Tuesday April 29,2014 : DEUTSCHE BANK ANALYST TAKES A MORE CAUTIOUS VIEW ON U.S. INTERNET GAMBLING
Legalisation in America is likely to be complex, fragmented and slow, with Caifornia and Pennsylvania the next states likely to make definite and positive moves.
The views of Deutsche Bank analyst Andrew Zarnett on the future of legalised online gambling in the United States garnered widening publicity this week despite his more cautious assessment of the possibilities.
Zarnett believes that the fragmented nature of state-by-state legalization and the complexity induced by US political and legal interference indicate that progress will be slow, and that anticipated revenues will therefore probably not exceed $2.2 billion by 2020.
The respected analyst's predictions are in stark and negative contrast to other recent assessments which place US online gambling revenues at $7.7 billion by 2017 (H2 Gambling Capital) and $8 billion by 2020 (Morgan Stanley), although the Deutsche Bank numbers are in line with an Eiler's Research estimate that revenues will reach the $2 billion mark by 2020.
Zarnett expects California and Pennsylvania to be the next to legalise some form of online gambling – probably next year. After that he suggests that New York and Florida will follow suit in 2016, with Colorado and Iowa joining the trend during the year after that.