Online gambling is picking up steam with lawmakers and players alike
In the past 5-10 years, industries across the economy have been disrupted and upended by technology. From the transportation industry to lodging, the internet has changed the way traditional companies do business. One industry that was late to this game is the gambling and casino industry, which is now seeing massive expansion and transformation due to the internet and online gambling. Online gambling and online betting has grown into a multi-billion-dollar field, with much of the primary growth occurring in Europe. However, online gambling is now growing larger and larger in areas such as Asia and the United States, but not without many challenges and legal obstacles.
Online gaming being debated in statehouses across the U.S.
While Congress has long since stopped online gambling, multiple states have recently passed laws legalizing online gambling within state lines, such as New Jersey, Nevada and Delaware, and many states such as California, Hawaii, Louisiana, Mississippi, Pennsylvania have introduced bills into statehouses to legalize online betting. In all, 9 states are considering legalizing internet gambling.
In New Jersey, online gambling was legalized in November, and within two months, generated more than $8.3 million in revenue. Estimates by Gambling Data predicted that New Jersey’s online casino industry will net $463 million in 2017, and forecast that across the U.S., online gambling will be about 30% of the global online gaming market. The growth that initially started in Europe has now begun in the U.S. and will continue as more states legalize online gambling. Many states are considering the incremental tax revenue that legalizing this industry will bring, providing a powerful incentive for statehouses to nullify current regulations. In the United Kingdom, the Competitions and Markets Authority, a regulatory agency, released statistics showing that 5.5 million in the UK regularly using online gambling websites, and they have collectively created an industry that is worth 4 billion GBP a year ($5 billion). Furthermore, the government passed a law levying a 15% tax on all online gambling transactions, hoping to generate some revenue from the activity. Many in the U.S. are hoping Congress will act similarly, reducing regulation to spur a new, nascent industry while simultaneously creating a very rich revenue stream for the government.
Attempts to ban online gaming find strong backers
However, many lawmakers and businesses are looking to stem this trend and reverse this movement towards legalization. Many brick-and-mortar companies and gambling houses, backed by casino owners such as the billionaire owners of Wynn Resorts and Las Vegas Sands have begun powerful lobbying efforts against legalization. These groups have joined together to form the Coalition of Stop Internet Gambling, which has in turn hired lobbyists and consultants to pressure Congress into passing bills to outlaw online gambling. Former New York State governor, George Pataki, was brought on as the head of the Coalition to Stop Internet Gambling, and has been working to scare lawmakers and citizens into believing that internet gambling is dangerous and immoral – however, he has conveniently ignored questions and comments regarding the potential tax revenue that online casinos can bring governments across the country.
Online gaming being debated in statehouses across the U.S.
While Congress has long since stopped online gambling, multiple states have recently passed laws legalizing online gambling within state lines, such as New Jersey, Nevada and Delaware, and many states such as California, Hawaii, Louisiana, Mississippi, Pennsylvania have introduced bills into statehouses to legalize online betting. In all, 9 states are considering legalizing internet gambling.
In New Jersey, online gambling was legalized in November, and within two months, generated more than $8.3 million in revenue. Estimates by Gambling Data predicted that New Jersey’s online casino industry will net $463 million in 2017, and forecast that across the U.S., online gambling will be about 30% of the global online gaming market. The growth that initially started in Europe has now begun in the U.S. and will continue as more states legalize online gambling. Many states are considering the incremental tax revenue that legalizing this industry will bring, providing a powerful incentive for statehouses to nullify current regulations. In the United Kingdom, the Competitions and Markets Authority, a regulatory agency, released statistics showing that 5.5 million in the UK regularly using online gambling websites, and they have collectively created an industry that is worth 4 billion GBP a year ($5 billion). Furthermore, the government passed a law levying a 15% tax on all online gambling transactions, hoping to generate some revenue from the activity. Many in the U.S. are hoping Congress will act similarly, reducing regulation to spur a new, nascent industry while simultaneously creating a very rich revenue stream for the government.
Attempts to ban online gaming find strong backers
However, many lawmakers and businesses are looking to stem this trend and reverse this movement towards legalization. Many brick-and-mortar companies and gambling houses, backed by casino owners such as the billionaire owners of Wynn Resorts and Las Vegas Sands have begun powerful lobbying efforts against legalization. These groups have joined together to form the Coalition of Stop Internet Gambling, which has in turn hired lobbyists and consultants to pressure Congress into passing bills to outlaw online gambling. Former New York State governor, George Pataki, was brought on as the head of the Coalition to Stop Internet Gambling, and has been working to scare lawmakers and citizens into believing that internet gambling is dangerous and immoral – however, he has conveniently ignored questions and comments regarding the potential tax revenue that online casinos can bring governments across the country.
