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Conservative Look at potential for US Online Gambling

Friday December 20,2013 :  A MORE CONSERVATIVE LOOK AT THE POTENTIAL FOR U.S. ONLINE GAMBLING
 
Latest Eilers Research report less optimistic than previous predictions
 
The latest Eilers Research report on the business potential for legalised online gambling paints a far more conservative picture than previous estimates by other independent companies, but argues that the time it takes for state-by-state legalisation, and the fact that some states may only opt for US online poker, is likely to drive down the net result in revenue terms.
 
The bottom line on the Eilers projection is that the total US legalised online gambling market is unlikely to exceed $2 billion by 2020...an estimate that suggests that current projections vastly overstate US i-gaming potential.
 
Titled “The U.S. iGaming (Real) Opportunity” and authored by respected analyst Adam Krejcik, the estimate is based on solid and comprehensively researched industry numbers...and it flies in the face of previous predictions by H2 Gambling Capital ($7.4 billion by 2017) and Morgan Stanley ($9 billion by 2020) as reported in previous InfoPowa bulletins.
 
Krejcik acknowledges that a number of US states are likely over time to take the intrastate legalisation road,  but that not all of them will offer overall online gambling, being content to allow just online poker or other specific forms of online gambling in isolation.
 
This inevitably impacts projections of how large in value terms the US online gambling market is likely to be.
 
He also notes that a federal solution to the legalisation question is "highly unlikely" and that for the forseeable future the ball will be carried by individual states...and state-by-state legalisation is by its very nature a lengthier process that stretches business return timelines.
 
Krejcik is also of the view that the take-up of online gambling by the players may not be as fast and demanding as other researchers have assumed.
 
On the positive side, Krejcik shares the opinion of many other experts that legalised online gambling will not cannibalise the bricks and mortar business, saying that on the contrary it may drive an increase in land-based gaming revenues over the long-run as casino operators are able to tap into a younger customer demographic, improve player loyalty programs, and enhance their marketing campaigns.
 
New Jersey's governor Chris Christie will perhaps find the report uncomfortable reading as it detracts substantially from his rather bullish revenue expectations for the newly legalised intrastate New Jersey online gambling market.
 
Krejcik’s projection for the Garden State is that it will generate $226 million and then only in two or three years from now, a significantly lower number than official budget predictions for the first seven months of operations, which are well over a million dollars.



Gambling News :

US$30M DUBAI WORLD CUP - Racecourse Media Group and Meydan to showcase world’s richest raceday to more than 150 territories The Dubai World Cup is the first horse race to be broadcast live on airlines and cruise lines

NHL Odds: Forsberg Faces Elliott in Nashville - The last time the Nashville Predators played against the Calgary Flames, Calgary had a 4-1 lead five minutes into the second period. Nashville responded with four back-to-back goals, including a hat trick from centreman Filip Forsberg. Both teams went into overtime with five goals, and Calgary defenseman Mark Giordano (12 goals, 22 assists) scored the winning goal.

Sit & Go 2.0 launched online exclusively at Americas Cardroom - Get ready to cheer like a champion before the first flop is even dealt. The much-anticipated Sit & Go 2.0 is now launched online exclusively at Americas Cardroom and Sit & Go players are reaping the benefits of the next evolution of poker.

NBA Odds: Hawks, Wiz in Southeast Showdown - The Washington Wizards (42-27 SU, 36-32-1 ATS) can pretty much secure the Southeast Division title with a win Wednesday night over the Atlanta Hawks (37-32 SU, 31-38 ATS). Tip-off is at 8 PM ET on ESPN; the Wizards lead Atlanta by five games with less than a month remaining before the playoffs.

Mega Moolah progressive jackpot Hit Again - Microgaming’s Mega Moolah progressive jackpot slot has been hit yet again at just over €6.6 million!

NBA Odds: Clippers Try to Slow Down Bucks in LA - Milwaukee Bucks small forward Giannis Antetokounmpo and Los Angeles Clippers power forward Blake Griffin are two of the most talented and versatile forwards in the NBA. The two lead their teams into battle on Wednesday in Los Angeles.

NCAAB Odds: SMU Hosts Tulsa With AAC Title on the Line - There aren’t too many college basketball teams more profitable than the SMU Mustangs (25-4 SU, 18-5-1 ATS). They host the Tulsa Golden Hurricane (14-14 SU, 15-12 ATS) this Thursday night, tipping off at 8 PM ET on CBSSN.

NHL Odds: Canadiens Welcome Islanders Tonight - The Montreal Canadiens (32-20-8) welcome the New York Islanders (28-21-10) on Thursday (7:30 PM ET on SNE). After getting their first victory under new head coach Claude Julien, the Canadiens will look to build on that momentum against a red-hot Islanders team.

NHL Odds: Reeling Flyers Seek Relief in Pittsburgh - #nhl The Philadelphia Flyers have been a bit off since the holidays. They’ve won just eight games since the Christmas break, and now they’ve got a tough one coming up this Saturday night against the Pittsburgh Penguins.

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