Ontario’s gambling industry has become a powerhouse that generated $1.4 billion in revenue during its first regulated year. The launch of iGaming Ontario in April 2022 sparked remarkable growth. Players’ quarterly wagers have more than quadrupled to $18.7 billion in the second quarter of 2024. Total wagers exceeded $72 billion last year.
The market has expanded rapidly. Ontario now ranks among North America’s largest regulated gambling markets with 51 licensed operators. The province’s online gambling scene faces a vital moment as it approaches a snap election. Doug Ford’s Progressive Conservative Party controls 79 out of 124 seats and enjoys strong support at 46% in recent polls. The election results could alter the map of iGaming Ontario, particularly as the province awaits a key Court of Appeal decision about international player pools.
Ontario iGaming Market Status
Ontario’s regulated iGaming market hit new heights in Q3 2024. Players wagered CAD 31.63 billion and generated gaming revenue of CAD 1150.64 million.
Current Market Size and Revenue
The market showed impressive growth as casino games pulled in CAD 26.33 billion in wagers and CAD 897.32 million in revenue. Sports betting added another CAD 4.74 billion in wagers and CAD 231.30 million in revenue. On top of that, peer-to-peer poker brought in CAD 582.42 million in wagers and CAD 22.29 million in revenue.
Key Operators and Offerings
The province now has 50 operators running 84 gaming websites. These platforms give players access to:
- Casino games (slots, live tables, computer-based games)
- Sports and event betting
- Peer-to-peer poker
- Live dealer experiences
Recent Regulatory Developments
The Ontario government brought in Bill 216 in late 2024 that completely changes how the market is overseen. iGaming Ontario will break away from the Alcohol and Gaming Commission of Ontario to become its own entity in early 2025.
New advertising rules came into effect in February 2024 that ban social media influencers who appeal to minors. These regulations also restrict athletes to only promote responsible gambling messages.
The market has matured so well that other provinces look to Ontario as an example. Alberta is already looking at similar laws. The success shows in the numbers – about 85% of players have moved from gray market sites to legal wagering platforms.
Election Impact on Gambling Laws
Ontario faces a snap election on February 27 that could change its gambling landscape. Polls show Progressive Conservatives are heavy favorites to form the next government.
PC Party Gambling Platform
Doug Ford’s government wants to grow the regulated market as they wait for an important court ruling. They need clarity about whether Ontario’s regulated online gaming sites can let players gamble with people outside Canada. The government stays firm on protecting the province’s gaming revenue through regulated operators.
Opposition Party Positions
Other parties have different views on gambling rules:
- NDP’s ‘Ban iGaming Advertising Act’ wants to set fines between CAD 34,834 and CAD 1.39 million for breaking advertising rules
- Liberal Party wants tighter oversight and better consumer protection
- The New Blue Party says it will cancel Toronto Star’s CAD 696.68 million online gambling license
Potential Regulatory Changes
This election could change many pending regulatory decisions. The PC government asked the Court of Appeal about international player pools, but we’re still waiting for their ruling. A favorable decision would let Ontario players join international poker pools and paid daily fantasy contests.
The province has banned athlete endorsements in gambling ads, with new rules starting February 28, 2024. Mental health professionals raised concerns about how gambling ads affect young people and at-risk groups.
Sports Betting Landscape
Sports betting continues to thrive in Ontario’s regulated market. The betting handle reached CAD 3.07 billion in Q2 2024.
Current Market Performance
Basketball leads the betting scene with 29% of all betting wagers. Soccer follows at 15%, and football claims 13% of the market. The sector generated CAD 232.69 million in gross gaming revenue during Q2 2024. This represents a 41.6% increase from the previous year. The market includes several betting options:
- Sports and esports wagering
- Proposition and novelty bets
- Exchange betting activities
Advertising Restrictions
The Alcohol and Gaming Commission of Ontario rolled out tough advertising regulations in February 2024. These rules ban active or retired athletes from marketing campaigns unless they promote responsible gambling practices. The restrictions go beyond athletes. The rules also prohibit entertainers, social media influencers, and cartoon characters who might appeal to underage audiences.
