Online gambling seems to be a burgeoning industry. Online casinos offer a unique sort of service, where one can play their favourite casino games, and feel like they are at a high-class establishment, all the while relaxing on their couch in a pair of PJs and sipping on coffee or tea.
However, despite the financial success of iGaming, it seems that quite a lot of countries are still apprehensive. The unwillingness to commit to online casinos may stem from several things. One is a fear of the new. After all, the digital age has only just begun, and many are not ready to embrace it fully.
However, it seems that Ontario is willing to take the next step. In 2021, the Canadian province of Ontario created its own gambling license, and deemed it legal to gamble online. In this article, we’d like to explore how well that has turned out for the region.
Online Gambling vs. Sports Betting
The first aspect of the industry we’d like to examine is the difference between online gambling and sports betting. For many, it is a given that sports betting would be the number one attraction for most. In Canada especially, what with the country’s long and storied history with sports like hockey, basketball, and lacrosse.
However, it seems that online casinos now draw a lot more attention in Ontario. It could be because of a sort of recency bias. After all, online gambling games have only just been introduced to Ontario’s citizenry. However, it is much more likely that games like online slots, which can be found at slots like Daily Spins Casino, have truly managed to win the hearts of Canadian gamblers.
If we take a look at the 2023 data, gathered by the Alcohol and Gaming Commission of Ontario, we’ll find that Ontarians placed over $14 billion in wagers, with $11 billion going to casino games, and only $2 billion going towards sports betting (including eSports). This shows a clear bias towards online gambling, and away from sports betting.
The Economic Benefits
There is no denying that there is a good degree of economic benefits from legalizing iGaming. As we said, the industry is booming worldwide. Canadian law has left the issue of online gambling up to each province individually. Up until 2021, Ontarians, like all other Canadian citizens, could only gamble at offshore casinos.
However, once the Alcohol and Gambling Commission of Ontario was established, and the government passed a law legalizing online casinos in the province, this all changed. There are now plenty of online casino companies based in Toronto (and Ontario in general), which has led to quite a few positive outcomes, in terms of finance.
According to data from mid-2023, we can see that Ontario’s GDP has grown by $1.5 billion in only a year of iGaming being legalized. But, this isn’t just about the province’s bottom line. The Average Joe has also greatly benefited from the industry being legalized.
On average, in the middle of 2023, the legalization of online gambling led to the creation of over 10,000 jobs in the province. Couple that with the $900 million in labor income, and we have a pretty positive statistic to show. It is also worth remembering that these data came to us from close to a year ago. Meaning, the numbers could have, indeed, certainly has, increased by quite a margin in the intervening time.
The Future of Online Gambling in Ontario
Based on the data acquired by the iGO – a subsidiary of the Alcohol and Gambling Commission of Ontario, we can surmise what might happen in the coming years. Bear in mind, these are predictions based on data and statistics, not an accurate statement about the future of the province.
Some researchers have made the claim that the Ontarian iGaming industry will average over 22,000 full-time jobs. Some may worry about the wages of these jobs. After all, it is difficult, if not impossible to survive on the minimum wage. But, trust us when we say, there is no cause for alarm.
As of 2023, the annual compensation of working in Ontario’s gambling sector amounts to about $103,000. The number is close to 40% higher than what is considered average in Ontario’s other industries. Meaning, it will be theoretically possible to get a well-paying job in the gambling sector, but also build a career.
But, it isn’t just the everyman who will reap the rewards of iGaming. Ontario’s overall GDP is expected grow thanks to the gambling industry. An assessment states that iGaming may contribute as much as over $4 billion to the province’s gross domestic product.
But, none of this can compare to the most exciting prediction, that regarding the annual revenue of Ontario. According to some statisticians, if the iGaming market in Ontario continues down this path, we may expect to see an annual delivery of over $2 billion. With all this in mind, how will Ontario’s success impact the rest of Canada?
Online Gambling in Canada?
As things stand right now, online gambling has only been made legal in Ontario. The rest of Canada has laws prohibiting iGaming businesses from operating within the country. However, there are no laws prohibiting citizens from playing at offshore accounts. In other words, website’s whose base of operation is positioned outside of Canada, and therefore the Canadian government is not responsible for these businesses.
While many are satisfied with this arrangement, some have expressed a degree of dissatisfaction. Advocates for the legalization of online gambling have been raising quite a bit of commotion for a very long time. Now that Ontario has shown us what a success the iGaming industry could be, their voices grow louder.
It is possible that we may see the rest of the country adopt online gambling, if not any time soon, then certainly in a couple of years’ time. The success experienced by Ontario is not something to be ignored. And while many people may have concerns about iGaming, it seems the benefits greatly outweigh the cons.
