Internet wagering is the industry’s top performer
Internet wagering has emerged as the gambling industry’s top performer according to a report by Christiansen Capital Advisors. Compiled for International Gaming & Wagering Business, the report showed that Americans gambled away $83.6 billion dollars in 2005, up 6.1 percent over the previous year. In fact, if legalized gambling revenues were combined then they would rank as the nation’s 11th-richest company. But some sectors of the U.S. gambling economy are doing better than others.
Commercial and tribal casino revenues increased 6.8 percent combined on last year to $53.5 billion. This represents close to 65 percent of the U.S. total gambling expenditure. Lottery revenues increased 5.79 percent to $22.8 billion. While traditional lottery games such as scratch tickets grew by 4.8 percent, revenues from video lottery terminals grew by a substantial 11.8 percent.
Legal bookmaking, card rooms and charitable bingo experienced slower growth, with a combined increase of just 1.9 percent on 2004. Card rooms, no doubt fueled by the popularity of live poker, enjoyed double-digit growth. Bingo revenues declined 3.1 percent, to $825 million.
Christiansen Capital Advisors said in the report that the long-term effects of the U.S. crackdown on Internet gambling are not fully project-able. What is clear is that the new federal legislation barring cash and credit transactions with online casinos will prevent any U.S. based companies from profiting from the worldwide online gambling explosion.
“Consumers want more casinos and more gambling online” Christiansen said.
posted by Ian of egamingpulse