Growth Projections
The Canadian sports betting market shows remarkable promise. Experts project it to reach CAD 7.66 billion by 2030. Ontario remains North America’s fastest-growing regional market. Player numbers continue to rise, with more than 1.3 million active accounts in Q2 2024. This shows a 40% increase from the previous year. Players now spend an average of CAD 429.15 monthly, up from CAD 266.13 in the preceding year.
International Gaming Implications
The Ontario Court of Appeal is looking into a groundbreaking case that could change how the province handles global online gambling.
Cross-border Operations
Ontario wants court approval to let local players join international peer-to-peer games, especially poker and daily fantasy sports. This move will boost consumer protection measures as iGaming Ontario takes charge of key operations like data management, anti-money laundering compliance, and responsible gambling. The province’s rules will keep full control of Ontario-based players through two separate but connected regulatory systems.
Liquidity Sharing Possibilities
Shared liquidity opportunities reach beyond international borders. Alberta shows keen interest in joining Ontario’s gaming network. This partnership would create Canada’s second multi-jurisdictional network for online poker. Players would benefit from:
- Bigger prize pools
- More gaming options
- Higher revenue potential
- 24/7 gaming access
Global Market Position
Ontario’s regulated market now holds sixth place globally in gross gaming revenue, beating established markets like Michigan and New York. The province ranks among North America’s top five in total sports betting wagers. Five operators run peer-to-peer poker games, making Ontario North America’s biggest ring-fenced online poker market by gaming revenue.
Ontario’s regulatory approach catches global attention with 47 operators running 77 gaming websites. The province welcomes new operators to launch, invest, and grow their presence. As the market matures, it moves toward value-added activities that include market insights and better administrative processes.
Conclusion
Ontario’s iGaming market shows evidence of what good regulation and rapid growth can achieve. The province has become a leading force in North America’s regulated gambling world, with first-year revenue hitting $1.4 billion and quarterly wagers reaching $18.7 billion.
The snap election ahead will define Ontario’s gambling future. Doug Ford’s Progressive Conservative Party holds strong at 46% support. Their decisions about international player pools and advertising limits will reshape the scene. These choices won’t just affect Ontario’s market – they’ll guide other Canadian provinces that want to follow suit.
Sports betting numbers tell a clear story of market strength, with CAD 232.69 million generated in Q2 2024. Ontario’s gambling market keeps growing and setting new standards for responsible gaming, even with tighter advertising rules and regulatory updates.
The Court of Appeal’s upcoming ruling on international player pools could alter Ontario’s global gaming position. This decision and the election results will determine if North America’s sixth-largest regulated market stays on its current path or expands globally.
FAQs
Q1. How has Ontario’s iGaming market performed since its launch?
Ontario’s iGaming market has shown remarkable growth, generating $1.4 billion in revenue within its first year of regulation. Quarterly wagers have more than quadrupled since its launch in April 2022, reaching $18.7 billion in the second quarter of 2024.
Q2. What impact could the upcoming snap election have on Ontario’s gambling laws?
The snap election outcome could significantly reshape iGaming Ontario’s future. Different political parties have varying stances on gambling regulations, from expanding the regulated market to proposing stricter oversight and advertising restrictions.
Q3. How is the sports betting landscape evolving in Ontario?
Sports betting in Ontario is thriving, with the betting handle reaching CAD 3.07 billion in Q2 2024. Basketball dominates the betting landscape, followed by soccer and football. The sector is projected to continue growing, with the Canadian sports betting market expected to reach CAD 7.66 billion by 2030.
Q4. What are the recent changes in gambling advertising regulations in Ontario?
Ontario implemented new advertising restrictions in February 2024, prohibiting the use of social media influencers who appeal to minors and limiting athlete involvement in marketing to responsible gambling advocacy. The use of active or retired athletes in marketing campaigns is now banned unless promoting responsible gambling practices.
Q5. How might Ontario’s gambling market expand internationally?
Ontario is seeking court approval to enable local players to participate in international peer-to-peer games, primarily focusing on poker and daily fantasy sports. This could potentially create larger prize pools, enhance gaming product diversity, and improve revenue generation. The province is also considering liquidity sharing possibilities with other jurisdictions, such as Alberta.
