Is internet gambling coming in from the cold?

The New York Times has taken a positive look at Internet gambling in the United States in an interesting piece written by Eric Pfanner and titled "Is online gambling coming in from the cold?"

Pfanner goes back to the introduction of the Unlawful Internet Gambling Enforcement Act in 2006 and examines its implications, with major European listed companies departing the US market, and the commercial damage they suffered at the hands of US legislators who pushed the UIGEA through in questionable circumstances.

Moving to current times, the article notes recent developments which have international gambling groups considering a second tilt at the US markets, and the growing trend toward more enlightened gambling laws in European Union countries, spurred by the compliance actions of the European Commission.

With the need for governments and states to raise revenues under the pressure of dwindling taxes due to the tough economic times, and a more liberal and citizen-oriented Democratic administration in power in the United States, the time may finally be right for the legalisation of online gambling which upcoming legislation from House Financial Services Chairman Barney Frank envisages, the articles points out.

The New York Times article reprises the results of a PricewaterhouseCoopers study that the U.S. government could raise more than $50 billion over the next 10 years from taxes on legalised online gambling, and quotes the UK's trade organisation the Remote Gaming Association, Clive Hawswood, as saying: “I’d be amazed if it [the legalisation os US Internet gambling] didn’t happen over the next two or three years. It’s just a question of what exactly the regulations will say.”

The article recognises that the passage of US legalisation may be a stormy one, noting that organisations like the Christian Coalition of America and the National Football League, have vowed to fight any new effort to end the ban.

Michele Combs, a spokeswoman for the Christian Coalition, told the Times that it was gearing up for a “massive campaign” of letter-writing and lobbying to try to prevent any loosening of the UIGEA.

“We’re not saying people shouldn’t go to Las Vegas,” she said. “But when it’s in your home, it’s too easy. It breaks up families.”

“There’s a better chance now for some sort of gaming legislation to be approved,” Nick Batram, an analyst at KBC Peel Hunt, a brokerage firm in London told the NY Times. “But it took longer than expected to put anti-gaming legislation in place, and it will probably will take longer than expected to remove it.”

Interestingly, the piece quotes figures from H2 Gambling Capital to support its claim that Asia and Europe have now overtaken the United States as online gambling markets. H2 says online gambling generated revenue of $6 billion last year in North America, more than a quarter the global total of $22.6 billion, up from $17.6 billion in 2006.

Writer Eric Pfanner recalls that Party Gaming suffered massive losses in player revenues in the wake of the UIGEA, but now has a more hopeful future following its guarantee against prosecution for pre-UIGEA activities that flows from its recent $105 million settlement with the US Department of Justice.

Pfanner writes: "Analysts say one possibility for European companies like PartyGaming, should the ban be lifted, would be to form partnerships with American casino operators. That would allow the European companies to share their online expertise. Operating alone, they might struggle to obtain licenses, given their history of run-ins with U.S. law enforcement." But some analysts opined that in the event of a US breakthrough, the licensing regime would favour American operators.

Several other online gambling companies whose shares are traded in London, including 888 Holdings and Sportingbet, are still in talks with the U.S. Justice Department, Pfenner notes. Analysts expect them, along with companies like Bwin International, whose stock is traded in Vienna, to be involved in a round of consolidation in the industry — along with a possible eventual move back into the United States.

Although land gambling groups like Harrah's and MGM Mirage appear to eyeing the online market with interest, other major land grouip may be less enthusiastic. Approached by Pfenner for comment, Steve Wynn. chief executive of Wynn Resorts, said in an e-mail message that he thought [online gambling in the US] would be “impossible to regulate.”

“Even though it would be a benefit to our company, we are strongly opposed,” he said.

Live activity feed

  • Alenvers
    " MelissaN wrote: Hi claralie, The rep has been notified again and hope he'll get back to us soon with the clarification.  THANK You Melissa i see your post just  now ( 9 hours after) yes  sure there is a reaction  without an email or any explanation they cancelled my  pending winnings of  $200- this morning they was always in pending in my account. WOOOO real gentlemen - nothing at least as usual - they cant say the contrary of their last email i think.How explain that one day before as they rules said i am  not eligible for a bonus and one day after i am eligible ?and the problem is that i won the first day so how be clear when the second day i became eligible for  a  bigger bonus and that i have te permission to cashout ..but.nothing i lost.   there  will be any explanation I think:the only available that works in any same kind of   situation is that rules  can be changed as and when and how the casino wants - rules - no rules what importance  it was  a  freebie why will they pay ?i am stupid this is  the explanation. "
  • No avatar small
    Sign Up Bonus
    Lord lucky logo

    Lord Lucky Casino

    / 11 votes
  • Tumblr nsdzsdacgp1s7vusdo1 250
    Expires on 28th Oct 2016
    Vip stakes

    VIP Stakes

    / 279 votes
  • Tumblr nsdzsdacgp1s7vusdo1 250
    Expires on
    Yebo casino logo

    Yebo Casino

    / 269 votes
  • Index
    " mamt35 wrote: Nothing for usual lol im a depositing player & i got the 5 free spins"
  • Index
    "I got 2€ freebet, value freebet  probably  depend on country of residence."
Swipe left or right to see more

lcb activities in the last 24 hours

  • 45
    new members
  • 599
    members online
  • 15894
    guests online
  • 115
    new posts
  • 17241
    free games played
Join the club

Highest Community Rated Online Casinos

Swipe left or right to see more

Latest forum posts

Join today and start earning rewards

You will immediately get full access to our online casino forum/chat plus receive our newsletter with news & exclusive bonuses every month.
S logo

Report to moderator

Use this function to inform the moderators and administrator of an abusive or wrongly posted message.

Please note that your email address will be revealed to the moderators if you use this

Select Language
Search Results