After a two-year hiatus, the Global iGaming Summit and Expo is back. Speakers at the conference will discuss the future of the Internet gambling market in North America from May 11-13 in Montreal.
Compiled below are quotes from the May 12 sessions.
From staff reports
"There's a simplistic narrative that the UIGEA prohibited Internet gambling and the Frank bill repeals it. Neither of those (narratives) are true."
– Dan Walsh, Senior Director of Governmental Affairs, Greenburg, Traurig & Lead U.S. Lobbyist, IGC
"I think it's very important that we have an open licensing system, because if we do not encourage innovation and competition, I believe the players who are playing today will continue to play at offshore unlicensed sites, and that will mitigate the amount of tax revenue that federal and state governments can
bring in."
– Laurie Itkin, Vice President, Government and Pubic Affairs, TVG/Betfair US
"We don't know what Harry Reid is going to do, and Harry Reid doesn't know what Harry Reid is going to do. He's kind of evaluating options. He's a historic opponent of Internet gambling, but I think he recognizes that it's going to happen and he wants to play a role."
– Dan Walsh, Senior Director of Governmental Affairs, Greenburg, Traurig & Lead U.S. Lobbyist, IGC
"With single-game sports betting currently illegal (in Canada), the Crown Agencies are essentially shut out of 40 percent of the market."
– Bill Rutsey, CEO, Canadian Gaming Association
"We are hoping to bring a (betting) exchange to horse racing in the U.S."
– Laurie Itkin, Vice President, Government and Pubic Affairs, TVG/Betfair US
"Should we wait for federal legislation or should we be promoting activity at the state level? Frankly, as a new entrant into the U.S., I think I would jump on any train that's moving, so we are working actively at the federal and state level to encourage policy makers to regulate, license and tax Internet gaming services."
– Laurie Itkin, Vice President, Government and Pubic Affairs, TVG/Betfair US
"It is widely believed that (UIGEA) will take effect on June 1, 2010. It is not widely believed that the regulations will cause massive disruption in the existing Internet gambling industry."
– Dan Walsh, Senior Director of Governmental Affairs, Greenburg, Traurig & Lead U.S. Lobbyist, IGC
"The leading opposition to those bills in New Jersey is Harrah's. Harrah's has said that they prefer a federal solution and they have gone all in on the federal solution. Well we at iMEGA believe that we can walk and chew gum at the same time. Yes, absolutely, we are very supportive of a federal solution. It would be very helpful if we had a federal solution, but while it is a one-fell stroke solution for the industry, it is also a choke point for opponents of the industry."
– Joe Brennan, Chairman, iMEGA
"The potential for federal legislation is bringing some urgency to California, and there's a sense that if California does not move before the federal legislation goes into place, it will be a missed opportunity."
– Andrew Schneiderman, VP and General Counsel, Commerce Casino
"It is our view at (the California Tribal Business Association) that Internet gambling could be a new source of economic development. But there are more questions than answers. Have the interests of tribal governments and existing tribal gaming operations been taken into account in the formulation of authorizing legislation? Has the federal tribal consultation policy been applied correctly? We've received a "Dear Tribal Leader" letter from the author of one of the bills, but that does not constitute consultation."
– Leslie Lohse, Chairwoman, The California Tribal Business Alliance
"In California, our compact clearly defined the definition of a gaming device as including any electronic device that allows an individual to place a bet, play a game of chance or skill and view notification of any winnings."
– Leslie Lohse, Chairwoman, The California Tribal Business Alliance
"You will not get legalization in the United States by end-running the tribes."
– Leslie Lohse, Chairwoman, The California Tribal Business Alliance
"Poker is driven by liquidity, and the way you get liquidity is to have a worldwide audience. U.S. players today are used to playing with foreign players and are used to the liquidity that comes with international play."
– Dan Walsh, Senior Director of Governmental Affairs, Greenburg, Traurig & Lead U.S. Lobbyist, IGC
"You've had an attitude amongst a number of the representatives from the
brick and mortar industry, that 'We're the brands that people want,' a kind of 'If we build it, they will come' attitude. I can tell you, coming out of a couple of companies, Time Warner and AOL, existing legacy brick and mortar institutions in all sectors have a real problem when it comes to entering the online market. They always overestimate their brand and their ability to deliver and enter a marketplace."
– Joe Brennan, Chairman, iMEGA
"Let's face it. Do we really believe that absent a Senator Reid bill that anything will be passed by this Congress?"
– Joe Kelly, Professor of Business Law, State College at Buffalo
"The ban on Internet poker has been about as effective as the War on Drugs."
– Lloyd Levine, former Assembly Member, California State Legislature
"I think we're going to have Internet poker on an intrastate basis relatively soon. I'm not sure which state is going to be first, I'm hoping it's California, and I think once you get that first state legal, you'll probably see a couple of other states follow, and then I think when you see those states follow, you've got California which has a large population which means it's got a big Congressional delegation. Florida is the same thing. Once you start getting these larger states to get an intrastate model going, that's also going to give those states significant clout in the federal government."
