New Jersey, the next 'Silicon Valley' for online gambling ?
March 26, 2014
New Jersey Senate Government, Wagering, Tourism and Historic Preservation Committee approved a new bill sponsored by Senator Reymond Lesniak that would allow casino regulators to oversee international gambling companies if they were to move their operations to Atlantic City.
According to Senator Reymond Lesniak, a number of foreign gambling companies would be interested in gaining approval from the Garden State’s casino regulators. “This could help make New Jersey the leader in online gaming, across the country and around the world,” Reymond Lesniak said. “We could be the ‘Silicon Valley’ for high-tech gaming. We should take advantage of this dynamic opportunity for a business sector with enormous growth potential.” Under the proposed bill, foreign companies would not be able to take bets from anyone within the US borders but would be required to pay the same 15% tax that New Jersey casinos do on online revenue.
However, lawmakers did opt to drop a provision in the original bill that required companies to contribute to a fund to raise €14.5 million per year to boost the state’s struggling horseracing industry. According to Senator Jim Whelan, former mayor of Atlantic City, the bill would give Atlantic City the opportunity to build and expand on its casino business. “We have the stability and security of a regulated marketplace, we have an educated workforce, and a high-tech infrastructure. We can make New Jersey and Atlantic City a digital destination for Internet gaming”, he said. The bill has yet to be passed on to the state Senate Budget and Appropriations Committe.