igaming-industry-investment-opportunities-forecast

The iGaming Industry: A Promising Investment Opportunity in 2024 and Beyond

Finding a lucrative niche with the potential for a high return is everyone’s dream.

For many years now, gambling has been one of those sectors. Now, moving through the end of 2024 and looking forward to a fresh start in 2025, how does gambling stand in terms of investment opportunities?

Is there any more room for new investors, businesses, or innovation?

Here is why the gaming industry should be on your radar as a viable investment option.

1. Market Growth

market-growth-of-igaming-industry

Just to have it in front of us and use it to enforce our arguments, here is the global market growth of gaming and how it will behave until 2028, according to The Business Research Company.

So, based on what financial specialists have to say, the compound annual growth rate (CAGR) for the gaming industry is somewhere around 11.5% for the period of 2021-2028. What that means is that, considering the gambling global market size was over $450 billion in 2023, we should expect it to grow up to $700 billion by 2028.

As you would expect, the online gaming sector is responsible for such accelerated growth, having a 13.2% CAGR, preparing the entire industry for a complete switch to the online environment. The most profitable sectors are the online mobile segment, responsive design infrastructures, sports betting, and modern technologies.

Each of those contributes to the future success of online gambling, and to give you a quick answer: Yes, this sector still offers great opportunities for new investments and innovations.

2. Technological Advancements Driving Growth

Gaming seems unstoppable, especially thanks to this industry’s ability to integrate cutting-edge technologies. The majority of businesses, products, and revenue generators are digital/technology-based. Therefore, it is a lot easier for casinos, developers, or even affiliates to implement artificial intelligence, blockchain, or social reward-based innovative systems.

SlotsCalendar is doing a great job at showcasing good examples of how an actor from this industry should focus on the player’s safety and informational value. On the other hand, international casinos already offer exclusive cryptocurrency payment methods and AI-driven chatbots to offer next-generation support services.

3. Investment Opportunities

investment-opportunities

Depending on what sector you specialise in, there are a lot of ideas and sectors you can put your money into. But there are two that we would love to talk more about because we are able to see how operations develop on a global scale, and both players and companies are focused on them more than even.

4. eSports

The rise of eSports is more appealing to younger, tech-savvy audiences who are more inclined to engage with digital platforms. The more maturity such a platform receives, the bigger its audience will be. Therefore, the number of revenue streams will increase, and we will witness profitable growth for companies operating in the gaming sector.

5. Artificial Intelligence

artificial-intelligence-in-igaming-industry

AI is the true revenue generator in the years to come, and if you are really looking for an investment opportunity, nothing will change the online image like this technology.

If gaming is a suitable sector for your entrepreneurial capabilities, here are some aspects you should focus on if AI sounds like a good pairing:

  • Support: As mentioned before, the customer support service will see many improvements thanks to AI-driven chatbots providing instant answers and aid.
  • Customisation: At least in present times, AI is a very powerful tool for marketing strategies, digital development, and website building.
  • New Games: It is now better than ever to create casino games for the new generation of players. AI is giving you all the tools to innovate mechanics, storylines, layouts, and even game styles.
  • Market Analysis: With the help of artificial intelligence, you can now skip a lot of tedious work and find the right moment to launch a game, start a campaign, or engage with your target audience.

6. Key Stocks to Watch

And because you cannot mention investments without stock investments, here is a list of the most trustworthy gambling-related stocks that you should focus on in the following three to four years:

  • DraftKings (DKNG): Being one of the leading betting platforms in the United States, DraftKings is now legal and available in more than 18 different states. They are constantly looking to expand their operations, making them an attractive long-term investment.
  • Flutter Entertainment (FLTR.L): If you know about FanDuel, you already possess all the knowledge you need to secure a good stock investment. Pokerstars and Betfair are part of this company’s portfolio, which only makes this investment more trustworthy in the long run.
  • MGM Resorts International (MGM): MGM is a major player in both traditional and online gambling. Its BetMGM platform has quickly become one of the top sports betting platforms in the United States, contributing to the company’s overall growth.

7. What is The Next Investment Trend?

To conclude, we advise you to focus your attention on the online gaming trends, more specifically on the emerging Asia-Pacific and Latin American markets. Also, being part of the sustainability and responsible gambling actors group can also be a good idea. Gambling needs to be constantly regulated, while players need safe platforms and online environments.

Deciding your next move should also be based on your core skills, so plan ahead and be ready for 2025!

Author Profile

Manuela WillboldOnline Media & PR Strategist
Blogger and Educator by Passion | Contributor to many Business Blogs in the United Kingdom | Fascinated to Write Blogs in News & Education I have completed a journalism summer course at the London School of Journalism and manage various blogs.