revenue compared to November. The two states combined for $83 million of the national market’s December expansion.
December’s results bring the U.S. market closer to achieving $1 billion in monthly revenue. Year-over-year growth in Michigan, New Jersey, and Pennsylvania indicates the U.S. market could surpass the billion-dollar mark in the coming months.
