The high hopes that internet gambling will soon be legalized in the state of New Jersey has caused a surge in the stock prices of many gaming firms. These surges resulted from the fact that if it is legalized, it means that these companies will tap into a newborn market that is worth up to one billion dollars. The governor of the state of New Jersey, Chris Christie has used his right to veto the online gambling bill that was proposed last Thursday. On the other hand, he asked for a few changes to the bill and stated that if these changes are implemented, he will sign the bill into law.
The Shares of Caesars Entertainment Corp, the America casino operator has witnessed an increase of twenty-seven percent at 12.75 dollars on NASDAQ. As for Boyd Gaming, another American operator, the shares increased by eight percent to reach 7.64 dollars on the NY Stock Exchange.
If this bill passes through and is signed into law, it is going to enable Atlantic City casinos to provide the 9 million New Jersey residents with internet gaming services. Not only that as it will also enable numerous European gambling operators to enter the NJ market.
If that happens, it will certainly spark similar laws across the United States. It will fuel the hopes of other states that one day they can legalize gambling and liberalize their state laws that are concerned with gambling. If Chris Christie sings this bill, it is going to be reviewed after ten years in order to see its effect on problem gambling.
The size of the online gambling market is estimated at 500 million to one billion. McGill from Janney Capital has confirms that by stating that the market could increase to $1 billion in only 3 years. The two companies, Boyd and Caesars have the ability to produce and implement gaming platforms quickly to start offering online gaming services if this bill is passed successfully. It is also expected that it will be a very competitive market. Other companies from the continent of Europe who have years of experience in the industry of online gambling are expected to tap into the New Jersey internet gambling market as soon as it is legalized.