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Operators Upbeat On New Jersey Online Gambling

The Associated Press published an article this weekend that quoted several land casino operators in New Jersey expressing their optimism in the state's newly regulated online betting industry.

The article interviewed several Atlantic City casino executives who voiced their optimism despite the initial revenue numbers of $8.4 million falling short of the $10.5 million projection initially cast by the state.

Speaking to the AP regarding the initial revenue disappointment, Tropicana Casino and Resort President Tony Rodio said, "Everybody needs to take into consideration that this industry is in its infancy. There will be mobile applications, and a lot of the slot content isn't operational yet. I'm encouraged by how many user accounts that people have signed up for and that there's interest in it. You'll see this grow quickly."

The report also cited words from Golden Nugget Vice President Thoma Winter, who said that his casino is happy with the performance of its online product, and is projecting growth of 20% per month due in no small part to online gambling.

Casinos are optimistic on the future of New Jersey's online gambling market due to the fact that a large number of account registrants are customers that have not visited the land alternative of the same name in more than a year.

Peggy Holloway of Moody's Investors Service issued a report on New Jersey's online gambling market earlier this month, noting: While internet gaming is starting off slowly, the pace of growth will accelerate as issues with payment processing and geo-location technology are ironed out and operators ramp-up their marketing spending to educate consumers that online gambling is available."

Moody's is predicting that online gambling could generate $250-500 million in revenues annually.