The Canadian gaming industry saw a lot of ups and downs in 2023. Globally, several critically acclaimed titles were released on PC and console, including Baldur’s Gate 3, Resident Evil 4, and Legend of Zelda: Tears of the Kingdom… but there were also job losses suffered in the industry.
More than 10,000 employees at Xbox, BioWare, PlayStation, and Digital Extremes (an Ontario-based company) lost their jobs in 2023, and thus there were a lot of question marks around what 2024 had in store for the Canadian gaming landscape.
Gaming and iGaming in Canada have seen remarkable growth in the past year, and iGaming in particular (which includes online casinos and online sportsbooks) has contributed majorly to the country’s economy.
iGaming is expected to contribute US $4.19bn to Canada’s economy in 2024, and online casinos will contribute 80% of this revenue. It is projected to grow annually by 6.39%, resulting in $5.71bn by 2029.
Ontario’s iGaming sector saw a total wager amount of $63bn for the 2023-2024 financial year, which was an impressive 78% rise from the previous fiscal year. This highlights the profitability of the sector, for both Ontario and Canada as a whole.
This increase in revenue is no surprise, with new casino sites popping up across the country. Online casinos’ popularity is undoubtedly due to the convenience and accessibility they offer. Gambling in Ontario is well-regulated thanks to laws that came into force in April 2022, which legalized online sports betting and casino games.
Despite the job losses recorded in the gaming sector in 2023, the gambling sector saw significant job creation in 2024. Microsoft, Twitch, and Discord all had to lay off employees early in 2024, meanwhile, the gambling sector created more than 37,000 jobs in January. This surge in jobs is because of ancillary positions, not just direct employment. Online casinos also fund positions in legal consulting, financial services, and marketing.
As things currently stand, the iGaming industry is a key contributor to the Canadian digital entertainment sector, something that the PC and console gaming industry is not.
Canadian federal law has not yet legalized iGaming throughout the country. Instead, individual provinces can decide on how they wish to regulate the sector. Ontario, along with Quebec and Manitoba, have fully legalized the sector, while other provinces, including British Columbia and Alberta, have not.
However, there is hope from gambling enthusiasts that the revenue generated by iGaming in Ontario will spur other provinces to take steps towards legalization.
As for traditional console gaming (which excludes gambling), the industry remains unpredictable. Impressive titles have already been released this year, including Final Fantasy VII Rebirth, Tekken 8, and Dragon’s Dogma II. There’s also the hope that more Canadian games will be released to follow in the footsteps of Watch Dogs and Mass Effect.
There are some Canadian titles expected to be released this year, including Star Wars Outlaws (Ubisoft Toronto is a co-developer) and Earthblade (Extremely OK Games).
There is hope that the console and PC gaming industry will see the same successes as the Canadian iGaming industry, with continued revenue growth, job creation, and advancements in technology. There are concerns about market saturation, specifically when it comes to iGaming, but so far the new online casinos have enjoyed plenty of users and sustained economic growth.