Online Sports Betting Market Size, Share & Trends Analysis Report By Type (Line-In-Play, Fixed Odd Betting, Daily Fantasy, E-Sports, Exchange Betting, Spread Betting, Others), By Sports Type (Football, Cricket, Tennis, Baseball, Volleyball, Basketball, Hockey, Horse Riding, Boxing, Golf, Racing, Others), By Platform (Website, Mobile, iOS , Android, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Market Overview

The global online sports betting market size was valued at USD 56.65 billion in 2023. It is estimated to reach USD 146.36 billion by 2032, growing at a CAGR of 11.2% during the forecast period (2024–2032). The online sports betting market is primarily driven by the growing number of laws and regulations supporting safe, legal, and responsible betting in the industry. Moreover, with the surging internet penetration, there has been a widespread proliferation of e-sports worldwide, which is estimated to present lucrative opportunities for the online sports betting market.

Online sports betting is the act of placing bets on the results of many sporting events through internet-based platforms. This form of betting has obtained immense popularity due to its convenience and accessibility. Bettors can place bets on an extensive range of sports, including football, basketball, tennis, and horse racing, from the comfort of their homes using computers or mobile devices.

Online sportsbooks offer various types of bets, such as moneyline bets, point spreads, and over/under bets, allowing users to engage with the sports they love in new and exciting ways. The online sports betting industry is very highly regulated in many regions to ensure fair play and protect consumers. It has also spurred technological advancements, such as live betting and mobile applications, enhancing the user experience and expanding the market globally.

Highlights

• Line-in-play dominated the type segment
• Football dominated the sports-type segment
• Mobile dominated the platform segment
• Europe is the highest shareholder in the global market

Market Dynamics

Global online sports betting market drivers:

Legalization and regulation of sports betting

Legalizing and regulating sports betting in various countries have significantly contributed to market growth. In 2018, the U.S. Supreme Court's ruling invalidating the Professional and Amateur Sports Protection Act (PASPA) allowed states to legalize sports betting. By 2023, more than 30 states had enacted legislation to legalize sports betting, resulting in a substantial market potential.

Similarly, in Europe, nations like the United Kingdom, Italy, and Spain have well-established legal frameworks for online sports betting, which ensures consumer protection and promotes fair play. The regulatory environment in these regions encourages responsible betting and provides a safe platform for users, boosting market growth. Moreover, the trend of legalization is expected to continue, with more countries and states considering regulating online sports betting, thereby expanding the market further.

Global online sports betting market restraint:

Increased negative effects on mental health and restrictions on online gambling

The rising popularity of online sports betting has led to severe mental health issues among users. Addiction to online gambling is compromising users' mental equilibrium, with rising addiction levels leading to increased suicides. In response, the Tamil Nadu State Government banned gambling websites in 2020 after noticing a surge in gambling-related debts. Pathological gambling, or compulsive gambling, causes chronic stress and hypertension.

Additionally, several countries have banned gambling websites due to the heightened risk of pathological gambling behavior. Nations like Russia, the UAE, Qatar, and Poland have imposed bans, with the UAE's Telecommunications Regulatory Authority actively blocking online casinos. Countries such as India, Singapore, and Japan are also likely to outlaw the online gambling sector. These stringent regulations and the negative impact on mental health are expected to significantly hamper the growth of the global market.

Global online sports betting market opportunities:

Growth of live e-sports coverage platform

The growth of live e-sports coverage media is significantly enhancing the global online sports betting market. With a substantial increase in viewers and revenue, brands recognize the opportunity to reach a vast and engaged audience through e-sports marketing. Platforms like Twitch and YouTube Gaming facilitate direct interaction between fans, players, and teams, fostering a robust community. This social aspect is a critical driver of e-sports' popularity.

Additionally, e-sports teams such as FaZe Clan are diversifying into merchandise, further boosting brand awareness and engagement. As live broadcasting platforms continue to popularize e-sports, they create lucrative opportunities for the online sports betting market. The increased investment and revenue in e-sports attract more bettors, who are drawn by the dynamic and interactive nature of live coverage. Thus, the expansion of live e-sports platforms is predicted to create substantial opportunities for the global online sports betting market.

Regional Overview

Europe Dominates the Global Market

Based on region, the global online sports betting market is bifurcated into North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa.

Europe is the largest contributor to the market and is expected to expand substantially during the forecast period. The region holds a dominant position in the global online sports betting market, driven by established regulatory frameworks, widespread internet access, and a strong sports culture. The region's mature market, high consumer engagement, and the leading market players contribute to its significant market share. Key countries such as the U.K. and France lead in terms of market size and growth potential.

The United Kingdom online sports betting market is a pivotal market in the European landscape, known for its comprehensive regulatory framework and robust market infrastructure. The UK Gambling Commission (UKGC) oversees the industry, ensuring a safe and fair betting environment. According to the Gambling Commission, the Total Gross Gambling Yield (GGY) of the Great Britain gambling industry was valued at £14.1 billion in 2022, highlighting the immense potential of the online sports betting market in this region.

Additionally, the popularity of football, horse racing, and other sports drives the market, with major events like the Grand National and the Premier League attracting significant betting activity. Moreover, the high internet penetration rate, standing at 96% as of 2023, further supports the growth of online sports betting in the UK.

France’s online sports betting market is another key player in Europe, characterized by its stringent regulatory environment and a strong sports betting culture. The French National Gambling Authority (ANJ) regulates the market, ensuring consumer protection and responsible gambling practices. In 2023, the French online gambling market, which is primarily driven by sports betting, generated EUR 2.3 billion in revenue, which is a rise of 7.2% compared to the year 2022. Additionally, major events such as Ligue 1 and the French Open attract a large number of bettors. Furthermore, the increasing adoption of digital platforms and the rise of mobile betting applications contribute to the market's expansion. France's internet penetration rate is 93% as of 2023, thereby supporting the accessibility and growth of online sports betting in the country.

