Internet Gaming Is Good For The Gambling Industry!

In the November, 2010 issue of Casino Enterprise Management, William Thompson extended his remarks made to the National Council of Legislators from Gaming States in June. He prefaced his hypothesis with the explanation of his gambling economic model and how the majority of his analyses show that gambling actually draws more money away from host communities.

With regard to internet gaming, his opinion is that "legal internet gaming will improve the value of the gambling product for the consumer, for the gaming operator and for the government." [1]

In sum, here are some of the generic reasons in favor of LEGAL internet gaming:

1. Will stimulate business for brick-and-mortar casinos as the internet gaming can promote visits/patronage of the host brand (big brands such as Wynn, Caesar's, LV Sands likely to benefit most)
2. Gives consumers more choice of internet gaming sites, games, odds and payouts
3. Consumers in total control of gaming environment (smoking, dress code, alcohol). Want to gamble naked? You can on an internet gaming site (do turn off your webcam...)
4. More visibility with regard to identification of consumer and level of play. Excellent for more control/amelioration of problem gaming.
5. Easier for governments to precisely determine how much gambling is going on in their jurisdiction from each site, making any taxation determinations very accurate and precise.

The key is that when internet gaming is authorized and operators are allowed to obtain licenses, that the licensing regime needs to be as inclusive and non-judgmental as possible, to allow as many sites as possible to come clean and turn over a new leaf. If that happens, maximum benefit to the government will accrue. Otherwise, the operators shut out of the licensing regime may just continue to operate in "outlaw" status, with local governments gaining nothing.

Citations:

[1] Thompson, W., (2010, November), Value Added: Internet Gaming, Casino Enterprise Management, 149.

References:

Thompson, W., (2010, November), Value Added: Internet Gaming, Casino Enterprise Management, 148-150.