Inside Asian Gaming

March 2014 | INSIDE ASIAN GAMING 39 FEATURE problem that was driving a lot of the arguments in favor of Internet gaming licensing have subsided, at least a little,” said Mr Ehling. “It’s not nearly as pressing, so this issue is not going to move to the top of the agenda. Even within the tribal nations, there has not yet been unanimity that Internet gaming is a good idea.” Mr Gushin, who cited Pennsylvania and Colorado as states where legislation could happen in 2014, sees state lotteries and tribes getting in the game this year, regardless how New Jersey unfolds. “We can’t forget state lotteries because many are contemplating going into the Internet gaming field,” he said. “This is going to be extremely interesting as casino licensees on the one hand and state Another area of disappointment for many observers was the initial marketing, which didn’t make it clear that transients in New Jersey are even eligible to gamble online. It’s wise not to overstate the importance of one state’s opening month Internet gaming numbers; but neither should they be minimized because, in point of fact, a lot of people are looking at New Jersey right now. lotteries on the other hand get involved in Internet gaming. Lotteries are the marketing arm for gaming for state governments. They have played a very active role in marketing over the years and they are prepared to move into Internet gaming. They enjoy high awareness levels in the states and generate a lot of revenue for them and they are very well-positioned to enter the online market along with casino licensees. It’s going to be interesting, where there are casinos and lotteries in the same state, whether Internet gaming will fall under lotteries or the gaming commissions.” Tribes, for their part, are not going to sit back and allow other jurisdictions to have Internet gaming exclusively; they want to participate, said Mr Gushin. “There are arguments to be made that under Class II gaming, which is essentially the province of the tribes, there may be opportunities to go forward on Internet gaming,” he said. “There are likely to be a lot of creative approaches to this, and court challenges as well. My point on the tribes is they cannot and should not be excluded. They’re an important component of the American gaming industry and they will be players in Internet gaming.” On the revenue front, most observers seem to be holding the line around the $400 million mark, though there are exceptions on the low- and high-ends. Spectrum Gaming Capital has estimated that New Jersey revenue for 2014 will be $400 million. “We feel confident that that’s actually a conservative projection,” said Mr Gushin. “We’ve always been around $400-$500 million and we haven’t changed on that,” said Mr Jones. “You can see New Jersey fixing the issues and righting the ship. I’ve seen estimates well north of that and I struggle with how people get there.”