New Jersey Reveals Final First Year Online Gambling Total
We’ve had monthly and quarterly numbers from New Jersey in regards to how much online gambling has made, but now, for the first time, we can reveal exactly how much New Jersey generated by legalizing online gambling.
It’s been a rough year for New Jersey. With some casinos shutting down, many expected the industry to be down for the year, but online gambling made up any losses that were caused by land-based casinos. Without online gambling, New Jersey would’ve been in a much worse position.
Prior to online gambling’s launch, Chris Christie boldly predicted that online gambling would raise a billion dollars in its first year. It didn’t quite make that mark – it raised $120 million. What happened?
Well, for starters, Chris Christie had an endgame in mind. In his scenario, he undoubtedly factored in numbers that would be generated from sports betting.
Chris Christie signed a bill to legalize sports betting back in October, but the major sports leagues managed to get it blocked. Sports betting, as it currently stands, generates several hundred billion dollars annually. The only problem? It’s not legalized in most places.
If Christie had his way, sports betting would be legal, and New Jersey would be making a boatload of cash. Until then, though, they’re going to rely on revenue generated by online gambling.
Even still, stop and think about the finances of a first year business. There’s a good chance that business or industry won’t come close to $120 million in its first year.
Online gambling had a lot of hurdles to jump over. People had to get over the whole “online gambling is awful and people will steal your information!” stigma that online gambling has somehow gained over the past few years. Now that they’re past that, thousands and thousands are joining each week. Not only are they more comfortable playing from home, but with no deposit promotions, they’re getting a much better deal than if they were to go to a land-based casino.
Still, though, it’s good news all around. New Jersey officials are happy that online gambling is generating revenue that the land-based casinos would be losing, and the land-based casinos are putting up some pretty decent numbers themselves. It just supports what we’ve always said: online gambling is not an opponent of land-based casinos. They work together to generate tons of money. Everyone wins.
The second year numbers should be more impressive. Now that customers have registered and established accounts, they will be willing to play more often. Not only that, but Chris Christie will likely attempt to push for sports betting again. If he manages to get it passed (which should be a bit easier, now that the NBA has come out in support of it), expect second year numbers to shoot through the roof.