The U.S. iGaming industry has grown rapidly since the Supreme Court overturned PASPA in 2018, opening the door for sports betting, online casinos, poker, and fantasy sports. However, this growth has come with challenges that many international operators now find unsustainable.
Companies like Super Group, Kindred Group (Unibet), 888 Holdings (Evoke), Tipico, and Betfred have exited the U.S. market. The reasons are clear: state-by-state regulations have created high compliance costs, licensing fees continue to rise, and many states have raised taxes on operators. As a result, profitability has become increasingly elusive for companies without the scale and cultural foothold of U.S.-based firms.
In contrast, domestic leaders such as FanDuel, DraftKings, and Caesars maintain significant market advantages. Their roots in daily fantasy sports provided large user bases and brand recognition before legalization. Today, they control more than 65% of the market combined, allowing them to invest heavily in technology, marketing, and compliance. They also demonstrate resilience by adapting pricing models to absorb new state-level taxes and fees.
Experts like Jason Heller of 5WPR argue that these exits signal a broader industry pivot. International operators are now choosing to prioritize markets with clearer profitability and more stable regulatory conditions. Meanwhile, new technologies such as AI and blockchain are reshaping the future of iGaming, creating opportunities for operators who can deliver faster, more transparent, and personalized gaming experiences.
The U.S. market is no longer defined by expansion alone. The new focus is on long-term sustainability, efficiency, and innovation — a shift that favors domestic leaders and challenges global entrants.
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