2024 Sports Betting & iGaming: Trends Reshaping the Future
While consumers benefit from streamlined services and diverse options, smaller market players face pressure to innovate or risk losing relevance. By recognizing these dynamics, I can anticipate future trends and strategic maneuvers. IMAA’s dataset on the M&A activities of the sports industry is a vital asset for understanding the sector. It provides a comprehensive historical overview, essential for informed decision-making and strategic planning by stakeholders.
- The era of indiscriminate bonus spending is giving way to a more nuanced approach, where personalization and data-driven insights take center stage.
- Larger entities benefit from economies of scale, which can lead to improved operational efficiencies and cost savings.
- The integration of blockchain technology is also emerging as a potential solution to address transparency and security concerns, further strengthening consumer trust in live betting platforms.
Gambling Compliance
Microbetting, especially favored by younger audiences, is also on the rise, focusing on specific events. The integration of blockchain technology is also emerging as a potential solution to address transparency and security concerns, further strengthening consumer trust in live betting platforms. Major operators now rely heavily on affiliate marketing for customer acquisitions in the sports betting arena.
The US gaming industry was reforged when Scientific Games acquired their rival, Bally Technologies. These two companies had been fighting for the top spot in the physical slot machine market in the US market and were both very visible brands in the casino scene. GVC (later known as Entain) bought Ladbrokes Coral to create an online-led gambling behemoth.
Five trends explain why deal making in 2024 is likely to pick up.
Asia Pacific buyers expanded investment within their own region in absolute terms but more than doubled their investment into the Americas. In the first half of 2025, the Americas represented 22% of their total deal value, up from 11% the year prior. The top 10 biggest iGaming acquisitions to this day show that, nowadays, a sale has to reach over the threshold of $4.7 billion to make it to the top list of all time. This threshold was actually set as early as 2006 when the very first billion-dollar merger happened between Lottomatica and GTECH Holdings.
This surge follows the Supreme Court’s 2018 decision to overturn PASPA, leading to 38 states now permitting sports betting. However, these regulatory uncertainties not only delay market entry strategies but also inflate operational costs. Smaller operators, in particular, find themselves at a disadvantage, struggling to allocate the resources needed to navigate this intricate compliance maze. They lead to a concentration of market power within fewer companies, influencing competitive dynamics. However, consumers might benefit from improved services due to enhanced technological integration and broader betting options offered by consolidated operators. The third issue to watch is how well PE players manage to reduce the backlog of portfolio companies on their books so that they can return money to investors and have an easier time raising new funds.
Companies that strategically embrace these changes will not only survive but thrive, setting new standards and paving the way for a vibrant and sustainable future in the gambling sector. As stakeholders, it is imperative to stay informed and adaptable to leverage the full potential of these transformative opportunities. This deal created the largest publicly listed online gaming operator and gave The Stars Group an increased presence in the UK gambling market. The other key aspect of the deal was access to Sky Betting & Gaming’s innovative casino and betting offerings and the highly popular portfolio of mobile apps.
“In addition, organizations that are more specialized, efficient and better-capitalized are better positioned to be acquirers and pursue transformative M&A in this environment.” As governments around the world continue to implement stricter regulations and licensing requirements, companies have sought to acquire firms with robust compliance frameworks and established market presence in regulated jurisdictions. This strategic approach not only mitigates regulatory risks but also facilitates smoother entry into new markets. The betting industry has seen significant consolidation influenced by various factors.
This forward-looking approach sharpens the focus on value creation beyond current market volatility. In conclusion, M&A activities are fundamentally transforming the gambling industry by creating powerhouse entities that are well-positioned to lead in the coming years. These strategic moves are not only reshaping competitive dynamics but are also setting the stage for a future where innovation, integration, and globalization define the industry’s leading companies.
“The combination of COVID and a lot of investment activity just opened up everyone’s eyes that this is a category you can invest in. The large number of SPACs looking for a sports-themed company is expected to drive M&A activity, too (assuming the PIPE market holds it up). Remember, each SPAC that goes public needs to complete a business combination within two years (or return the money raised to shareholders and shutter the SPAC).
If you can’t provide your customers with something, buy a company that can and add it to your portfolio. The purpose of an iGaming acquisition is to get a better foothold in the market as a whole. Be it through entering a new market, as a growth strategy, decreasing the competition or acquiring new technology. Here is an extensive record of all major iGaming acquisitions and mergers to this day.
Assets, staff and services are integrated while still appearing to be the same entity. When companies make acquisitions, they usually fall into one of the following four categories. Amaya Gaming was able to bring these operators to more licensed markets and hasten their return to the US market. The gamut of gambling services would range from smaller online options to household names and well-known local shops. Brands like Party Casino, Foxy Games, bwin, Gala Bingo and many others were now under the Entain Umbrella.
The data provided by Bojoko shows that the acquisition trends have affected the number of small businesses the most since large companies are acquiring smaller competitors. A recent example is from 2023, when Entain acquired six smaller companies for a sales total of approximately $2.5M. One of the more common things you see in this market is game providers being bought. Big brands buy out smaller competition for their hit games or innovative technologies, which they then can use on their products.
In an industry characterized by rapid innovation and evolving consumer preferences, mergers and acquisitions (M&A) have become powerful catalysts for growth and transformation. The iGaming sector, encompassing online casinos, sports betting, slot studios, and gambling software providers, is experiencing a dynamic wave of consolidation. This article delves into the multifaceted landscape of M&A within the iGaming world, offering insights into how strategic mergers are reshaping the competitive terrain. From headline-grabbing deals to behind-the-scenes alliances, we explore the motivations driving these transactions and the broader implications for industry stakeholders. Join us as we navigate this transformative journey through sections that shed light on the evolution of M&A in iGaming, the sweeping changes in sports betting, and the strategic maneuvers among slot studios and software providers.
Flutter Entertainment, the parent company of FanDuel, completed its acquisition of Snaitech, one of Italy’s leading online gambling platforms, for €2.3 billion. This strategic move gives Flutter a dominant position in Italy, Europe’s largest regulated gambling market. “We still have a lot of major players in the U.S. that haven’t gotten into online sports betting or internet casino, and that’s going to be a tailwind for further M&A,” Carter added. Corporate separation activity, with companies spinning off parts of the organization to streamline their roobet business or to raise capital, was resilient in 2023 despite capital market volatility and will likely continue in 2024.