U.S. Gaming Lobby Does About Turn Re Online Gambling
Date published: 25 March 2010
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Supporters of a legalized and regulated online gambling industry in the
United States will welcome the news that the U.S. gaming industry's lobbying
group has reversed its once neutral online gambling stance, as it now believes
the technology exists to regulate the practice at a state and federal level.
Based in Washington DC, the American Gaming Association (AGA) has issued
a statement saying that it is now open to the idea of legalized online gambling
in the United States, provided that 'regulatory structure is in place to protect
players and the game's integrity', which could be a sign that change is
imminent.
That said, the ASA - which represents the majority of America's multi-billion
dollar land casino operators and casino game manufacturers - has still not made
its position clear regarding the many pro-online gambling bills doing the rounds
in Congress, which need to be passed en route to legalizing online gambling.
Said AGA CEO, Frank Fahrenkopf Jr, 'If something were to start, then
fundamentally this give us a seat at the table. The majority of our board now
has a favourable stance regarding online gambling, as long as there is strong
regulatory control. But that said, we're not endorsing any of the bills
currently in the loop.'
Just a few years ago the ASA was 'indifferent' regarding the legalization and
regulation of online gambling in the United States, and for obvious reasons. The
highly popular and lucrative internet activity was seen as a direct threat to
the U.S. land casino industry, which is why its support for legalization was
withheld.
However, now most of America's largest land casino groups have realized the
financial implications of launching their own online gambling divisions or
acquiring existing successful online gambling brands. This 'change in attitude'
may play a part in reversing America's draconian anti-online gambling UIGEA
legislation.
For example, Harrah's Entertainment was one of the first leading land casino
groups to back the legalization of online gambling and support a bill proposed
by Rep. Barney Frank, D-Mass. designed to establish a framework in the United
States to allow online gambling operators to accept wagers from U.S. residents.
According to the AGA, in 2008 U.S. online gamblers wagered approximately $5.9
billion with offshore online gambling companies, while $21 billion was wagered
by players globally.
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