Consequently, all these factors are anticipated to augment the European online sports betting market.

The Asia-Pacific (APAC) region is poised for significant growth in the global market, driven by rising internet penetration, rising disposable incomes, and a burgeoning middle class. The region's diverse sports culture and the popularity of various sports events further fuel the demand for online sports betting. With a rapidly expanding digital infrastructure and favorable demographic trends, APAC presents lucrative opportunities for market players.

China's online sports betting market is growing rapidly, bolstered by the country's vast internet user base and the increasing popularity of sports events. With over 1 billion internet users as of 2023, China offers a substantial market for online betting platforms. Furthermore, the Chinese Super League and international events like the FIFA World Cup attract significant betting activity. However, the market operates in a complex regulatory environment, as the government maintains strict controls on gambling activities. Despite these challenges, the growth potential remains high, especially with the rise of mobile payment solutions and e-commerce platforms facilitating online transactions.

India's online sports betting market is expanding at an impressive pace, driven by a young population, increasing smartphone penetration, and a strong sports culture. Cricket, in particular, dominates the betting landscape, with major events like the Indian Premier League (IPL) drawing millions of bettors. In 2023, India had over 750 million internet users, with a significant portion engaging in online sports betting. Furthermore, the market's growth is supported by the proliferation of digital payment methods and the growing acceptance of online gambling. While the regulatory framework remains ambiguous, the market's potential continues to attract international operators looking to tap into India's vast audience.

Thus, the factors above are estimated to augment the Asia-Pacific online sports betting market.

Analyst’s perspective

As per our research analyst, the online sports betting market's future opportunities are bright, driven by emerging technologies like AI and blockchain, which can enhance personalization and security. Additionally, the expansion into new markets, such as Latin America, Africa, and Asia, presents significant growth potential. The burgeoning eSports industry offers a promising segment, appealing to a younger, tech-savvy demographic. Moreover, cross-platform integration with media and sports leagues is expected to create seamless, engaging betting experiences, driving user engagement and unlocking new revenue streams.

Segment Overview

The global online sports betting market is segmented by type, sports type, and platform.

Based on type, the global online sports betting market is bifurcated into line-in-play, fixed-odd betting, daily fantasy, e-sports, exchange betting, spread betting, and others.

The line-in-play segment owns the largest market share and is expected to grow at a CAGR of 11.9% over the forecast period. Line-in-play betting, also known as in-play or live betting, is a form of sports wagering that allows bet placers to place bets on various outcomes during a live sporting event. Unlike traditional betting, where wagers are placed before the event starts, line-in-play betting offers dynamic odds that change in real time based on the ongoing action and developments in the game.

This type of betting provides an interactive and engaging experience, enabling bettors to react to the unfolding events, such as scoring changes, player performances, and game momentum. Popular in sports like football, basketball, tennis, and cricket, line-in-play betting requires quick decision-making and a deep understanding of the sport. It has grown significantly with the advent of online sports betting platforms, enhancing the excitement and potential for strategic betting opportunities.

Based on sports type, the global online sports betting market is segmented into football, cricket, tennis, baseball, volleyball, basketball, hockey, horse riding, boxing, golf, racing, and others.

The football segment dominated the market and is expected to grow at a CAGR of 11.91% during the forecast period. Football's global popularity, with millions of fans and numerous leagues and tournaments, provides ample betting opportunities year-round. Major events like the UEFA Champions League, FIFA World Cup, and domestic leagues attract significant betting activity, driving market growth. The segment benefits from extensive media coverage and live broadcasts, enhancing engagement and participation.

Additionally, innovations such as in-play betting, where users can place bets during live matches, and fantasy football leagues have further boosted the segment's appeal. As per the European Gaming and Betting Association, football accounts for over 50% of the total sports betting market in Europe, reflecting its dominance. Moreover, the continued popularity of football and the integration of advanced betting technologies ensure the segment's strong growth trajectory.

Based on the platform, the global online sports betting market is divided into websites, mobile, iOS, Android, and others.

The mobile platforms segment held the largest market share and is anticipated to expand at a CAGR of 12.4% during the forecast period. The mobile platforms segment in the global online sports betting market is experiencing rapid growth, driven by the rising use of smartphones and mobile applications. Mobile betting offers unparalleled convenience, allowing users to place bets anytime and anywhere. Moreover, the rise of mobile internet penetration, which is projected to reach 61% globally by 2025, further fuels this trend.

Furthermore, innovative features such as live streaming, in-play betting, and personalized notifications enhance the user experience, attracting more bettors to mobile platforms. Moreover, major operators are investing heavily in mobile technology, developing user-friendly apps that provide secure and seamless transactions. Also, the widespread availability of mobile payment options simplifies the betting process, contributing to the segment's expansion. With the ongoing advancements in mobile technology, the mobile platforms segment is poised to dominate the market in the coming years.

Recent Development

• August 2024- Monarch Casino Resort Spa in Black Hawk collaborated with International Game Technology to introduce a novel sports betting application, BetMonarch, to the Colorado market. BetMonarch is the first online sportsbook to be launched in Colorado in 2024.
• August 2024- DraftKings, a leading participant in the online sports betting sector, declared the implementation of a further additional fee on successful wagers, commencing in January 2025. This action, targeted at states with high tax rates, has generated substantial discourse and apprehension among gamblers and financiers alike.