UIGEA Doesn't Stop Migration to Online Casinos

Even though the federal government tries endlessly to aid special interests controlling land-based casinos, online casinos still continue to grow in popularity, much as Netflix is bypassing Blockbuster.

A new survey by a media study group has found that US residents are visiting land-based casinos in declining numbers, while online casinos are adding new players. These figures come despite the UIGEA attempt to block access by US consumers to Internet gambling sites.

Mintel International Group reports that 30 percent of Americans say they have visited a land casino in 2009, while in 2001 that number was 35 percent. Mintel also found that 12 percent of US adults had played at an online casino in 2009.

The shift in patrons from land-based gambling venues to Internet gaming is a natural evolution caused by ease of use and convenience. The same inevitable factors keying Blockbuster's hemorrhaging customers to Netflix is causing online gambling to slowly surpass land gaming.

In fact, the transition has probably been considerably slowed by the UIGEA and the stubborn obfuscation of the situation by the Department of Justice, says OCA analyst Sherman Bradley. Without the tireless efforts of the federal government, the will of the people would surely have led to massive defections to online casinos by now, Bradley stated.

Considering Senate Majority Leader Harry Reid, a major block in the attempt to regulate online gambling, is supported by campaign donations from Nevada casinos, the federal delay in enacting the wishes of the voters may be obvious. But the Mintel study makes it clear that US residents will not be denied the best business model for their entertainment.