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Saturday, March 14, 2026

Online betting outpaces casinos: New Jersey gaming revenue hits $586M in January

Despite a stretch of “brutal cold” and severe winter weather that gripped the region, New Jersey’s gaming industry kicked off 2026 with a resilient performance. The New Jersey Division of Gaming Enforcement (DGE) announced Tuesday that total gaming revenue reached $586.4 million in January, a 5.9% increase over the same period last year.

While the nine Atlantic City casino hotels managed a slight uptick in foot traffic, the real story continues to be the unstoppable surge of digital platforms. For the third consecutive month, internet gaming revenue eclipsed traditional “brick-and-mortar” winnings, signaling a fundamental shift in how the Garden State gambles.

Internet gaming win soared to $258.9 million in January, reflecting 16.8% growth compared to January 2025. Online platforms now command a nearly half-share of the entire market.

January 2026 Revenue Market Share:

  • Internet Gaming: 48.1% ($258.9M)
  • Casino Win (In-Person): 39.7% ($213.3M)
  • Sports Wagering: 12.2% ($114.2M)

With this month’s report, the DGE debuted a new summary table providing a clearer look at the “business dynamics” of online gaming. The data reveals that the vast majority of New Jersey’s digital success belongs to outside tech giants rather than the casinos themselves.

  • Third-Party Brands: Entities that contract with casinos for market access (such as DraftKings or FanDuel) realized 67.6% of the online revenue.

  • Direct Casino Brands: Only two operations in the state recognize all gross revenues under their own brand, accounting for a tiny 2.3% of the market share.

“With casinos often relying on third-party operators to manage their internet gaming sites, it seems that much of the benefit of this growing segment is experienced outside of Atlantic City,” the DGE noted in its summary.

January 2026 Performance Breakdown

Vertical Revenue (Jan 2026) Growth vs. Jan 2025
Total Gaming Revenue $586.4 Million +5.9%
Internet Gaming Win $258.9 Million +16.8%
Casino Win (In-Person) $213.3 Million +1.6%
Sports Wagering $114.2 Million -6.5%

Jane Bokunewicz, faculty director of the Lloyd D. Levenson Institute of Gaming, Hospitality and Tourism (LIGHT) at Stockton University, observed that while the numbers are high, they highlight the increasing pressure on physical resorts.

The 1.6% increase in land-based casino win was considered a victory given the harsh weather, which usually keeps gamblers at home. However, Bokunewicz has previously noted that as revenue shifts online, the high cost of maintaining massive resort properties in Atlantic City becomes harder to justify without a corresponding surge in in-person play.

Total taxes collected from the industry in January amounted to $86.5 million, providing a significant boost to state programs for seniors and disabled residents.

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