Online gambling overtakes casinos as top driver of Philippine gaming
By Derco Rosal
The Philippine gaming industry’s gross gaming revenue climbed to nearly ₱400 billion last year, as surge in digital betting platforms more than offset the contraction in traditional brick-and-mortar casinos.
State-run Philippine Amusement and Gaming Corp. (Pagcor) reported on Thursday, April 16, that the gaming industry’s total revenues increased by 6.4 percent last year from ₱372.3 billion.
An unprecedented shift in market leadership was observed last year, with a surge in online and e-gaming offsetting a contraction in the brick-and-mortar casino sector.
The electronic and online gaming segment—which covers e-bingo, e-games, bingo grantees, and various poker platforms—generated ₱201.1 billion in 2025, growing by nearly a third from ₱154.7 billion in 2024.
This performance enabled digital platforms to capture more than half of the industry's GGR, officially overtaking physical venues as the largest contributor to the nation’s gaming coffers.
Alejandro H. Tengco, Pagcor chairman and chief executive officer, said the growth in electronic gaming revenues reflects the industry’s evolution.
“Online gaming is no longer a supplementary segment but has now become the leading driver of overall GGR growth,” he said.
Conversely, traditional physical gaming hubs experienced a decline. Licensed casinos reported ₱182.5 billion in revenues, contracting by 9.6 percent from the ₱201.8 billion raked in 2024.
The shrinkage was more pronounced for Pagcor-operated casinos, which saw revenues fall by a fifth to ₱12.5 billion.
It can be noted that the digital sector grew robustly despite significant regulatory hurdles. These included the slump in the third quarter following the de-linking of e-wallets, a move intended to improve transaction traceability and player protection.
Looking ahead, Pagcor remains focused on maintaining this momentum through a “regulatory balance.”
“Our objective is not simply to grow revenues, but to ensure that growth is sustainable, transparent, and compliant, because of a stronger regulatory environment that supports the long-term stability of the gaming industry,” said Tengco.
Meanwhile, the agency is preparing for the impending decoupling of its regulatory and commercial functions, which is now under review by the Governance Commission for GOCCs (GCG).