– Lloyd Levine, former Assembly Member, California State Legislature
"At the end of the day, we're going to have to provide a better service and security to move the California player back. If our attempt is to try to shut the other (offshore sites) down, I think we lose that fight."
– Roderick Wright, California State Senator
"I don't even know how to play poker. I've had plenty of offers for lessons, but the tuition would probably be more than what I paid at Pepperdine."
– Roderick Wright, California State Senator
"I've heard that we could make $4 billion playing in California. I've also heard that we may not make squat. What's the real number? Hell, I don't know. But there's a whole lot space between squat and $4 billion."
– Roderick Wright, California State Senator
"California currently has an underperforming asset. An underperforming asset is not a good thing to have on your book. Our effort will be how to maximize the return on the asset we have. Whether or not it's Congressman McDermott or Congressman Frank, if we don't take advantage of the asset that we currently have that is underperforming, somebody else will."
– Roderick Wright, California State Senator
"We're going to be the first state in the nation to have this bill passed. I'm confident in that."
– William Pascrell, Partner, Princeton Public Affairs Group
"I think that Harrah's attempt to push the federal legislation and bypass the states having an opportunity to go ahead and do what's in their interests is a mistake. Why do we have to wait for the feds when many states, like California and Florida in particular, have paved the way on so many other legislative processes without waiting for the federal government to act. The federal government can act when they're going to act, I don't think it's going to happen this year."
– William Pascrell, Partner, Princeton Public Affairs Group
"I think there's a race to be first. New Jersey likes to be first, but unfortunately we're first in some categories we don't want to be first in. I truly believe because of a bi-partisan government, the speakers and president are supportive of this legislation, the governor is supportive of this legislation."
– William Pascrell, Partner, Princeton Public Affairs Group
"I think we're fighting a real malaise. I think brick and mortar casinos have been asleep at the switch in New Jersey. You've had an economic downturn, you've had the states bordering us bringing in all kinds of new opportunities… We are not looking to get in a war with the brick and mortars, we believe we can help them and they in turn can help us, and it can be a good effective partnership that creates jobs, creates revenue and creates new opportunities."
– William Pascrell, Partner, Princeton Public Affairs Group
"The thrust of the bill is to unite the brick and mortar existing licensees with online gaming interests; to join them together so they can complement each other. If we don't do this in New Jersey, Atlantic City will be done very soon. We had our worst year in the history of Atlantic City last year, so something's got to turn around very soon."
– William Pascrell, Partner, Princeton Public Affairs Group
"This year, California is so desperate that it will do anything to raise money. On our ballot in November is legalizing marijuana, purely for tax reasons. And if you're going to legalize marijuana, Internet poker? Who cares about that?"
– I. Nelson Rose, Distinguished Senior Professor, Whittier Law School
"I think it's the snack food industry that's really pushing the marijuana legalization issue in California."
– John Pappas, Executive Director, Poker Players Alliance, joked in reply
"June 1st is a date that is looming in everybody's mind with the final enforcement of the UIGEA. I actually think it may, finally, once and for all prove that it's an ineffective law. Congress created that law and now Congress has to do something to correct it."
– John Pappas, Executive Director, Poker Players Alliance
"Today if you're playing online poker, you're playing in a global marketplace. If the state comes in and decides to intrastate regulate this, you're effectively cutting off your players from playing with the rest of the world."
– John Pappas, Executive Director, Poker Players Alliance
"States have always been in control of their gaming destinies. I think that's really important to individual states."
– Melanie Brenner, Executive Director, Poker Voters of America
"Somebody once said that you don't want to be like the guy who knows 20 ways to have sex but doesn't know any women. There are a lot of companies out there that think they have these great ideas and great solutions, but at the end of the day they don't have personal relationships or a real working knowledge of how the system works."
– Richard Bronson, Chairman, US Digital Gaming
"I would prefer to see John Pappas doing a victory lap around Capitol Hill with a successful federal bill and a signed law. It's just that in the near term, the path of least resistance where we can focus our energies best and be perhaps more in tune with the existing brick and mortar industries is on a state-by-state basis."
– Joe Brennan, Chairman, iMEGA
"We've been working this at the federal level since the day the UIGEA was signed into law, and over four years of progress we've gotten to the point where I can feel comfortable saying that this is going to happen sooner rather than later. At the state level, they're just starting this discussion."
– John Pappas, Executive Director, Poker Players Alliance
"I don't think I'm revealing any trade secrets here. I don't think this is going to be done through regular order. This is never going to be a bill that's going to go to the House floor. This is an attachment bill."
– John Pappas, Executive Director, Poker Players Alliance