Can Online Gambling Save Atlantic City?
Atlantic City’s casinos are putting a lot of faith in online gambling and are hoping that it helps turns their fortunes around.
In 2006 Atlantic City’s casinos took in $5.2 billion, however, since then there has been a huge decline mainly due to competition from casinos opening in Pennsylvania, last year A.C. casinos grossed just over $3 billion.
However, the casinos will be partners in the online gambling operations, not competitors. Because of this they are welcoming the change in legislation.
Over the last few months the casinos have been partnering with online operators in preparation for the application deadline of July 29th.
Dennis Farrell Jr., a Wells Fargo analysts, wrote that internet gaming should be seen as a “lifeline” for Atlantic City casinos. Farrell predicts that casino revenue will rise by $650 million to $850 million in the first year of legalised online gambling. Furthermore, Farrell believes that “online gaming sites operated by state casino operators will lead to job creation and drive visitation to Atlantic City.”
However, if one looks at the fate of bookshops and music shops which have suffered over recent years due to the rise of websites like Amazon, it is clear that the casinos definitely have their work cut out.