GPWA Times Magazine - Issue 27 - February 2014

some point, online casino revenue will likely surpass online poker revenue. It will be interesting to see how long it takes for that to happen. New markets on the horizon As operators and suppliers slug it out in the New Jersey gaming market, they’re also examining the political landscape as they look to expand into other states. The ideal political environment for bring- ingonlinegaming intoanewstate includes: 1. Influential stakeholders (casinos, horse racing interests, lotteries, etc.) that want to bring online gaming to the state. 2. Stakeholders that are on the samepage. If the key gaming interests in the state can’t agree on Internet gaming policy, state legislatures won’t pass any legislation. 3. Key advocates in the legislature. Online gaming bills need heroes in state legisla- tures who can drum up enough votes to pass an online gaming bill. 4. A governor willing to sign the legisla- tion. Don’t forget, governors have veto power, and if the governor isn’t inter- ested in online gaming legislation, it isn’t going anywhere. 5. A favorable constitution. In some states, the state constitution will have to be amended toallowonlinegaming. Amend- ing the constitution is more difficult and more time consuming than getting a bill passed by a state legislature. With that in mind, let’s look at some of the states that are being talked about in terms of being next to adopt online gam- ing legislation. California With more than 38 million, America’s most populous state is the biggest prize for the online gaming industry. It’s also been trying to pass online gaming legisla- tion since 2008. So what makes 2014 different from previ- ous years? It looks like California’s Native American gaming interests are finally on the same page – or close to being on the same page. California is eyeing poker-only legislation – with licenses restricted to current card rooms and Native American casinos. There are two potential flies in the oint- ment. The first is that the horse tracks are currently on the outside looking in when it comes to online poker, and they could try to scuttle the legislation. The second is that 2014 is an election year. Election- year politics can make passing online gaming legislation tricky. But this is the closest California has come to passing an online poker bill. And for the “As operators and suppliers slug it out in the New Jersey gaming market, they’re also examining the political landscape as they look to expand into other states.” 23 Online gaming in the USA: Less dawdle, more doodle

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