How Smartphones Are Shaping the Future of Online Casinos
It comes as no surprise that a modern online casino or a game can hardly be considered a success if it is not adapted to mobile devices. The growth of gaming across smartphones and tablets has grown significantly in the last decade or so. These days, up to 90% of residents in Europe use smartphones on a daily basis. Out of all the users, up to 40% use their mobile device to play games of chance online. It won’t be an exaggeration to say that in the upcoming years, there will be even more online gamblers opting in to play on the go. This means that the industry will continue shifting and adapting to serve this need.
Needless to say, our team is here to explore how mobile devices have transformed the gambling landscape. Join us as we discuss the latest and older trends, key drivers of growth, and the implications for the future of online casinos.
What Mobile Gambling Used to Be
The online gambling industry began to take shape in the mid-to-late 1990s with the advent of the Internet. Early online operators were simple, often featuring basic graphics and limited game options. However, they were revolutionary for their time, allowing players to gamble from their desktops without needing to visit a physical casino.
The development of encryption technology and secure online payment methods in the late 1990s helped build trust among users, leading to a surge in the popularity of online games of chance. By the early 2000s, major online platforms like 888Casino and Betfair emerged, offering a wide range of games such as poker, slots, and table games.
Shift to Mobile Gaming in the Late 2000s
The next big leap for the industry came with the rise of mobile technology. As smartphones grew in popularity in the late 2000s, driven by advancements in operating systems like iOS and Android, internet connectivity vastly improved with the spread of 3G and 4G networks. This shift opened the door for gambling companies to create mobile-friendly platforms.
Initially, gaming on the go was fairly basic, with limited offerings and clunky interfaces. However, as smartphones became more powerful, so did the capabilities of mobile gambling apps and websites. The convenience of being able to gamble on the go attracted a broader audience, including users who may not have engaged in desktop-based online gambling.
Key Milestones in Mobile Gambling
The first mobile gaming lobbies mostly focused on simplified versions of traditional games like blackjack and slots. When more advanced smartphones like the iPhone hit the market, it allowed developers to create richer and more user-friendly gambling apps. The release of app stores further fueled growth, with many gambling companies launching their own mobile apps by the late 2000s.
The growth of HTML5 technology was another key milestone, as it allowed for responsive mobile sites that could adapt seamlessly to different screen sizes without needing a dedicated app. This was crucial for capturing the growing segment of casual players who preferred instant access to games via mobile browsers rather than installing separate apps. Moreover, innovations like appealing live content, sports betting apps, and interactive slots with touch-sensitive features all contributed to the rapid expansion of mobile gambling platforms during this time.
By the mid-2010s, mobile gambling had become a major force in the industry, surpassing desktop gaming in many regions. Today, mobile platforms dominate the market, with most major online operators and betting companies prioritizing mobile-first development in their strategies.
The Competition Is Growing
The industry these days is noisy, no doubt about it. Because it is becoming more and more accessible, with millions of players looking for entertainment throughout the day, the online space also sees a major increase in games and platforms that get dropped to the online industry on a regular basis.
On average, it's estimated that hundreds of new online operators are launched annually. The number can range from 200 to 500 new online lobbies each year, depending on various factors like market regulation, demand, and technological developments.
- Global Growth: The online gambling industry is experiencing significant growth, with many new platforms entering both regulated and unregulated markets.
- Regional Focus: Regions with rapidly expanding online gambling markets, such as Europe and North America (especially the U.S. post-legalization in certain states), contribute a large portion of these new launches.
As for online games, including slots, table games, and live dealer content, the numbers are even higher. Each year, hundreds, if not thousands, of new releases are developed and added to online platforms.
- Slots Dominance: The vast majority of new games are online slots. Estimates suggest that 1,000 to 2,000 new reeled adventures are introduced yearly across various online lobbies, depending on the number of game developers and their production cycles.
- Other Games: New versions of table games (blackjack, poker, roulette, etc.), as well as live dealer games, are also regularly launched, but the volume is lower compared to slots. You might see hundreds of non-slot games launched annually, including variations on popular table games, live dealer innovations, and new game types like bingo or keno.
In summary, the online gambling industry sees hundreds of new online operators and thousands of new games launched annually, driven by a combination of market demand, technological advances, and the opening of new regulated markets.
What’s Next for Mobile Gamers?
Research indicated that in the last couple of years, the mobile gaming industry grew by 0.6% per year. The best guess is that within the next 5-10 years, this growth will be even quicker. Some even go as far as predicting year-to-year growth by up to 14%. That is a lot! Will the industry be able to keep up with the demands of time?
Looks like the developers of mobile devices are ready to hold on to their end of the bargain and the production of smartphones and tablets won’t experience any delays in the foreseeable future. The same goes for the internet connection providers. 5G might not be the limit. As professional reviewers, we already see that online gambling lobbies pivoted dramatically to mobile-first lobbies. Gone are the days of downloadable clients and desktop-only gaming, even for the markets challenged and artificially limited by internal gambling restrictions, such as the United States and Australia.
If anything, we might as well witness further legalization of games of chance and sports betting in the countries where the regulations are now tight. The U.S. market, in particular, is projected to see explosive growth as more states legalize online gambling and mobile sports betting. Another big market to keep an eye on is the African continent. There are countries where the legalization of gambling is directly linked to the increasing number of mobile users. Such is the case with Ghana, and Nigeria is the close second.
We assume that the countries will be motivated to further explore the legalization of games of chance and sports betting not only as a nod to trends but from a practical standpoint. The global mobile gambling market was valued at approximately $79.5 billion in 2022, and it is expected to reach $160 billion or more in the upcoming years. If managed correctly on a country-to-country basis, the mobile gambling industry can contribute significantly to the revenues of the state treasuries.
Are We Ready for Mobile Gambling Expansion?
Those changes won’t happen fast, of course, as side-by-side benefits go with many challenges that lawmakers will need to address. Hopefully, when the time comes, the gambling industry leaders will be eager to collaborate on delivering solutions.
One of the biggest questions is safety for players. With mobile devices making gambling available 24/7, whenever-wherever, practically for everyone, constant accessibility can blur the line between recreational gambling and addiction, as there are fewer barriers to entry than in physical or desktop-based gambling environments. The industry will need to bring its A-game and consult the lawmakers on ways to make the process safer for everyone.
Additionally, young people and those with existing behavioral health issues are particularly vulnerable. The accessibility of mobile gambling apps, coupled with aggressive marketing tactics, often targets these groups, making it more difficult for them to recognize and manage problematic behaviors. So, to speculate on the subject a bit more, we might witness an increase in the gambling age across different regulators.
Taxes can also go up, posing additional challenges for smaller markets where the official selection of online operators will be not as robust and players might seek gaming across the offshore lobbies. Not all of them follow the high industry standards which exposes players to multiple rogue practices.
Even with all of these challenges ahead, the future of the online gaming industry looks intriguing and exciting. Globalization allows for a faster exchange of successful practices between the communities of players. And the growth of the mobile sector will stimulate the developers to roll out high-quality content in order to keep up with the competition. All to the benefit of players, of course.
