Remain Interested in Online Casinos
Every single day, almost 2 million poker players frequent online
casinos and throw their chips into play. And as the action at
online casinos increases, investors have become more interested
in the increasing popularity of the Internet gambling industry.
More than 70 percent of players who frequent online casinos come
from the United States, and a recent article in the American
weekly Newsweek showcased that the serious investor interest in
online casinos is clearly on the upswing.
Newsweek reports that because of the attention online casinos
have received via major media outlets, the investment
opportunity is golden. The World Series of Poker on ESPN and the
World Poker Tour on the Travel Channel, in the United States,
have made poker a common “sporting event” discussed at water
coolers in businesses all across America. With the rise in TV
popularity has come the rise in online casinos.
There are about 300 major online casinos that tout poker
specifically on the Internet, and business is booming. Stocks of
online casinos are on the up on the London Stock Exchange, where
major online casinos based in Gibraltar and other nations are
Newsweek reported that other online casinos will soon follow the
online casinos who have already offered their companies to the
public at low stock prices, and that investing in the industry
will soon become much more widespread.
However, despite this continued interest in online casinos,
online poker is still technically against the law in the United
States, according to the U.S. Department of Justice.
Nevertheless, as the online casinos continue to rake in dollar
after dollar, the U.S. government has yet to truly enforce its
Lawyer Anthony Cabot, based in Las Vegas, where online casinos
meet land-based casinos as a gambling haven for bettors
worldwide, said, “Everybody is comfortable that the U.S.
government is not going to take any enforcement action.”
The Newsweek article continues and goes into vivid detail in
explaining the legal, tax, and operational ramifications and
intricacies of the industry, especially the offshore companies
who have invested millions in operating online casinos from
Caribbean islands and other un-taxed locations.
Online poker revenues have grown from $83 million in 2001 to
over $2 billion today, and this amount will most surely double
by 2005, according to the research firm Christiansen Capital
U.S. investors will sure look to new online poker and Internet
gaming IPOs in the future because of the immense chance for a
windfall. Nigel Parson, a research analyst in London, said,
“This isn’t like the dot-com opportunities of the past, this
spews out cash like you’ve never seen.”
With immense popularity and profits, the online gaming industry
is succeeding. Goldman Sachs and Morgan Stanley are involved in
forthcoming IPOs in the industry. Investing has reached an
all-time high and continues to grow. But regulation risks still
Still, as millions of players continue to splash the pots
online, the games will continue to flow. So will the cash.