Possibility of Regulated Online Casinos Making Strange Bedfellows

Land-based US gambling companies were once the sworn enemy of foreign online casino operators, however the potential change in US law has the 2 sides getting chummy with each other.

Online casino operators, tempted by the possible billions that can be made if and when the united states regulates Internet gambling, are devoting substantial resources to preparing for the time when US licenses become available. Some of the maneuvers being made are the alliance of overseas Internet gaming operators with US land-based casino corporations.

Only a little while ago, such companies as Harrah's and MGM were the arch-enemies of foreign online gambling operators, resisting the brand new source of competition. VBut because the landscape people regulation develops, all sides are finding a use for the other.

The passing of the UIGEA in 2006 scared many legitimate gaming companies out of the U.S. market. Persecution and harrassment by the dep. of Justice continued the pattern, leaving only some aboveboard companies operating within the US among dozens of shadt outfits. The law effectively made predictions about online gambling come true, as criminals benefited from the ban and exploited the unintentional result, a block only effective against transparent and listed operators.

"When the act was signed into law, we stopped taking wagers from the united states and effectively gave up 75 per cent of our business in a single go," said John Shepherd of PartyGaming, one of the crucial companies desperate to return to the US, in an announcement to Bloomberg News.

Because US regulation will carry requirements that likely favor the domestic land operators already under state regulatory rules, overseas online casinos receive a bonus by partnering with US interests. Likewise, the experience and data acquired by UK and other Internet gaming concerns lead them to attractive to land casino execs unfamiliar with Internet operations.

Harrah's and 888.com have already got agreements in place for European business, and will become linked for US operations in addition. PartyGaming is negotiating with several land casino companies to create a US network when the time arrives, and other online gambling outfits seem more likely to partner with US gaming companies.

Published on May 21, 2010 by MattMiller

Read More... [Source: Harrahs Casino News]