Picture this: during commercial breaks of "American Idol" (or perhaps during the judges commentary) you log on to your computer and try your luck at the slots or blackjack or poker from the comfort and convenience of your own couch. It's real money you're gambling with and it's totally legal.
That could be the future if a bill currently winding its way through the United States Congress has anything to say about it.
Last week, the bill was approved by the Financial Services Committee and if passed and signed into law it would not only roll back current restrictions on Internet gambling but it would set up a process to allow companies to be licensed to operate online casinos - and for the US government to tax them.
Online gambling is technically illegal in the United States but that hasn't stopped many Americans from doing it. Loopholes in the law and lax enforcement have allowed overseas companies to reap huge rewards to the tune of nearly $6 billion from US citizens in 2008. Online poker is the most popular game but nearly all forms of casino gambling are available including slots, video poker, blackjack, pai gow, baccarat, and the list goes on and on.
What is causing the legal change of heart? Have you looked at the deficit lately? If online gambling was legal, that $6 billion could quadruple according to some estimates and Uncle Sam would be sitting there happy to take his taxable chunk of it. It's the same reason that real casinos are popping up in states around the country: the promise of revenue to help balance budgets.
There are a lot of powerful industries backing the new law also. The operators of those offshore casinos are obviously interested in seeing it happen and the credit card industry would love it since you have to have one in order to place a wager. Bui but you also have the US gaming companies watching closely.
It may seem counterintuitive at first glance. After all, why would a Vegas casino actively encourage you to stay at home, especially since studies have shown that most online gamblers wager less and less often than they do when they visit a casino in person.
But if it were legal in the US, you would most like see some big, familiar names in the gambling industry jumping in with both feet to launch online versions of themselves. The theory is that if they can get you to become a "regular" in their virtual casinos, you'll become more likely to want to visit their real ones. It's easy to envision a future in which you gamble online at home and earn points in your favorite players' club that you can then use to get hotel rooms and other freebies at the casinos in Vegas.
In fact, many of the big companies have been preparing for just such a scenario for years, actively developing technologies that would allow them to manage an online gambling presence if it ever became legal.
Remember that these same kind of conversations have been going on for the last couple of decades as it relates to the spread of Indian and riverboat casinos. At first they were seen as a threat to Vegas but they very quickly proved that there is more than enough gambling money to go around and for many people it actually increases their desire to want to go to Sin City. The evidence is clear: as the number of casinos in other states increased, the number of people and the money they spent in Vegas increased also.
So is it going to happen? The current bill is primarily being championed by Democrats in the House of Representatives with many Republicans against it for a variety of reasons (Federal overreach and the perceived immorality of gambling being the biggest of the bunch). If the November elections put Republicans in power in the House and/or Senate as they are widely expected to do, this entire thing could be a big old pile of moot. However, the big old piles of loot sitting around waiting for the government to take a chunk of may prove to be too irresistible of a lure.
Personally, I have nothing against online gambling but it's not something that really interests me all that much. I tried it awhile back when it was frowned upon as opposed to actually illegal and I found it kind of boring. It wasn't the fact that I lost a couple of hundred bucks quickly - I can do that at a real slot machine too - it was more about the overall experience. I don't like video based slots and if I'm going to play a card game I want to be able to actually touch my cards (which is one reason why I hate those virtual tables in some casinos - the scary fake dealers are another). Gambling should be a form of entertainment, which for me is fueled by the energy, excitement, noise, and fury of a real live casino. I like being able to move around and try different machines or tables; take a break and go have a great meal at one of the fantastic restaurants; see a show or hit a museum in my non-gambling hours. Sitting at my computer and occasionally taking a break for a Lean Cuisine or this week's episode of "American Idol" just isn't the same.
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