iGaming growth offsets sports betting decline

Online gambling revenue in Michigan increased 7.6% year-on-year in January, reaching $356.3 million, according to the Michigan Gaming Control Board (MGCB).

The total was higher than January 2025 but down 10.9% compared to December’s performance.

While online casino continued its upward trajectory, sports betting revenue recorded a significant decline.

iGaming posts double-digit growth

Gross iGaming receipts hit $298.3 million during the month, marking a 20.2% increase compared to January last year.

Adjusted iCasino revenue, which factors in promotional spending, climbed 22.8% to $286.3 million.

The strong performance in online casino verticals helped counterbalance weaker results in sports wagering.

Sports betting revenue slides 30%

Online sports betting gross receipts fell 30.1% year-on-year to $58 million.

After accounting for promotional activity, adjusted sports betting receipts dropped 32.5% to $37 million.

Handle also declined. Michigan bettors wagered $491.3 million online in January, down 11.5% from the previous year.

This translated to:

  • Statewide hold of 11.8% based on gross receipts
  • Adjusted hold of 7.53%

The figures indicate softer betting activity despite relatively stable margins.

FanDuel and MotorCity remain market leaders

In the operator rankings, FanDuel and its partner MotorCity Casino led both online casino and sports betting segments.

Online casino standings

  • FanDuel/MotorCity: $73.3m gross, $70.4m adjusted
  • BetMGM (with MGM Grand Detroit): $65.8m gross, $63.2m adjusted
  • DraftKings and Bay Mills Indian Community: $45.5m gross, $43.7m adjusted

Online sports betting standings

FanDuel/MotorCity also topped sports betting with:

  • $22.8m gross receipts
  • $14.6m adjusted receipts
  • $168.3m handle
  • 13.47% hold

DraftKings/Bay Mills placed second with $16.2m gross and $11.6m adjusted revenue from a $144.8m handle, generating an 11.19% hold.

BetMGM and MGM Grand Detroit ranked third, posting $8.1m gross and $4.8m adjusted from a $61.1m handle, reflecting a 13.26% hold.

Tax contributions exceed $57 million

Operators paid $57.1 million in taxes and state payments during January 2025.

Detroit’s three commercial casinos contributed $13.9 million to the city during the month.

Detroit casino revenue tops $103.9 million

Across retail operations, Detroit’s three casinos generated $103.9 million in total revenue in January.

Table games and slots revenue edged up 0.8% year-on-year to $103.1 million. However, qualified adjusted gross receipts from retail sports betting fell sharply by 69.5% to $789,669.

Market share among the three casinos stood at:

  • MGM: 49%
  • MotorCity: 30%
  • Hollywood Casino at Greektown: 21%

Summary

Michigan’s online gambling market delivered $356.3 million in revenue in January, up 7.6% year-on-year, driven by a 20% surge in iGaming. However, sports betting revenue dropped more than 30%, with handle also declining. FanDuel and MotorCity maintained leadership across both verticals, while tax contributions to the state exceeded $57 million for the month.