Michigan iGaming Sets Record as Sports Betting Slumps in March

Michigan’s digital gambling industry experienced a historic upswing in March 2025, fueled by a record-breaking surge in internet gaming (iGaming) revenues. The Michigan Gaming Control Board (MGCB) revealed that the state’s licensed commercial and tribal operators together earned $293.5 million from online gambling activities, a 9.3% month-over-month increase from February’s $268.5 million.

Of that total, iGaming was the standout performer. March’s iGaming gross receipts soared to $260.5 million, eclipsing the prior all-time high of $248.2 million set just two months earlier in January. Compared to February’s $222.5 million, this marks a 17% increase. Year-on-year, adjusted gross receipts (AGR) for iGaming reached $246.1 million—an impressive 26.5% jump over March 2024.

Michigan’s leading online casino platforms were key players in this growth. BetMGM, in partnership with MGM Grand Detroit, reclaimed the top spot with $69 million in iGaming gross receipts and $64.8 million in AGR. Close behind, FanDuel and MotorCity Casino posted $68.1 million in gross and $64 million in adjusted receipts. DraftKings, working with the Bay Mills Indian Community, followed with $41.1 million in gross and $38.7 million in AGR.

This strong showing translated into substantial tax revenue. The state of Michigan received $50.5 million in iGaming-related taxes and fees. Detroit’s three commercial casinos also contributed $13.1 million to the city’s coffers from internet gaming alone. Tribal operators paid an additional $6 million to their respective authorities.

Sports Betting Revenue Declines Despite Higher Wagers

While the iGaming sector thrived, sports betting told a different story. Gross receipts from internet sports wagering fell sharply to $33 million in March, down from $46 million in February and marking a 21.2% decline compared to the previous year. Adjusted gross receipts for sports betting tumbled to $14.6 million—a 45.3% year-over-year drop.

This drop occurred despite a rise in player activity. The state’s online sportsbooks handled $475.1 million in wagers in March, up 25.1% from February’s $379.8 million. Yet, a customer-favorable March Madness season meant sportsbooks struggled to retain profits. The monthly hold rate—a measure of the percentage of wagered money kept by sportsbooks—stood at just 6.9%, among the lowest seen in the last year and a half.

FanDuel remained the frontrunner in sports betting, generating $14.1 million in gross revenue from a $179 million handle, reflecting a 7.88% hold. DraftKings followed with $9.5 million from $129 million, and BetMGM rounded out the top three with $3.9 million from nearly $70 million in wagers. The state collected $874,052 in taxes from online sports betting, while Detroit received $281,974.

Casino Revenues in Detroit See Mixed Results

In addition to online gambling, the MGCB shared data on Detroit’s land-based casino revenues. Total revenue from the city’s three commercial casinos reached $117.4 million in March, down 5.3% from the same month last year. However, this represented an 18.8% increase over February’s figures.

Table games and slots brought in $116.8 million, while qualified adjusted gross receipts came in at just $571,216—a significant year-over-year decrease of 64.3%. MGM retained its lead in market share with 46%, followed by MotorCity at 31% and Hollywood Casino at Greektown at 23%.

In of taxes from these in-person operations, Detroit casinos paid $9.5 million to the state and $13.9 million to the city. An additional $21,592 in retail sports betting tax was paid to the state, while Detroit received $26,390 from those same activities.

Michigan’s Gambling Sector Continues to Evolve

As of March 2025, 15 licensed commercial and tribal operators are authorized to offer iGaming and/or internet sports betting in Michigan, with all 15 engaged in iGaming and 12 offering online sports wagering. While the sports betting sector faced headwinds in March, the robust performance of the iGaming market provided a substantial lift to overall revenue.

Players and observers alike are keeping a close watch on how Michigan’s gaming market evolves, especially as March’s iGaming performance sets a high bar for future months. With the first quarter of 2025 already generating $731.2 million in iGaming gross revenue, it’s clear that online casinos continue to dominate the state’s digital gambling landscape.

Source:

iGaming, sports betting operators report $293.5M in March revenue, michigan.gov, April 17, 2025.