Following ten years of grappling with financial shortfalls, Atlantic City has finally reversed its fortunes, largely due to the surge in internet gaming.
The New Jersey gaming sector, which had endured a decade of dwindling profits, ultimately witnessed a modest rise of 1.5% in 2016. This expansion, driven by the flourishing online gambling domain, enabled Atlantic City’s casinos to experience their initial revenue upswing in a decade.
During 2016, the seven surviving casinos in Atlantic City generated $2.6 billion in gaming income, signifying the first year of growth since 2006 when the city boasted twelve casinos and a peak of $5.2 billion in earnings.
New Jersey’s internet gaming revenue hit an impressive $1.967 billion in 2016, a 32% leap from the preceding year. Casino offerings contributed substantially to this surge with a 36% increase, reaching $1.702 billion, while poker revenue also saw a robust 11% climb, hitting $26.5 million.
Examining solely physical casinos, 2016 displayed a marginal revenue dip, partly attributed to the Taj Mahal casino’s closure, leading to a $65 million revenue shortfall. Only two casinos underwent a revenue decrease in 2016, with Harrah’s Casino experiencing a $16 million reduction to $358 million. Nevertheless, excluding the impact of online gambling, the market would have encountered a 0.3% year-over-year decline.
Following a challenging three-year span that witnessed the shuttering of five casinos and the disappearance of at least 11,000 positions, the sustained expansion of New Jersey’s online gaming industry, a frontrunner in the US, has aided in stabilizing Atlantic City’s casinos.
On a brighter note, Pennsylvania, the second-largest gaming market in the US, is anticipated to observe a 1% revenue uptick, reaching $3…
The gaming sector experienced a surge in 2016, generating a substantial $2 billion. Nevada, renowned for its opulent gambling establishments, joined in the celebration. For the first time since the economic downturn of 2008, they had returned to profitability and were experiencing significant financial gains.
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