Why has online gambling regulation in the United States largely stalled outside of sports betting? Many different arguments could be made for this problem, but the Chairman of Bally’s may have a creative solution.
PlayUSA reported on Monday that Bally’s Chairman Soo Kim proposes that states start with a live dealer approach to iGaming. This hybrid option could address some concerns over iGaming while giving providers additional revenue streams.
PlayUSA also claims that some of their sources believe an industry pivot is possible in 2025. Would such a pivot bring around a new wave of iGaming regulation?
Key Highlights
- Bally’s Chairman says that states should pursue a live dealer-only approach.
- PlayUSA says that some states could pivot to a live dealer approach starting in 2025.
- Live dealer games could provide new jobs while providing little to no competition to other gaming sectors.
Why Not Just Live Dealers, Says Bally’s Chairman
On Monday, PlayUSA released an article quoting Bally’s Chairman Soo Kim regarding the recent struggles of state legislatures in advancing iGaming legislation. He suggested an incremental approach to regulation, starting exclusively with live dealer table games.
Kim stated, “Why not just live dealers? I actually think live dealer can be an interesting solution in a lot of places. It’s like a half step. We don’t have to do iSlots yet because, with iSlots, there’s a lot of people fighting over it. That’s why I’m like, ‘Hey guys, instead of fighting over iSlots, why don’t we try to get live dealer?’ I bet you there will be very little resistance.”
Bally’s has experience with a live dealer gaming approach. In Rhode Island, the only form of online table games allowed are live dealer games. The games are currently streamed from Bally’s Casino Twin River Lincoln.
According to Kim, “In Rhode Island, the regulators felt really good about live dealer. They liked that we’re still employing people in the state, and it had fewer constitutional questions.”
He further discussed how live dealer games would be easier to push through over iSlots as live casino games do not compete against other gaming types.
Many casinos, providers, and lotteries object to iGaming because they feel they will be squeezed out. Live casino games are their own niche, and they can work their way through without rocking the boat.
Is the Industry Getting Ready to Pivot to Live Dealer?
PlayUSA mentioned in its article that they were contacted by anonymous sources that say that a pivot towards focusing on live dealers is possible in 2025 for some states. The pivot will be more likely if traditional iGaming regulatory efforts stall.
Table games, I think, are easier to sell to legislators than slots.
– Illinois Rep. Edgar Gonzalez
Illinois and New York legislators are open to discussing a shift to focusing on live casino games. Illinois Rep. Edgar Gonzalez told PlayUSA, “Table games, I think, are easier to sell to legislators than slots.
“Because of the reluctance of some VGT folks when we look at iGaming as a whole, maybe we legalize blackjack and poker on the phone and see how that goes. And if those live dealers were union, it could be easier to sell to folks and might get allies from labor behind it. We’re looking at ways to make it happen.”
New York may be trickier to get on board. According to State Senator Joe Addabbo, the Hotel and Gaming Trades Council (HTC) Union is against such a proposal. Addabbo is open to discussing, but “the HTC union is still opposed.”
Are Live Casino Games the Key to Future iGaming Expansion?
The arguments supporting a live dealer approach to iGaming expansion are novel ones we’d like to see pursued starting in 2025. As Kim and others have stated, live dealer games provide little to no competition to other gambling segments.
Additionally, live dealer games will require additional capital and labor expenditures by providers, creating more jobs and improving the local economy. New jobs and a stronger regional economy are both buzzworthy propositions that lawmakers love.
Once the door is cracked open by live dealer games, other forms of gaming expansion could be slowly introduced. While live dealer may not be the online gaming option we want, it could prove to be what the industry needs to move forward.
Sources
https://www.playusa.com/live-dealer-only-online-casino-focus/
