New Jersey's $259m Online Gaming Revenue Reshapes State Gambling Market
New Jersey’s online gaming industry continued to reshape the state’s gambling landscape in January, outperforming traditional brick-and-mortar casinos for the third consecutive month.
Data from the New Jersey Division of Gaming Enforcement shows that online gaming generated nearly $259million in revenue in January, a 17% increase from the same month last year.
Meanwhile, Atlantic City’s nine retail casinos reported $213m in revenue from in-person play, up 1.6% year over year.
The strong digital performance helped push total gambling revenue - including casinos, racetracks and their partners - to $586.4m for the month, a nearly 6% increase compared to last year.
Industry analysts say the results reflect a continued shift in how players engage with gaming in the Garden State, particularly during the winter months, when many gravitate toward the best online casinos for convenience and variety.
Online Momentum Outpaces Retail Gains
Jane Bokunewicz, director of Stockton University’s Lloyd D. Levenson Institute of Gaming, Hospitality and Tourism, noted that internet gaming has become vital and now regularly rivals - or even surpasses - brick-and-mortar earnings.
She also pointed out that Atlantic City casinos do not retain all online revenue, as proceeds are shared with third-party technology providers and sportsbook partners.
Despite the growth of digital platforms, casino executives still consider in-person gaming the foundation of their business models. January results across Atlantic City were mixed.
Borgata Hotel Casino & Spa led the market with $56.7m, though that figure represented a 6.1% decline from last year.
“New Jersey’s $259m online surge shows digital gaming isn’t supplementing casinos - it’s reshaping the entire revenue model, forcing Atlantic City operators to adapt quickly.”
Hard Rock Hotel & Casino Atlantic City posted one of the strongest gains, rising nearly 21% to just under $46m. Ocean Casino Resort generated $35.4m, up 0.8%.
Elsewhere, Harrah’s Resort Atlantic City reported $16.6m in revenue, down 2.7%. Caesars Atlantic City recorded an 8% increase to $14.7m.
Tropicana Atlantic City saw revenue fall 14% to approximately $13m. Resorts Casino Hotel, Bally’s Atlantic City and Golden Nugget Atlantic City reported mixed results, with modest increases or declines year over year.
Although January marked Atlantic City’s strongest start to a year in more than a decade, most properties are still working to reach pre-pandemic benchmarks.
Borgata, Hard Rock and Ocean are the only casinos to have surpassed their January 2019 in-person revenue totals.
Sports Betting & Digital Growth Reshape Market
Sports betting added another dimension to the state’s gaming mix. Sportsbook revenue fell 6.5% year over year to $114.2m, compared to January 2025, when heavy wagering on the Philadelphia Eagles’ Super Bowl run boosted totals.
More than $1bn in bets were placed during the month, with online wagering accounting for the majority.
Gross gambling taxes reached $86.5m in January, providing a welcome lift to state revenues.
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As online gaming accelerates, operators face the challenge of balancing digital expansion with maintaining the appeal of physical casino floors.
Many players are increasingly splitting their time between resort visits and exploring the best online slots from home.
For now, the data suggests New Jersey’s gaming sector is evolving rapidly, with online platforms playing an increasingly central role in revenue generation and long-term growth.
