Wednesday, April 6, 2011

Internet Poker in Las Vegas?

From BusinessWeek.com:

An economist said ailing Nevada stands to gain millions in tax revenue if it regulates and develops the multibillion-dollar online poker industry, but detractors -- including some of the most powerful Las Vegas casinos -- called the bill on the table premature and said it could chew away at brick-and-mortar businesses.

The economic analysis came Thursday as a legislative panel heard AB258, which would call on the Nevada Gaming Commission to create rules for Internet poker operators and manufacturers of related equipment. After U.S. Sen. Harry Reid's attempt to set federal regulations on the quasi-legal internet gambling industry fell flat late last year, several states are pushing their own bills.

It's stoking the fires of competition in a state considered the nation's leader when it comes to gambling regulation.

"Make no mistake -- this is about Nevada jobs, Nevada revenue and Nevada pride," said former state Assembly Speaker Richard Perkins, who is lobbying for PokerStars. "Other states are going to leapfrog us."

The bill would prohibit the commission from denying a license to existing poker sites such as PokerStars just because they have been operating offshore and offering online gambling to Americans in a legal gray area after a federal law effectively banned online gambling in 2006.

Economist Jeremy Aguero estimated the state could collect between $2 million and $3.4 million in taxes annually if online poker is legalized in Nevada, and up to $65 million if it captured a quarter of the international market.

The economic possibilities go beyond tax revenue, Aguero said. If the state sets up a structure requiring licensed online poker operators to be headquartered in Nevada, an estimated 1,200 direct jobs and $77 million in direct wages could result.

In another scenario, Nevada could require all online poker operators to make a minimum capital investment in Nevada, Aguero said. That projection shows 3,400 direct new jobs, $200 million in direct wages and about $1.3 billion in total economic activity.

"This may be the single largest step you can take to get Nevada back on track," Perkins said.

But opponents including the Nevada Resort Association said the bill on the table -- which would legalize Internet gambling within the state -- would set up an industry that would eat away business from brick-and-mortar casinos until other states or the federal government legalize the practice and grow the U.S. market...

Economist: NV can gain millions with online poker
MICHELLE RINDELS
March 25, 2011
http://www.businessweek.com/ap/financialnews/D9M6B79O3.htm

3 comments:

Anonymous said...

I love what you guys are up too. This type of clever work and
exposure! Keep up the amazing works guys I've you guys to my personal blogroll.

Feel free to surf to my page :: Tumblr

Anonymous said...

Thanks for the marvelous posting! I actually enjoyed reading it, you could be a great author.
I will always bookmark your blog and will often come back down the road.
I want to encourage you to definitely continue your great job,
have a nice morning!

Feel free to visit my weblog - books of ra online spielen **

Anonymous said...

Please let me know if you're looking for a article writer for your blog. You have some really good articles and I feel I would be a good asset. If you ever want to take some of the load off, I'd love to write some content for your blog in exchange for
a link back to mine. Please shoot me an e-mail if interested.
Many thanks!

my web blog :: novostar hotel gNgen