US Gaming Confidence Hits Three-Year High After Strong Summer
Executive confidence in the U.S. gaming industry rebounded sharply in the third quarter of 2025. The optimism follows improved financial indicators and higher consumer activity, according to the latest Gaming Industry Outlook from the American Gaming Association (AGA).
Overall sentiment among industry leaders reached a net positive of 7.1% in Q3 2025. This is the highest level recorded since the third quarter of 2022.
The industry’s improved view is tied to rising revenues, stronger financial positions, and a reduction in expensive promotional spending. The Gaming Conditions Index, which tracks real economic activity through measures like revenue, employment, and wages, grew 3.1% year-over-year in Q3 2025. This marks the first quarterly expansion since late 2024, reversing earlier small contractions.
Near-Term Business Outlook Sharpens
The view for the immediate future of the business saw a dramatic shift. The near-term outlook is now 11% net positive, a major increase from the -18% recorded earlier this year. Long-term expectations also show significant improvement.
Twenty-six percent of senior executives now anticipate stronger business conditions over the next six to twelve months. This is the most optimistic forecast in three years.
AGA Vice President of Research David Forman noted the summer’s impact on the sector. “Following a strong summer that underscored the resilience of gaming consumers and the entertainment value of gaming products, the industry’s outlook is the most positive in years,” Forman stated.
He also mentioned that companies plan to maintain capital spending. This reinvestment aims to provide players with better gaming options and amenities.
Regulatory Concerns Emerge as Top Challenge
Despite the overall positive financial health, executives expressed increasing concern about pressures from state governments. While economic uncertainty remains the main limiting factor for operations, state-level regulatory and tax pressures have become a growing worry.
Exactly half (50%) of respondents now cite state regulatory concerns as a factor limiting their operations. This is the highest percentage recorded since the measure was first tracked in early 2023. Specifically, 46% of executives pointed to tax or regulatory policy changes that are pressing down on profit margins. This figure is up from 36% earlier in the year.
The increase in regulatory scrutiny comes even as executives remain confident in the long-term health of U.S. gaming. They expect capital investment to hold steady over the coming year as they work to navigate these new government-imposed headwinds.
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