Nevada Online Gambling Shelved

[jetset]

NEVADA ONLINE GAMBLING SHELVED FOR NOW

Survey claims only 3.7 percent of people in Nevada gambled online in the past five years.

Las Vegas Today carried an interesting story as the week closed, revealing that the Nevada Gaming Control board had looked at the possibility of sanctioning internet gambling last week. The regulators had earlier commissioned a study by UNLV to gauge interest amongst Nevada residents in gambling over the internet.

"There is some ability or there is some argument that now there is an exemption to the federal law [against online gambling]," said Gaming Control Board Chairman Dennis Neilander, referring to the powers vested in individual states to make gambling laws, and exemptions in federal law for horseracing, state lotteries and fantasy sports.

The report claims that gaming and technology companies have pressured regulators to license internet gambling websites based in Nevada. "A number of these groups have said: 'Why don't you look at regulating it just for Nevada?'" Neilander is quoted as saying.

Some years ago attempts to legalise and license online gambling in Nevada were put on hold by state legislators with one eye on what federal authorities and legislators were planning (see previous InfoPowa reports)

Last year, in an attempt to confim gaming company claims that many Nevadans already gamble on the Internet, the Gaming Contol Board commissioned the UNLV study to report on the pastime. Professor and director of the UNLV's Gambling Institute, Bo Bernhard conducted the study, and reported that 65.4 percent of people in Nevada had little interest in Internet gambling.

The study claimed that only 3.7 percent of people in Nevada had gambled online in the past five years.

"As it stands right now it appears to be a relatively low prevalence behavior," said Bernhard.

At last week's meeting of the Board the regulators decided on a "wait and see" approach. If there is evidence of significant interest among Nevadans in online gambling, the subject will be reconsidered in the national as well as state context

[Slotster!]

Originally Posted by jetset

NEVADA ONLINE GAMBLING SHELVED FOR NOW

Survey claims only 3.7 percent of people in Nevada gambled online in the past five years.

If I had Ceasar's Palace and The Bellagio on my doorstep -- i'd never be home enough to gamble online! Moreover, I'd probably have had to sell my laptop

[vinylweatherman]

It shows only that 3.7% are prepared to ADMIT to gambling online. Considering what has happened, with funds being seized, and the IRS taking an interest, I expect there are many worried that the DoJ will pull some legal manouver to force those taking the survey to hand over the details of those who admitted gambling online over the last 5 years, and they might then suffer a tax audit. Las Vegas is not all of Nevada, so there will be many who don't have the casinos on the doorstep, and others unhappy at the lower payouts, and large tax take on any "winnings", even if they had to sell the house the year before.

[lojo]

I always thought the first step would be 'live dealer' games from your room... maybe inhouse slots etc on the comm screen. The tech is there and so is the law as long as its an inhouse network... which could be extended to properties, then instate borders.

[RobWin]

Online betting whiffs in Nevada

Study says 96 percent of residents don't play

By HOWARD STUTZ
REVIEW-JOURNAL

Nevadans aren't really interested in online gambling. At least, that's what more than 96 percent of people told questioners in a study conducted for gaming regulators by UNLV's International Gaming Institute.

But those Nevadans who do gamble over the Internet -- 3.7 percent according to the sample of 1,000 residents surveyed -- mostly play poker or wager on sports, are predominately male, and are not completely comfortable with the integrity of online gaming.

Meanwhile, those who do gamble online said the activity does not affect their gambling habits inside Nevada casinos.

The Gaming Control Board asked the institute in 2006 to study whether or not Nevadans are gambling on the Internet and to investigate their habits and attitude toward the activity.

Institute director Bo Bernhard said respondents were surveyed in January 2007. Follow-up in-depth interviews were conducted throughout the year with 27 of the respondents, including 18 active online gamblers. Bernhard said all the participants were assured confidentiality because of concerns over the legality of the activity.

The interviews helped researchers probe deeper into the attitudes and activities of online gamblers. However, the arrests of several high-profile online gambling executives, anti-Internet gambling activity in Washington, D.C., and the shutdown of some online gambling sites took place during 2007 while the research was being conducted.

"It became clear that events contemporaneous with our work may have chilling effects on the patterns of online play," Bernhard said. "This research was conducted during an interesting point in time."

Control Board Chairman Dennis Neilander said the panel wanted a better understanding of the online gaming activities of Nevada residents. Several technology companies and other parties have expressed interest over the years in potentially setting up online gambling sites in Nevada that would cater only to Nevada residents. The concept would require action by the Nevada Legislature.

