International Game Technology Boss Issues Warning to Online Poker in US

September 19, 2012

Based in Nevada, popular gambling firm IGT or International Game Technology has offered US online poker and gaming association a warning. The Chief Executive Officer, Patti Hart, has provided her views on the entire course of online gaming and poker in the United State of America. Hart told Bloomberg Business Week about the International Game Technology news and that IGT would also be pulling its branch from the European market as well.

Entraction Poker Network to be removed

IGT has decided to pull out Entraction Poker Network, which it recently acquired, from the gambling market in Europe. Hart reported that the company was taking this step following the tougher and stricter regulations put forth on online poker, which is bringing down the profitability rates of the company. Patti Hart, being the CEO of the company, explained as to how Entraction has moved from being a ‘dot-com’ to being a ‘dot-country’, ever since there has been less profitability. All these issues have made the gaming platform less interesting amongst the public.

Hart threatens that state of US poker may also go the same way as European market

IGT’s CEO is now sending out warning signals to the online poker scene in the United States as well. Hart warned that in case the entire legalization process regarding online poker goes on the same way as it is currently in the United States, then the poker in USA might move the same way as Entraction Poker Network did. If the state of online poker isn’t going to be legalized on a federal level wherein more states get involved, and instead continues to be on a state by state basis, then IGT may have to withdraw from the market, said Hart.

Poker operators need to look at their economics

Hart insisted that the US poker operators, who intend to continue offering their services in various states that are still regulating and legalizing online poker, must look at their economics as well. The warning also includes the state of Nevada, which has gotten permission recently to permit online poker. Patti also warned that the entire scenario is more complicated and challenging when operators are offering their services in a single state only.

Somehow, so far, the situation hasn’t deterred any of the two dozen companies in the United State of America from seeking lucrative licenses. The companies are continuing their effort to get the licenses in order to offer services in Nevada and other states.

MSG and Caesars hope to play big part in market

Most of the big groups and companies such as Caesar’s Entertainment and MGM Resorts International have already gone through the entire licensing processes. The companies hope to play a major role in what may be considered by many as to be quite a rewarding and exciting future online gambling market in the entire state.

In spite of Hart’s warnings, online poker and online gambling continue to grow quite significantly on a worldwide scale. So far it has generated almost $32.1 billion in revenue in 2011. Most of this amount was contributed by the United Kingdom, Japan and Germany.