Tuesday 3 August 2010

Is Online Gambling About To Go Legal in The US?

Four years after the ban on online gambling in the US it seems that there is about to be a U-turn. Last Wednesday, 28 July 2010,  a vote took place by the financial services committee in the US, which was in favour by 44-22 of regulation of online gambling as opposed to prohibition.

For gaming firms such as PartyGaming, 888 Holdings and Sportingbet this means a likely return to the hay days of pre-2006. The US ban caused a major slump in their share prices and also a significant dent in their profit margins.

But what does this mean for search? It's interesting because prior to the ban competition was rife among the key players in the industry in both PPC and SEO. In fact, it still is outside of the US. However with the reintroduction of the US market we can expect to see some fluctuations at first, as the various gaming firms try to reposition themselves, followed by fierce competition yet again. The most interesting part is that there will be a small window of opportunity for smaller and newer firms to compete and, if they get their tactics right early on, to gain significant market share against the bigger players. Watch this space...

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