Neilander and fellow board members questioned if Nevadans were in fact gambling on the Internet.

"Anecdotally, we were told the activity was going on," Neilander said. "That led to a policy question; if this is something that is going on, isn't this something we ought to regulate and tax? We felt you really can't make decisions with appropriate research."

Neilander said it is not illegal to gamble on the Internet, but it is a violation of federal law to operate a gambling site that accepts wagers from Americans.

On Friday, the Institute presented its findings to a special joint meeting of the Gaming Control Board and Nevada Gaming Commission, which would write any policy regarding Internet gaming by Nevada residents.

Bernhard, who oversaw the yearlong study with assistant director Tony Lucas, cautioned regulators that respondents are not always forthcoming when being questioned about what he termed "deviant behavior."

The number of Nevadans gambling online may actually be higher because respondents could have been reluctant to admit to a questionably legal activity.

Nevertheless, the number of Nevada respondents saying they had gambled online was statistically similar to the number of national respondents who participated in a 2006 online gaming survey conducted by the Washington, D.C.-based American Gaming Association.

Bernhard, who had to answer questions after the formal presentation from his father, Gaming Commission Chairman Peter Bernhard, said the qualitative research provided substantive information. Most of the online gamblers, he said, like the activity's low cost. Others use online gambling as a way to teach themselves about different games of chance.

The survey also found that nearly nine out of 10 Nevadans who had not gambled online said they were "not at all likely" to participate in online gambling if the state licensed and regulated the activity.

Current online gamblers, Bo Bernhard said, had strong concerns about the legal status and the unregulated nature of the activity and would have more of a comfort level if Nevada regulated online gambling.

"It's ironic that they think it's illegal, yet they still participate in the activity anyway," Gaming Commissioner Ray Rawson said.

Control Board member Mark Clayton said that because the study's findings showed such a small number of gamblers wagering online, he didn't believe Nevada casino operators would undertake the effort toward setting up Internet gaming sites within Nevada borders for Nevada residents.

Bo Bernhard said the survey had a margin of error of plus or minus 1.2 percentage points because of the large sampling.

[SlotsWizard]

Originally Posted by vinylweatherman

It shows only that 3.7% are prepared to ADMIT to gambling online.

Especially since Nevada is one of the "Microgaming 11". Of course very few people are going to admit to having broken the state law against internet gambling (I assume there must be one, otherwise it wouldn't be on MG's list).

It's like asking people to take a survey on whether or not they cheated on their taxes.

[NASHVEGAS]

Cut and paste of my post on 11-24-2007 from Jetset's original thread...no need to retype my past opinion (during the study):

Originally Posted by jetset
NEVADA REGULATORS COMMISSION ONLINE GAMBLING STUDY

Another step in the state online gambling legalisation process?

Almost comical!......There may be a half full side to this study but it will not involve anything positive re the current players in the online industry per se.........Any positives from the study would involve names like Harrah's,MGM,Las Vegas Sands and not sure about Wynn,jmo!

[lojo]

Originally Posted by NASHVEGAS

Cut and paste of my post on 11-24-2007 from Jetset's original thread...no need to retype my past opinion (during the study):




Almost comical!......There may be a half full side to this study but it will not involve anything positive re the current players in the online industry per se.........Any positives from the study would involve names like Harrah's,MGM,Las Vegas Sands and not sure about Wynn,jmo!

Yeah the 'scientific method' falls a little short on this 'study' me thinx.

Is it observable, repeatable, and verifiable? Was it double blind? Where is the 'control group' where is the anonymity, and MOST IMPORTANTLY where is the 'peer' review?

It's a joke.

[Westland Bowl]

Originally Posted by RobWin

.....Neilander said it is not illegal to gamble on the Internet, but it is a violation of federal law to operate a gambling site that accepts wagers from Americans......

For the millionth time, it is a violation of federal law to operate a gambling site that accepts SPORTSBETTING wagers from Americans. NOT casino games like craps, blackjack, slots, etc.

These news-reporting bureaus just keep getting all wrong regarding the American law on gambling online. DUM....deee-yew-eeem...DUM

[jetset]

Maybe the reporter was actually reporting what Neilander said. The American legislative situation is now so confused and convoluted that Neilander may have been trying to dumb it too far down rather than try to take the writer through all the twists and turns of US federal and state gambling law and exemptions LOL.