Expanding Within a Decade: The Growth Trajectory of New York's Sports Betting Industry, Accumulating a Whopping $6 Billion Investment
New York's sports betting market has been on an impressive growth trajectory, setting new records in the fiscal year 2024-2025. The market, which was legalized in an unspecified year and authorized nine sportsbooks, took a significant leap forward in 2022 with the launch of mobile betting, leading to explosive growth in revenue.
In 2023, the market generated approximately $1.7 billion in gross gaming revenue (GGR) and $861 million in tax revenue. The following year, in 2024, the GGR was approximately $2.05 billion, and the tax revenue was approximately $1.04 billion.
The upward trend in New York's sports betting revenue is primarily due to the increase in mobile betting availability. This expansion has contributed to the market's evolution, with new operator competition playing a role in its growth. Notable operators in the market include Caesars, DraftKings, FanDuel, and Rush Street.
The growth in New York's sports betting market is not limited to a specific operator. In fact, the market experienced full-year mobile betting with new operator competition in 2023, contributing to its success.
New York's sports betting market is one of the largest contributors to sports betting tax revenue in the U.S., accounting for 37% in 2023. This significant contribution is due in part to the state's high online sports betting tax rate of 51% on Gross Gaming Revenue, and a 10% tax on retail sports betting revenue.
In June 2025, New York sportsbooks surpassed $6 billion in revenue before paying taxes, reflecting the market's continued growth. However, there were some seasonal fluctuations, with betting revenue dropping by 17% compared to May, although revenue was still 65.2% higher than June 2024. Sports bettors wagered over $2 billion in May 2025 alone, demonstrating sustained engagement despite typical seasonal fluctuations.
The website Legal Sports Betting, an independent news source, covers the sports betting market in New York, with articles written by Bryce Meades. It is important to note that Legal Sports Betting may receive a commission from partners when purchases are made through links on their site.
Looking ahead, the current trend in New York sports betting revenue shows strong growth with record-breaking mobile sports betting handles and GGR. For example, the mobile sports betting handle increased by 20% in March 2025 to $23.94 billion, with an annual GGR of $2.14 billion, up 21.6% year-over-year. This marks the highest annual handle recorded by any U.S. state.
In conclusion, New York’s sports betting market is currently experiencing high handles and revenues with some typical seasonal fluctuations, and its large-scale betting combined with the state's high online tax rate results in a significant contribution to overall U.S. sports betting tax revenues.
[1] Legal Sports Betting. (n.d.). New York sports betting handles and revenue soar in 2025. Retrieved from https://legalsportsbetting.com/news/new-york-sports-betting-handles-and-revenue-soar-in-2025/
[2] Legal Sports Betting. (n.d.). New York's high online sports betting tax rate fuels state revenue. Retrieved from https://legalsportsbetting.com/news/new-yorks-high-online-sports-betting-tax-rate-fuels-state-revenue/
[3] Legal Sports Betting. (n.d.). New York sports betting revenue declines in June 2025. Retrieved from https://legalsportsbetting.com/news/new-york-sports-betting-revenue-declines-in-june-2025/
[4] Legal Sports Betting. (n.d.). New York leads U.S. sports betting market in revenue. Retrieved from https://legalsportsbetting.com/news/new-york-leads-u-s-sports-betting-market-in-revenue/
[5] Legal Sports Betting. (n.d.). New York sports betting revenue remains strong in May 2025. Retrieved from https://legalsportsbetting.com/news/new-york-sports-betting-revenue-remains-strong-in-may-2025/
- The growth in New York's sports betting market, marked by record-breaking mobile sports betting handles and GGR, has not only been sparked by seasonal fluctuations but also by the competitive landscape with operators such as Caesars, DraftKings, FanDuel, and Rush Street.
- In the United States, New York's sports betting market, with its high online tax rate of 51% on Gross Gaming Revenue, is a significant contributor to the overall sports betting tax revenues and has even surpassed $6 billion in revenue before taxes, as reported by Legal Sports Betting.
