Although there were vending machines for stick or block shaped gum as early as 1888, the first machines to carry actual gumballs were not seen until 1907 (more than likely released first by the Thomas Adams Gum Co. in the United States).

Generally, a gumball machine consists of a clear sphere (mostly glass) which is filled with gumballs, sitting on top of a metal stand. It has a metal top on top of it with a keyhole in top of it so that the top can be removed and gumballs can be put in. The coin is inserted into the base and a handle is turned around clockwise about 45 degrees, depositing the coin and allowing a gumball to be dispensed into a container at the bottom of the machine that is closed off by a little metal door. Then the handle is turned counter-clockwise about 45 degrees so that another coin can be deposited.

Most gumball machines have a simple mechanism for dispensing the gumball, to the point of the actual dispensation being mostly invisible (after turning the handle the gumball is deposited behind the door). However, some gumball machines have more tricky methods. Most of them utilize the potential energy to power various forms of transit for the gumball on its way to being dispensed, as well as ramps and drops.