The global sports betting market was worth $74.2 billion in 2021 and is expected to reach a $129.3 billion value by 2028, rising at a CAGR (Compound Annual Growth Rate) of 9.7 percent. According to a recent analysis of the market by Market Research, this astronomical growth is being stoked by the increasing technological innovation and advancement in the field. But exactly which tech trends are driving the sports betting market? Let’s take a look.
Artificial Intelligence (AI)
AI technology has permeated many industries, taking over activities previously performed by people, and the sports betting market has not been immune. In this industry, AI-based systems use large data packets and mathematical algorithms to predict match results and provide betting odds. They also provide match analysis in real-time and allow for a better betting experience by sharing user behavior trends with sportsbook operators, allowing them to better customize their services to their clients. Through this information, sportsbooks can send bettors only the promotions, games, and incentives they want. AI is also useful in enhancing customer service, either through email or chatbots.
Every day, it seems like every industry is going mobile or adopting a mobile component. Today, you can pay your bills, shop, date, attend meetings, order food, sell things, and play games on your phone or PC. Sports betting is also benefiting greatly from mobile technology. The ability to access games, betting odds, and transaction services on your mobile device has exposed the market to an even wider audience, making sports betting all the more popular. Of course, this wide availability has also necessitated the implementation of self-exclusion systems to prevent problem gambling. But discerning punters can get around this by using bookies not on Gamstop to keep their mobile betting fun going.
The proliferation of the internet has brought many developments to the technological world. For example, it has made live or in-game betting possible, which is where you bet on a game online as it plays. Live betting has increased the possibilities of betting immensely. Unlike previously when you could only bet on the final outcome of a game and only before it started, you can now place a bet, monitor, and change it as things change on the field in real-time. This has encouraged more hands-on participation in betting, further growing the market.
Think of micro betting as an extension of live betting. This trend allows you to bet on many elements of a game rather than just the final outcome as was the case before. Like in-game betting, you can place these wagers in real time and bet on things like which player will score first, who will get the first penalty kick, and more. Even better, micro bets are settled promptly and not when the game ends. The system allows betters to always be betting, increasing the market’s revenue.
Blockchain technology uses a decentralized system of handling data to promote safety, anonymity, and faster transactions. In the betting industry, it has been incorporated to provide the smooth and decentralized flow of data between users, operators, agents, and regulators. This has significantly reduced cases of tampering and data theft, encouraging more people to join sportsbooks. Blockchain technology, in the form of cryptocurrency, has also promoted faster and more profitable transactions.
With the UK, Spain, South Korea, the US, and China already adopting 5G, the technology already has a 20 percent global reach. 5G allows faster internet connections, making streaming and browsing more streamlines. It makes it easier for sports bettors to watch live games, follow the latest sports news, and place prompt wagers online.
The sports betting market has been plagued with strict regulations over the years. Amid all this, it has still managed to grow into a multi-billion-dollar industry thanks to these and more technological trends. It will be exciting to see which trends carry the market to its 2028 projected value of $129 billion.