2025 Set to Be a Transformative Year for the Global Gaming Industry

As the new year begins, the gaming sector is preparing for significant events and shifts, including the highly anticipated ICE Barcelona in just a few weeks. Meanwhile, several U.S. states have started their legislative sessions with proposals to launch online gaming, signaling potential new opportunities in the American market. The holiday period, however, offered a moment to reflect on the evolution of the gaming industry in 2024 and consider the trends and developments likely to dominate headlines in the months ahead.

The legal launch of online betting in Brazil captured widespread attention last year, and the nascent licensed market is poised to remain a focal point in 2025. In mid-2024, 113 operators applied for early-stage licenses, with hopes of being among the first to launch as the market officially opened on January 1. By the end of the year, Brazil’s Secretariat for Public Affairs had approved 66 licenses, including 14 full licenses and 52 provisional ones. These provisional licenses allow operators to offer services while completing necessary documentation and certifications required by the regulator.

Clyde Harris, a partner at tech consultancy Circle Squared, predicts that Brazil will remain a top news story in 2025, though the market will need time to stabilize. “Brazil will be very fluid as the market recalibrates and the impact of new regulations ripple through,” Harris explained. “The start of the year saw the ‘end of the beginning’ but definitely not the end of the period of significant change in Brazil. It will take time for the market to settle down and for the effects of all the changes to ripple through. Don’t be surprised to see additional regulations or changes to existing regulations as the authorities keep a close eye on the environment they have created.”

Harris also highlighted the impact of international operators entering the Brazilian market, noting that companies like BetMGM and Caesar’s Sportsbook’s Big Brazil could quickly capture significant market share. “The ability of these operators to leverage their existing technical and operational capabilities along with their financial muscle and marketing know-how will likely see them quickly shake up the market,” he added.

While other jurisdictions may see regulatory changes in 2025, Harris believes none will rival Brazil’s significance. “Brazil is the tenth biggest economy in the world by GDP, has a population of over 200 million, and already had a well-established betting industry that was in a very unusual position,” Harris said. “That confluence won’t be repeated anywhere else in 2025.” Although other regions, such as Canada, parts of Africa, and other Latin American countries, may attract interest, they are unlikely to generate the same level of intense focus as Brazil.

Beyond geographical expansion, the sector is also exploring novel betting options. Robinhood, a platform known for its user-friendly stock and crypto trading, hinted at entering the betting market, though the exact nature of its offering remains unclear. The platform’s innovative approach to trading has already garnered a substantial following among novice retail traders.

In 2024, prediction markets gained traction in the U.S., where legal wagers on the general election were allowed for the first time. By November 7, Kalshi, a derivatives exchange, reported handling over $700 million in election-related contracts. Mick d’Ancona, another partner at Circle Squared, expects such alternative betting options to gain further popularity. “Alternative ways to ‘bet’ got a lot of attention in 2024 as the industry sat up and took notice of the volumes being traded on sweepstake products and Robinhood’s binary option market on the US election,” he observed.

Sebastian Lewis, co-founder of Plucky, a UK-licensed free-to-play games and pool betting operator, anticipates a renewed focus on social betting. “I expect that the next 12 months will see a shift in the general psyche to engage in more direct ways once again,” Lewis explained. He emphasized the enduring appeal of social wagering within workplaces, families, and friend groups. “This could be the year that we harness this segment, empowering bettors with the social wagering opportunities they love, but in a modern-day context.”

Meanwhile, regulatory scrutiny over gambling advertising and sponsorships is set to intensify. The UK’s ban on front-of-shirt sponsorships in the Premier League will take effect in the 2025-26 season, prompting operators to explore innovative marketing strategies. Australia is also considering reforms to gambling advertising, though the specifics remain unclear. Prime Minister Anthony Albanese has indicated a potential ban on online gambling ads and restrictions on ads during live sports broadcasts. France, for its part, has ordered leading online operators to reduce their promotional and marketing budgets in 2025 to better protect minors.

Jai Maw, co-founder and president of Betting Hero, suggests operators will reassess their sponsorship strategies to align with these evolving regulations. “Sports teams and leagues must innovate, offering added value to maintain and attract partnerships, ensuring mutual benefits in a scrutinized environment,” Maw said.

As the industry continues to combat the proliferation of black-market operations, 2025 promises to be another transformative year. While regulatory changes and market expansions present challenges, they also offer opportunities for innovation and growth. The year ahead will likely define the trajectory of the global gaming sector for years to come.

By fLEXI tEAM