New Jersey Takes Tentative Step Towards Consolidated iGaming Market

New Jersey Takes Tentative Step Towards Consolidated iGaming MarketWhile a lack of liquidity forced Nevada and Delaware to combine their iPoker player pools this year, New Jersey has been content to keep its players ring-fenced, even though its market continues to slide. Case in point, New Jersey iPoker revenues are currently down 24.5% to $14.2 million from January to July 2015, compared to the same period of time in 2014.
While the situation doesn’t seem likely to change any time soon, there is at least a slight sign New Jersey may be becoming more amenable to the idea of shared player pools, after the New Jersey Division of Gaming Enforcement (DGE) approved a deal allowing Caesars Interactive Entertainment to host some iGambling products for the Delaware state lottery from its servers in Atlantic City.
This is the first agreement of its kind regarding casino game content between states with regulated online gaming markets, and while the games will only be accessible by players in Delaware, the move could hint at further collaboration in the future. This is badly needed if the regulated online gambling market is to move forward in the United States, and as the Interactive Gaming Council pointed out in 2013″
“States have learned their lesson about the value of increased liquidity from lottery agreements, which have been enormously successful in leveraging shared populations to create bigger prizes that have led to an increase in the number of players participating and have increased the tax revenue generated.”
While poker and lotteries require large player pools to present an attractive draw for punters, online gambling games such as slots and casino games do not. This is reflected in the fact these games currently account for around 80% of monthly iGaming revenues, and so far this year New Jersey has generated $84.5 million in revenues, up 14.46% from the $73.1 million collected during the same period last year.

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