Online casino: how the business works
An online casino is a platform that offers slots, table games and jackpot games for real money. Unlike a sportsbook it carries almost no pricing risk: every game has a mathematical edge built in, and over enough play the operator keeps that edge of everything staked.
How it makes money
Each game returns a fixed share of stakes to players over the long run, its return to player. The rest is the house edge. A slot with an RTP of 96% keeps 4% of everything wagered on it; a player spinning 600 times an hour at a stake of 1 generates a theoretical win of 24 an hour for the casino. Table games have lower edges: single-zero roulette keeps 2.7% of stakes, the double-zero version 5.3%.
What the operator actually banks is gross gaming revenue: stakes minus winnings. From it come bonuses, gaming taxes, game supplier fees (usually a share of the GGR each game produces), payment costs and marketing. Because bonuses and taxes are large, the difference between GGR and net gaming revenue decides whether a market is profitable.
The numbers operators watch
- GGR and NGR: revenue before and after bonuses and, depending on the definition, taxes. See the GGR calculator.
- Theoretical win: stakes times house edge, the basis for valuing players and rewards. See the house edge calculator.
- Bonus cost: what wagering requirements really cost. See the bonus cost calculator.
- Deposit conversion, retention and lifetime value: how many sign-ups deposit, how long they stay and what they are worth. See the LTV calculator.
The supply chain behind the lobby
Few operators build their own games. A typical casino runs on a player account platform, plugs in hundreds of games from studios through one or more aggregators, streams live tables from a live casino provider and pays suppliers a share of the revenue their games generate. In regulated markets each game and platform must be certified, and suppliers often need their own B2B licence. More on this in platforms and game studios.
Regulation at a glance
Online casino is the product regulators are most cautious about, because slots are fast and continuous. Where it is licensed, rules increasingly limit the product itself: stake caps per spin in Great Britain and Germany, minimum spin times, cross-operator deposit limits and bans on credit card gambling. Elsewhere it is reserved for a state operator or banned outright.
Of the markets we track. Open the full regulation tracker
What is changing
- More markets are moving from monopoly or prohibition to licensing, such as Finland and New Zealand; see the regulatory timeline.
- In some markets taxes on online casino are rising faster than on betting, as in the United Kingdom, which favours operators with scale.
- Affordability checks, stake limits and advertising restrictions push operators to compete on product and retention rather than on bonuses.
Suppliers in this field
Casino game studios
- Pragmatic Playpragmaticplay.com
Slots, live casino, bingo and virtual sports content.
- Play'n GOplayngo.com
Online slot developer.
- Hacksaw Gaminghacksawgaming.com
Online slots and instant games.
- Relax Gamingrelax-gaming.com
Slot developer and content aggregation platform.
- Yggdrasilyggdrasilgaming.com
Online slot developer with a partner programme for independent studios.
- Games Globalgamesglobal.com
Casino games developer and distributor.
- Light & Wonderlnw.com
Slot machines, iGaming content and casino systems.
- BGamingbgaming.com
Online slots and instant games.
- Endorphinaendorphina.com
Online slot developer.
- Wazdanwazdan.com
Online slot developer.
- Blueprint Gamingblueprintgaming.com
Online and land-based slot developer.
- ELK Studioselk-studios.com
Online slot developer.
- Habanerohabanerosystems.com
Slots and table games developer.
- NetEntnetent.com
Online slots and table games.
- Red Tigerredtiger.com
Online slots.
- Big Time Gamingbigtimegaming.com
Online slots, including Megaways games.
- Nolimit Citynolimitcity.com
Online slots.
- Push Gamingpushgaming.com
Online slots.
- Thunderkickthunderkick.com
Online slots.
- Quickspinquickspin.com
Online slots.
- Playsonplayson.com
Online slots.
- Evoplayevoplay.games
Online slots and instant games.
- Booming Gamesbooming-games.com
Online slots.
- Betsoftbetsoft.com
Online slots and table games.
- Red Rake Gamingredrakegaming.com
Online slots and bingo games.
- Spinomenalspinomenal.com
Online slots.
- 3 Oaks Gaming3oaks.com
Online slots.
- Fantasma Gamesfantasmagames.com
Online slots.
- Kalamba Gameskalambagames.com
Online slots.
- Gamomatgamomat.com
Online slots.
- Greentubegreentube.com
Online casino games, slots and bingo.
- IGTigt.com
Casino games, gaming machines and lottery systems.
- Aristocrataristocrat.com
Gaming machines, online casino content and mobile games.
- Skywindskywindgroup.com
Online slots and live casino games.
- PG Softpgsoft.com
Mobile slot games.
- Amaticamatic.com
Slot games for land-based and online casinos.
- EGT Digitalegt-digital.com
Online casino games and iGaming platform.
- Slotmillslotmill.com
Online slots.
- AvatarUXavatarux.com
Online slots.
- Gaming Corpsgamingcorps.com
Online slots, crash and instant games.
- Snowborn Gamessnowborngames.com
Online slots.
Editorial listings, not endorsements. Full supplier directory
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