Online Gambling Heats Up $ZNGA $GLUU
The two big casino states, Nevada and New Jersey, are racing into online gambling as a way of protecting their turf. They will in essence become laboratories for what is and is not feasible in Internet wagering.
Nevada legislators, who previously authorized online poker, hurriedly passed a new bill this week that allows the state to enter into deals with other states to essentially pool their gambling populations. “This is the day we usher Nevada into the next frontier of gaming,” Brian Sandoval, Nevada’s governor, said on Thursday as he signed the bill.
In the year since online poker became a theoretical possibility in Nevada, no company has yet offered it. One problem: It’s too small a market, especially in a state where it is not exactly hard to gamble the old-fashioned way — by plunking your body down in a casino or, for that matter, just about anywhere else.
“We don’t have a universe of players,” Pete Ernaut, a Nevada political consultant, told The Las Vegas Review-Journal. “So for us, what we get to offer to a state like California or Texas is that we have the most mature regulatory infrastructure. We have the most mature financial, auditing and collection capabilities, much greater than some of those states, and they have the players.”