As more lawmakers across the country look toward online casino legalization, several regional gambling companies have formed a group to oppose the expansion.
The group, which includes The Cordish Companies and Churchill Downs Inc., announced the formation of the National Association Against iGaming and a new report detailing the economic and social dangers of online casino expansion. The NAAiG commissioned The Innovation Group for the study, which found that online gambling expansion could lead to nearly 5,000 job cuts and some state GDP reductions of $300 million to $600 million.
“These statistics underscore the urgent need for action,” Mark Stewart, EVP and general counsel of The Cordish Companies and an NAAiG board member, said in a release. “iGaming’s unchecked access to gambling on cell phones is bad public policy that threatens local jobs and businesses and will cost states.
“When increased social costs caused by iGaming [including] higher rates of underage and problem gambling are considered, the net tax revenue results are uniformly negative for every state.”
NAAiG online casino aims
The group advocates against online gambling expansion because of addiction risks, mental health risks, economic damage, and the harm it does to the most vulnerable populations.
NAAiG said its mission highlights:
- Local jobs
- Responsible gaming
- Support for communities
The organization also includes Jack Entertainment, Foundation Gaming & Entertainment, Monarch Casino & Resort and Accel Entertainment.
NAAiG study findings
The Innovation Group found that land-based casino revenue drops by 16% on average when iGaming is introduced in a market. It estimates that some states, including Maryland and Louisiana, would even see net tax losses.
Additionally, states could also see GDP losses if online casino gambling is legalized, with the report estimating drops of $602 million in Ohio, $428 million in Indiana and $372 million in Maryland.
It also makes further arguments that casino revenue cannibalization is a major issue. It projects that New York casinos could lose nearly $1 billion, while Illinois casinos could lose $545.3 million. Multiple gambling companies and industry groups have pushed back on the cannibalization arguments.
Problem gambling issues
The NAAiG’s study also notes several findings related to problem gambling. It estimates that the direct social costs to governments could surpass $100 million annually.
The study notes that 81% of gambling addicts engage in online gaming. Online gamblers are eight times more likely to report compulsive gambling, the study found.
It also found that in markets with online casinos, household investments have dropped by 14%. The study estimates US gambling losses will exceed $1 trillion by 2028.
Online casino chatter in 2025
In 2025, lawmakers are considering expanding online casinos at a faster rate than ever before. That includes efforts in heavily populated states like Illinois and New York.
Cordish Companies and CDI have been vocal opponents of expansion legislation in states like Maryland and Louisiana. Maryland had a bill pass the House last year, and bills in both chambers have had hearings this year.
A few states have already punted on online casino legalization this year, including Virginia and Wyoming.
