Ontario’s iGaming Success Reshapes Canada’s Gambling Market

Posted on August 22, 2025 | 8:33 am
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Ontario’s regulated iGaming market has exceeded every expectation since its April 2022 launch, transforming both the province’s gambling landscape and Canada’s broader industry. ImpulsQ’s analysis highlights how Ontario’s rapid growth and structured regulations have made it a blueprint for other provinces exploring market expansion.

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Ontario’s Rapid Rise

Ontario’s approach to regulated online gambling was designed to shift players from unregulated offshore platforms to safer, provincially controlled operators. By prioritizing consumer protection and increased tax revenue, the strategy has paid off significantly.

From April 2024 to March 2025, the province generated CA$3.20 billion in gross gambling revenue (GGR), a 32% increase over the previous year. Wagering during this period surged to CA$82.7 billion, up 31% year-over-year, with online casino gaming proving to be the most popular vertical. According to the Alcohol and Gaming Commission of Ontario (AGCO), nearly 84% of players now choose regulated sites, a remarkable shift from the pre-legalization era.

The momentum has transformed Ontario into a model of effective market regulation, demonstrating how robust oversight and competitive licensing can foster a thriving digital gambling environment without stifling growth.

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Alberta and Other Provinces Look to Follow

Ontario’s success is influencing policy discussions nationwide. Alberta, for example, is preparing to launch its own regulated online market by early 2026. Initially limited to the province-run Play Alberta platform, the market will open to commercial operators under the new iGaming Alberta Corporation.

Transitioning Albertans from offshore platforms presents unique challenges. Recent polling by Ipsos shows three-quarters of players still use , while only one in ten play exclusively on Play Alberta. This means Alberta will need a distinct advertising and messaging strategy to build trust in the regulated market while protecting the province-run platform from being overshadowed.

Despite the administrative complexities, the early 2026 launch has been confirmed by Dale McNally, author of the iGaming Alberta Act. The process, while promising, has been slowed by what stakeholders describe as a tangle of regulatory red tape.

Other provinces are also reassessing their approaches, closely watching Ontario’s market and considering adjustments to their own regulations to capture revenue and enhance consumer protection.

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Shifting Dynamics and Emerging Challenges

While online gambling continues to expand, land-based casinos are facing their own challenges. Physical venues are heavily reliant on U.S. tourists and American-manufactured gaming machines. Recent trade tensions, tariffs, and restrictions have disrupted the supply of slot machines and video lottery terminals, making it harder for casinos to modernize their floors.

In contrast, the online sector remains . With Canada fostering a strong network of homegrown gaming companies and benefiting from a global digital marketplace, operators can easily integrate new games, platforms, and innovative mechanics without the same logistical constraints faced by land-based properties.

The pandemic also played a key role in accelerating the shift toward online gambling. Extended lockdowns encouraged players to explore digital platforms, and even as physical venues reopened, the surge in online activity showed no signs of slowing.

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The Future of Canada's iGaming Industry

The success story in Ontario underscores a significant trend: regulated online gambling in Canada is not just a temporary boom but a sustainable, long-term growth engine. With Alberta preparing to roll out its market and other provinces exploring similar reforms, Canada’s iGaming sector is poised for nationwide expansion.

As provinces refine their regulations to balance consumer protection with market innovation, the online sector is expected to remain the dominant force in Canada’s gambling landscape, leaving traditional casinos to adapt to a rapidly evolving industry.

Source:

, igamingbusiness.com, August 20, 2025

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