Virtual Sports Betting Market – Global Industry Size, Share, Trends, Opportunity, and Forecast Segmented By Type (Random Number Generation (RNG)-based, AI-based), By End User (Individual customers, and Commercial customers), By Region & Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 14.42 Billion
CAGR (2026-2031)	16.17%
Fastest Growing Segment	Random Number Generation (RNG)-based
Largest Market	North America
Market Size (2031)	USD 35.44 Billion

Market Overview

The Global Virtual Sports Betting Market will grow from USD 14.42 Billion in 2025 to USD 35.44 Billion by 2031 at a 16.17% CAGR. Virtual sports betting consists of fixed-odds wagering on computer-simulated sporting events where outcomes are determined by Random Number Generator (RNG) algorithms rather than human athletic performance. The primary drivers supporting the market's growth include the product's ability to offer continuous, high-frequency wagering opportunities that are independent of real-world schedules, weather conditions, or seasonal limitations. This twenty-four-hour availability allows operators to maintain user engagement and revenue streams during live sports off-seasons or off-peak hours. Furthermore, the rapid resolution of these events accelerates the betting cycle, enabling a higher volume of transactions compared to traditional sports wagering.

However, the sector faces a significant challenge regarding regulatory compliance and responsible gambling obligations. As virtual sports utilize mechanics similar to high-frequency casino gaming, they often attract rigorous scrutiny from authorities concerned with potential addiction risks and consumer protection. This can result in strict operational constraints, such as mandatory stake limits or reduced advertising allowances, which may restrict revenue potential in mature jurisdictions. According to the UK Gambling Commission, in the second quarter of 2024, the Gross Gambling Yield for the virtual betting vertical in Great Britain was £9.5 million, reflecting the specific scale of this niche within a heavily regulated market framework.

Key Market Drivers

Widespread Proliferation of Smartphones and High-Speed Connectivity drives the expansion of the Global Virtual Sports Betting Market by ensuring continuous accessibility for users regardless of their physical location. The ubiquity of mobile devices, coupled with the rollout of 5G networks, allows bettors to stream high-definition, data-intensive simulations without latency, replicating the immediacy of live broadcast sports. This technological infrastructure supports the 24/7 nature of virtual events, enabling operators to capture volume outside of traditional peak hours. The scale of this digital shift is evident in major operator performance; for instance, according to Entain, March 2024, in the 'Annual Report 2023', the group's Online Net Gaming Revenue reached £3.4 billion, underscoring the dominance of digital channels in delivering gaming content to consumers.

Strategic Integration of Virtual Sports into Major Betting Platforms further propels market growth as operators utilize these products to plug gaps in real-world sporting schedules. By embedding virtual events directly into the primary sportsbook interface, companies can cross-sell to existing customers and maintain engagement during off-seasons or quiet time slots. This vertical has become a substantial revenue generator for suppliers who specialize in B2B content delivery. According to Inspired Entertainment, August 2024, in the 'Second Quarter 2024 Results', revenue specifically from the Virtual Sports segment amounted to $11.7 million for the period, highlighting its commercial significance. Furthermore, demonstrating the high volume this sector commands in mature jurisdictions, according to Agimeg, January 2024, in the 'Scommesse virtuali: nel 2023 spesi 416 milioni' article, the total expenditure on retail virtual betting in Italy reached €415.7 million for the full year 2023.

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Key Market Challenges

The regulatory compliance and responsible gambling obligations governing virtual sports are creating substantial barriers to market expansion. Because these products utilize high-frequency Random Number Generator mechanics similar to slots, regulators often classify them under stricter casino protocols rather than traditional sports betting frameworks. This classification creates a direct impediment to growth by enforcing mandatory delays between rounds and rigorous stake limits, which effectively neutralizes the product's primary advantage of rapid event turnover. Operators are consequently unable to maximize the volume of transactions per hour, directly suppressing daily revenue potential and slowing the betting cycle that drives this specific market.

Moreover, these stringent consumer protection measures often extend to severe advertising restrictions, limiting the ability of operators to acquire new users or cross-sell to existing sports bettors. The impact of such restrictive environments is evident in the vertical's comparatively low market penetration. According to the European Gaming and Betting Association, in 2024, virtual betting and esports generated a combined Gross Gaming Revenue of €0.1 billion among its members, representing a mere 1% of the total online market share. This data illustrates how regulatory friction limits this sector to a niche offering, preventing it from achieving the scale seen in less constrained verticals.

Key Market Trends

Advancements in Hyper-Realistic 3D Graphics and Motion Capture are fundamentally reshaping user acquisition strategies by narrowing the visual gap between simulated and live sporting events. Developers are increasingly utilizing cinema-quality motion capture and advanced rendering engines to create fluid, lifelike animations that enhance player immersion and trust in the game's integrity. This visual fidelity is crucial for engaging a demographic accustomed to high-definition video gaming, as it transforms the betting activity into a spectator experience comparable to watching a real broadcast. The commercial demand for such high-quality simulations is evident in the financial performance of major technology providers. According to Sportradar, November 2024, in the 'Third Quarter 2024 Financial Results', the company reported a 37% year-over-year increase in Betting & Gaming Content revenue, attributing the growth largely to the strong customer uptake of its premium content and product portfolio.

