Michigan’s online betting and gaming market generated gross revenue of $1.40bn in 2021, with igaming contributing the bulk of the total.
Since the market launched on 22 January 2021, consumers staked $3.70bn through the state’s online betting apps.
After player winnings were paid out, operators were left with gross revenue of $1.40bn, comprising $1.10bn from online casino and $292.2m from mobile betting.
Once adjustments, the deductions taken for the financial value of free plays offered to players, gross receipts totaled $1.10bn. Online casino gaming generated $1.0bn of this, while the remaining $110.6m came from online sports betting.
This resulted in significant new tax revenue for the state of Michigan, with $208.9m generated in 2021. Again, this came predominantly from online casino, which comprised of $201.6m of the total, with a further $7.2m coming from online sports betting taxes and fees.
The state’s three commercial casinos- MGM Grand Detroit, MotorCity Casino and Penn National’s Greektown Casino Hotel- paid $59.3m in taxes and municipal fees to the City of Detroit in 2021.
A total of $55.2m of this amount was generated from internet gaming, while the remaining $4.0m was made up of sports betting taxes and fees.
Tribal operators in the state paid an additional $22.3m to government bodies.
The year ended with commercial and tribal operators, along with sports betting operators, reporting $156.5m in revenue for December, down 3.2% compared to November.
Handle for December also set a new record, at $484.6m, beating November’s $473.8m by 2.3%.
After payouts and adjustments, gross receipts for the month came to $120.6m.
Internet gaming hit new heights in December with $121.7m contribution, beating the previous record of $109.7m set in October. Gross sports betting receipts totaled $34.7m.
Adjusted internet gaming gross receipts amounted to $109.7m, a rise of 13.9% month-on-month.
The three Detroit casinos paid $22.6m to the state of Michigan in online gaming taxes and payments throughout December, along with $738,067 in online sports betting taxes and payments.