Online Casino Edition – Casino News News about online casinos and gambling

The Los Angeles Times is reporting that the world renowned and infamous casino tycoon, Sheldon Adelson, has recently come out of the closet as leading the charge against online gambling in the United States. The article, which can be found at http://www.latimes.com/nation/la-na-adv-adelson-online-gambling-20140521-story.html#page=1, details Sheldon Adelson’s recent statements regarding the online gambling industry and the supposed dangers associated with online gambling. Adelson’s seemingly self-serving position has been cloaked with the language of care and concern for the vulnerable.

According to the Los Angeles Times, Adelson recently stated in front of a University of Nevada-Las Vegas audience that he is “in favor of gambling, but [he is] not in favor of exploiting the world’s most vulnerable people.”

As the chief executive of Las Vegas Sands Corp, it appears as though Adelson views online gambling as a threat to his traditional casinos. The powerful casino mogul has been funneling significant resources to Republican governors that have been inclined to oppose internet gambling in the past. Among the recipients of Adelson’s contributions is the controversial Governor of Florida, Rick Scott, who has received over $750,000 in campaign donations from Adelson over approximately five years.

While it is uncertain whether online gambling poses a serious threat to traditional casinos, it is apparent that Adelson perceives virtual casinos to be a threat to his enterprise, and has expended vast resources in an attempt to thwart the growth of online gambling in the United States. Morgan Stanley has projected that online gambling could generate over $9 billion in revenue by 2020, a number substantially similar to the amount generated by traditional casinos today. Other estimates place the potential revenue of the online gambling industry at approximately $2 billion, which is substantially lower, but still a significant figure.

Some have argued that the revenues from online gambling will draw away revenues from traditional casinos around America; however, others have argued that online casinos should be viewed as a blessing for traditional casinos. Online gambling may increase the number of individuals who partake in gambling. As such, an increase in exposure to gambling via the internet may increase the number of individuals participating in gambling activities, and both traditional and online casinos would benefit from this expansion. Evidence that online and traditional casinos can peacefully coexist has been drawn from Europe, where the online gambling industry has not significantly hurt traditional casinos.

Moreover, by preventing the revenue stream from online casinos taking hold in the United States, a potentially significant tax windfall for struggling states is being foregone. Nevertheless, many see online gambling as the future of the gaming industry, and even some traditional casinos have accepted the inevitability of online gambling. Whether, and for how long, Sheldon Adelson can hold off online gambling from resurrecting itself in the United States remains to be seen, but it appears that he is determined to ensure that online casinos never manage to threaten his gambling empire.

Internet gambling is mostly banned nationwide in the US, but both the owners of brick-and-mortar casinos as well as overseas online operators are pushing hard to legalize the business. Big time gambling businesses like Caesars and MGM Resorts are lobbying both Federal and State legislators to bring online gambling into the fold as a legitimate business. The prospect is an attractive one to legislators who are facing increasing pressure to balance budgets with declining tax bases and higher social services costs. The tax revenue off of well-regulated online gambling would help close that gap.

Online gambling is currently legal in three states: New Jersey, Nevada, and Delaware. New Jersey is finding, however, that the tax revenue is not booming as expected, with just $27 million in tax revenue having been generated since online gambling legalization last July as compared to the estimated $1 billion predicted. Much of the blame for the lackluster performance has been attributed to logistical and marketing problems as opposed to lack of clientele or lack of interest.

While the legislators of the several states debate, and debate warms up in the Halls of Congress, there is also legal basis to take the cause through the Federal Court system. The Constitutional basis for lifting the ban on online gambling stems from the Commerce Clause (Article 1, Section 8, Clause 3), which states that Congress has the power to “regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes.” Any financial transaction that crosses state lines, like through the Internet, is subject to Commerce Clause. This means that States cannot impose restrictions on commercial transactions differently than other States. That is, a State may not treat businesses within its borders more favorably than businesses outside its borders. No online gambling cases have reached the US Supreme Court yet, but as more states legalize it, a well-funded online casino is sure to find a way to obtain court review.

In opposition to this movement stands one of the most influential conservative heavy weights in the nation and leader of the Las Vegas Sands Casino: Sheldon Adelson. Adelson has promised to throw his weight and considerable wealth at doing everything necessary to get online gambling banned in the United States. Adelson has stated the grounds for his opposition is moral. He worries that online gambling would spread to underage kids and that online web portals could serve as fronts for terrorist groups. He has also admitted, however, that he fears gambling moneys would all move online, rendering the brick and mortar casinos, like his Las Vegas Sands, obsolete as online sites grow larger and larger influence. Adelson faces an uphill battle in his push to ban internet gambling nationwide. Even his own trade group, the Amercian Gaming Association, backs the legalization of online gambling.

The online gaming industry has many difficult challenges to overcome and new obstacles seem to crop up with each new day. Regulatory changes, increasing number of competitors, and graphics and technology upgrades are just a few of the many factors that help determine the success of a gambling site. Investors want something that outpaces the competition and rakes in a nice profit while players want cutting edge graphics and substantial winning opportunities. The latest online gambling trends seem to have found the best of both worlds.

Player Incentives and Promotions

In any business, the number one key to success is keeping the customer happy. In the case of online casinos, the returning players are the customers that both need and demand the most attention. Online hosts must be able to supply what players want most in order to earn their loyalty.

Progressive jackpot games are attracting large customer bases for almost every online gambling site that has adopted the technique. Progressive rooms fill up quickly, especially those that offer real time updates regarding the potential jackpot winnings. New players may not care so much about their actual chances of winning but they enjoy the thrill of playing in a progressive game. More experienced and competitive gamblers usually seek out the adrenaline rush that comes from potentially hitting the spin or play button just in time to be the next big winner.

Chat rooms are also very important for building a fan base and encouraging players to interact. This satisfies players who love playing games but also use the internet to meet new people and socialize. The presence of active and functional chat rooms also serves another purpose for the house. When people are tempted to leave and try another site, they will miss their friends and will likely choose to remain loyal to one or two main online gambling sites.

Implementing the latest technology is another big incentives for new players to join an online gambling site. Any site that has appealing and fun graphics will attract attention while outdated sites or slow download speeds will turn away potential new players. Successful webmasters are learning to find the perfect balance between player interaction and user independence in their marketing campaigns. Necessary upgrades are performed promptly and at off-peak hours to avoid unnecessary lag or downtime. Any scheduled maintenance or problems that have been reported are being communicated to all players site-wide to avoid confusion or suspicion.

Finally, online casinos are now offering more incentives than ever to attract new players. These promotional offers include matching bets, free play and increased prize drawings. Cash and other prizes are routinely given away through sweepstakes drawings or to recognize player birthdays or anniversaries. New player bonuses usually include matching deposits up to 100% or more of the initial cash deposit.