Pennsylvania Senator Says Lottery Could Run Online Poker Better Than Casino IndustryComments Spark Criticism From Poker Community |
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A top Pennsylvania lawmaker caused quite the stir Tuesday when he suggested that the state could let the lottery be in charge of online poker and other casino games, rather than the state’s casino industry.
Senate President Pro Tempore Joe Scarnati posted to Twitter: “It appears that the PA Lottery could administer iGaming more efficiently than the gaming industry & still make substantial profits.”
Such a model would differ greatly from neighboring New Jersey, which allows Atlantic City casino operators to offer their games online.
According to the Poker Players Alliance, there would be a monopoly if the Pennsylvania Lottery is in charge of the games. And a monopoly would be bad for the quality of the online poker offered.
In Delaware, the lottery is involved with online casino gaming, but the state’s three brick-and-mortar casinos are also part of that equation. Delaware’s online casino gaming industry hasn’t been that successful, however. Online gaming in Delaware generated about $150,000 in March, down 42 percent year-over-year.
New Jersey online gaming grew 40 percent in March to $21.7 million.
As OnlinePokerReport pointed out, Pennsylvania would lose out on tens of millions of dollars in licensing fees from casino operators should the lottery control online gaming. The lottery would also likely need to outsource all facets of running online poker, thanks to having no experiencing in the space.
The lottery’s online casino-style games would also compete with the state’s $3 billion commercial casino industry. The 12 casinos had their best month ever for table games in March.
Ten of the state’s 12 casinos are behind online gambling.
It’s been estimated that regulated online gaming in the hands of the Keystone State casino industry would generate $300 million annually in revenue.
Pennsylvania has a poker market worth about $60 million a year, a figure that could grow substantially with quality regulated online poker sites.