Posts Tagged ‘online gambling boom’

Analysts Predict Online Gambling Boom in Current Economic Climate

According to various analysts, the current economic climate seems to be sparking rapid growth in the online gambling industry as governments in need of more tax revenue start to remove bans and tax the resultant surge in bets.

Analyst Anthony Travers, the head of KPMG’s Australian gaming industry practice said that Australia is one of many places examining deregulation. KMPG predicted in one of their reports that the global online betting market will grow by 42% to $32 billion by the year 2012. “With the potential for growth in the sector increasing, the market we see now could be just the tip of the iceberg,” he said.

The Australia’s Productivity Commission draft report into online gambling urged deregulation of the industry and removing the ban on Australian companies operating cyber casinos. Travers said that the prohibition of the industry was not working as it is reported that Australians spend approximately $790 million on offshore cyber casinos. “You would have to think that, longer term, a regulated market with support for problem gamblers would be a better way to go for the governments,” he said.

Travers and many other analysts around the world agree on the prediction that there will be takeovers in the sector and the prospect of foreign entrants.

Australia is clearly not the only country taking this into consideration, a lot of European countries have already started looking into this and making it a reality. Online gambling specialists expect most European Union countries to follow the trend towards deregulation of online gambling, however, they do not have such expectations for the very large potential market in the US and South Korea.

I personally still like to think that the US Government will soon tax online gambling and declare a legal activity, just because it makes sense to do so.