Native American Tribes Take Steps to Create Online Gambling Networks
In a bid to grab their share of a legalized online gambling market, US Native American tribes are mulling over the pros and cons of uniting to create their own online poker and online casino gaming network, similar to the ones being contemplated by US states such as Nevada, New Jersey, and Delaware.
Ever since the US Department of Justice (DoJ) announced in December 2011 that the federal Wire Act of 1962 does not apply to online poker and online casino gambling, individual US states have been scrambling to legalize intrastate online gambling. The first US state to pass a comprehensive online gambling bill, legalizing several forms of online gambling, was Delaware. Next, Nevada legalized intrastate online poker and created a regulatory framework, on the basis of which it granted licenses to several online gambling companies. New Jersey also recently passed an online gambling bill with provisions for the formation of interstate online gambling compacts.
According to a recent report published by Gambling Compliance (GC), representatives of Native American tribes who took part in the National Indian Gaming Association, which was held recently, presented the idea of grabbing a share of the lucrative online gambling industry in the US. Experts have estimated that the US online gaming industry could be worth as much as $7.4 billion over the next five years. A tribal representative, who remained unidentified, is believed to have stated, “We’re starting to see more force behind the idea of developing Internet coalitions.”
Jacob Coin, public affairs executive director of the Serrano Mission Indians, San Manuel Band, said, “It’s a positive development in that it means tribes are finally beginning to embrace the technology and potential of Internet commerce.”
Native American tribes, which have been recognized by the US federal government and have signed gambling compacts with their respective states, are no strangers to the world of gambling. Having set up land casinos on their reservations, they have generated plenty of gambling revenue and understand very well the potential of online gambling in the US. In 2011, an estimated 240 Native American tribes have run around 460 land-based casinos in various states and have generated close to $27 billion. Understandably, they want to grab their share of the online gambling market in the US too, owing to which they are thinking about the possibilities of launching their own online gambling networks and compete with other US interstate and intrastate networks.
A few tribes have already taken definite steps in this regard and have begun building proper online gaming infrastructure. This week, the Confederated Tribes of the Colville Reservation, located in Washington, is reported to have gotten into a partnership deal with Bally Technologies. As a result of this partnership, land-based casinos belonging to these tribes will soon have free play online poker rooms and online casinos.
Since several states have taken definite steps towards intrastate online gambling legalization, legal online gambling sites will soon become a reality in the US. However, no online poker bill has been passed at the federal level.
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