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U.S. DIGITAL TALKS UP ONLINE GAMBLING

December 7, 2011 : Chairman keeps his company front of mind as legalisation looms
 
US Digital Gaming, a relatively new but vociferous arrival on the American internet gambling software scene, continued to maintain its "front of mind" publicity blitz this week, with chairman and experienced industry exec Richard Bronson appearing on CNBC's "Fast Money" show.
 
Bronson contended that as states grapple with shrinking revenues, online gambling stands to reap a jackpot, but that it is a sector that needs to be taxed and regulated, because 'illegal' offshore operators have taken up to $6 billion of revenue out of the United States.
 
Referring to recent legalisation moves in Washington DC and at state level, Bronson said: “It’s imminent. There’s no question. The states are broke. They’re looking for revenue sources.”
 
U.S. Digital Gaming develops “legally compliant” gambling systems for Native American tribes, state lotteries and existing casinos. Bronson told "Fast Money" that already eight or nine states have laws pending to legalise internet gambling.
 
“We think it’ll be like the first lottery, which occurred in New Hampshire in 1964. Now there are 43 states that have a state lottery,” he said. “We believe the same thing will happen with online gaming.”
 
Fellow interviewee and billionaire businessman, 2929 Entertainment CEO Todd Wagner, said it was likely gambling would move in some form over to an online arena.
 
“Will it just be the same brick-and-mortar companies that transition to this, or will there be room for others to come in because the business is different?” he asked. “It’s not just constructing a facility and construction permits and all the things that go with that world. Now we’re in an online world.”
 
See the video clip at http://www.cnbc.com/id/45566668



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