UIGEA Repeal Could Benefit MGM, Sands And Others

With Barney Frank's proposed Internet Gambling Regulation and Enforcement Act looming on the horizon, many land-based casinos are looking towards the plausible future of legalized Internet gambling in America. Any company who jumps on this prospect early in the game stands to collect huge gains from such an endeavor.


Frank's Bill is intended to essentially reverse the Unlawful Internet Gambling Enforcement Act of 2006 (UIGEA), calling for the legalization, regulation, licensing and taxation of Internet gambling within the US. It also covers prevention of underage gamblers and protection against problematic gambling. Frank commented on the issue, "If an adult in this country, with his or her own money wants to engage in an activity that harms no one, how dare we prohibit it? Adults are entitled to do with their money what they want."


Alan Feldman, Senior Vice President of MGM/Mirage, gave his opinion on the idea of opening an online gambling operation. "We would do so as quickly as we could, we would have it up and running within a year. And I have to believe that ... All major entertainment companies will get involved, too.

Sony, Apple, Universal, Columbia, Time Warner. It just seems logical that at some point they would find their way into the industry."

The Las Vegas Sands is another top contender for marketing an Internet casino. They announced plans last year to develop an online casino to players in the United Kingdom, but have since turned their attention to the US market in light of current events in legislation. Ron Reese, a spokesperson for Sands said, "We see it as another opportunity to grow our business."


A list of other land-based casinos have made statements eluding to interest in the online gambling industry, but have chosen to remain anonymous rather than 'revealing their cards' so early in the game.