Simultaneously, the Proliferation of Micro-Betting and Rapid-Outcome Game Formats is driving an increase in transaction volume by capitalizing on the consumer preference for instant gratification. Unlike traditional sports that require hours for a result, virtual iterations condense matches into minute-long cycles, allowing for a continuous loop of wagering that maximizes turnover per user session. This accelerated frequency is scaling the supply side of the industry to unprecedented levels to meet the bettor appetite for constant action. Demonstrating this massive operational scale, according to SBC News, September 2024, in the 'SIS: gaining a competitive advantage with our racing & esports suite' article, the supplier revealed it now provides operators with over 630,000 betting events annually, underscoring the structural shift toward high-volume, rapid-turnover content.

Segmental Insights

The Random Number Generation (RNG)-based segment has emerged as the fastest growing component of the Global Virtual Sports Betting Market, driven by its critical role in ensuring game integrity and transparency. This rapid expansion is largely fueled by strict compliance mandates from regulatory bodies, such as the UK Gambling Commission, which require certified RNG systems to guarantee completely unbiased results. Consequently, this technology fosters high levels of trust among participants, directly encouraging higher engagement. Additionally, the lower development costs compared to alternative simulations enable operators to scale their offerings rapidly, further accelerating the segment’s global adoption.

Regional Insights

North America secures a leading position in the Global Virtual Sports Betting Market, primarily driven by the extensive legalization of sports wagering following the repeal of the Professional and Amateur Sports Protection Act. This regulatory transformation established a stable framework for market expansion across the United States. The region also benefits from high internet penetration and widespread smartphone usage, which facilitate direct access to online betting applications. Consequently, increased investment from established industry players into software development drives user engagement and strengthens the regional market dominance.

Recent Developments

• In June 2024, Pragmatic Play expanded its commercial relationship with the Colombian operator FullReto to include the supply of its Virtual Sports vertical. This integration allowed FullReto to enhance its gaming portfolio with a variety of Pragmatic Play’s computer-generated betting titles, including 'Fantastic League', 'Greyhound Racing', and the motor racing-themed 'Force 1'. The agreement complemented an existing partnership that previously focused on slots and live casino games. This strategic move was part of Pragmatic Play’s broader effort to consolidate its position in the Latin American market by providing a comprehensive, multi-product offering that delivered high-quality, scheduled virtual sporting events to players.
• In May 2024, Inspired Entertainment launched its "NBA Re-Play" Virtual Sports product exclusively with OPAP, the leading gaming company in Greece. This launch represented a significant product debut, as OPAP became the first partner to introduce the game across its network of more than 3,000 retail venues. The "NBA Re-Play" product utilized official archived footage from the National Basketball Association to create simulated, fast-paced matchups involving all 30 NBA teams. The game offered bettors authentic wagering options, such as money line and total score, leveraging Inspired's technology to deliver a hyper-realistic virtual sports experience directly to retail customers.
• In April 2024, Highlight Games Limited entered into a strategic content integration agreement with the 1X2 Network to distribute its exclusive video virtual sports products. This collaboration allowed the 1X2 Network to incorporate Highlight’s portfolio, which features the flagship 'Soccerbet' game and instant-win titles like 'Manchester City Scratch of the Day', into its broad aggregation platform. The deal was designed to significantly expand the reach of Highlight’s archive-footage-based betting content, enabling the company to access a wider global audience of operators. By leveraging the 1X2 Network’s established connections, Highlight Games aimed to deliver its unique, realistic sports simulation products to new markets.
• In April 2024, Kiron Interactive announced a major partnership with EstrelaBet to strengthen its footprint in the rapidly growing Brazilian virtual sports market. Through this agreement, Kiron supplied its extensive suite of virtual sports games, including virtual football, horse racing, and motorsports, to the online gaming operator. The collaboration enabled EstrelaBet to provide its customers with continuous, 24/7 betting opportunities on high-frequency simulated events. This move underscored Kiron's commitment to expanding in Latin America by delivering customizable, algorithm-driven content that catered to local player preferences and enhanced the digital engagement strategies of leading regional operators.

Key Market Players

• Sportradar AG
• Bragg Gaming Group
• EveryMatrix S.R.L.
• Microgame SpA
• Inspired Entertainment, Inc.
• Kiron Interactive Ltd
• NSoft d.o.o.
• Playtech plc

By Type	By End User	By Region
Random Number Generation (RNG)-based AI-based	Individual customers Commercial customers	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Virtual Sports Betting Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Virtual Sports Betting Market, By Type:

• Random Number Generation (RNG)-based
• AI-based

• Virtual Sports Betting Market, By End User:

• Individual customers
• Commercial customers

• Virtual Sports Betting Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE