New York State has shattered national records for online sports betting in 2025, with bettors wagering more than $26.27 billion and gross revenue exceeding $2.54 billion, according to state figures. This booming industry, legalized for mobile sports wagering in 2021 or 2022, has seen its revenue nearly double, generating a record $1.32 billion in tax revenue for the state last year. This remarkable growth marks a significant milestone for any state in the nation.

The mobile sports wagering industry in New York recorded an almost 15% increase from the $22.87 billion wagered in 2024, reaching $26.27 billion. Gross revenue also saw a substantial spike of almost 24% from $2.05 billion one year prior, hitting $2.54 billion in 2025. Notably, November and December of 2025 were the two most profitable months in New York State's online sports betting history. Joe Maloney, president of the Sports Betting Alliance, an advocacy group for major sportsbooks, commented on the success, stating that the activity has been brought "out of the shadows" and into a legal, regulated marketplace, fostering trust among bettors.

The state's coffers have significantly grown, with more than $1.32 billion in new tax revenue last year, a nearly 26% increase from the previous record of $1.05 billion in 2024. Since 2022, over $84 billion has been bet through licensed mobile sports wagering operators like FanDuel and DraftKings, generating $7.6 billion in gross revenue. Nearly $4 billion of this revenue has been kept by the state, primarily allocated to fund education aid. A smaller fraction of the mobile sports wagering tax revenue is appropriated for problem gambling education and treatment, or for sports programs aimed at underserved youths, reinforcing the claim by the American Gaming Association that New York’s legal gaming market delivers tangible benefits through reinvested tax revenues.

Despite the economic benefits, critics have raised serious concerns about the proliferation of online sports wagering, particularly its acceleration during the NFL season. They argue that it has fostered "life-altering" gambling addictions, which some experts believe represent the region's next major mental health crisis. This concern is amplified by the easy accessibility of mobile platforms and strong fan bases across the state.

Carine Morrison, Long Island team leader at the Albany-based New York Council on Problem Gambling, noted that the Gaming Commission numbers are not surprising given the widespread availability of betting sites. She emphasized that research consistently shows individuals aged 18-24 and those with incomes under $30,000 are at a greater risk of developing a gambling problem. Furthermore, Morrison highlighted that the majority of gambling revenue often comes from a very small percentage of individuals who gamble.

Jeffrey Reynolds, president and CEO of Family & Children’s Association in Garden City, which provides gambling addiction services, confirmed that his organization is treating an increasing number of young men for addictions stemming from online sports wagering. He stated, "It's clear that more people are gambling more money and while online sports betting is entertainment for some, it's life-altering and dangerous for people who develop gambling problems." Reynolds is advocating for up to 2% of gambling revenue to be set aside specifically for problem gambling services, as his treatment centers are seeing young men accumulate substantial debts while chasing losses and responding to enticing bonus offers from sports betting companies.

The future trajectory of mobile sports wagering in New York remains to be seen. The industry could be affected by the state's plans for three new downstate brick-and-mortar casinos. Additionally, experts suggest that the performance of New York's NFL teams, the Jets and Giants, could significantly influence online betting activity. Joe Maloney indicated that if these teams were to achieve sustained success, the mobile sports wagering industry in New York could reach unprecedented heights, benefiting taxpayers and state finances.