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Amidst all the chaos surrounding the legalization of online poker and casino games, one significant aspect of Pennsylvania’s comprehensive gaming reform package went unnoticed: the Pennsylvania Lottery will now be available online.
Pennsylvania’s recent move made it the second state this year, following New Hampshire, to legalize online lottery sales. This decision also marks the sixth state overall to implement such legislation.
- Illinois
- Georgia
- Kentucky
- Michigan Lottery
- New Hampshire
- Pennsylvania
Michigan’s online lottery is a true success story
Michigan’s successful online lottery has been a great advantage for the state, and both states can only hope for similar performance in their own online lotteries.
Michigan raised $18,528,092 in fiscal year 2015 through online lottery sales after deducting $127.7 million in prize awards from the total revenue of $146.2 million.
The state earned a total of $385 million from online lottery sales in FY 2016, after deducting $337 million for prize awards. This results in a net revenue of $48,033,251 from online lottery sales in FY 2016.
Additionally, it has been observed multiple times that the revenue generated from online sales seems to be increasing gradually.
According to a study carried out in 2016 by Digital Gaming Group, it was determined that…
The presence of iLottery has led to multi-channel growth worldwide, and the industry is now starting to gather evidence of its domestic impact.
As the trends continue to develop, it is possible that iLottery will soon be recognized universally as a highly secure option for achieving gradual growth.
In 2015, Jeff Holyfield, the director of public relations for the Michigan Lottery, stated to Online Poker Report that there is no evidence suggesting that online games are impacting sales at their 11,000 retailers. On the contrary, they have observed sales growth across all channels.
Holyfield restated his remarks to the Boston Globe, affirming that there is no evidence suggesting that online games have negatively impacted sales; rather, the evidence suggests the opposite.
The toothpaste is not going back in the tube
The actions taken by Pennsylvania could potentially bring an end to any genuine discussions surrounding a federal online gambling prohibition.
The notion of a federal ban has never had much chance of success. However, given the recent expansion efforts in Pennsylvania and New Hampshire this year, it is clear that the Restoration of America’s Wire Act, or more broadly, Sheldon Adelson’s push for a federal prohibition on online gambling, is now completely defeated.
With the inclusion of Pennsylvania and New Hampshire, over 50 million individuals residing in the United States (accounting for 16 percent of the total population) have the privilege of legally purchasing lottery tickets online.
If we include the 13 million residents of New Jersey, Nevada, and Delaware (as only Pennsylvania has legalized online lottery and gambling), the percentage of the US population with legal access to online gambling increases to 27 percent.
It is highly likely that individuals engaging in online gaming will persistently express their viewpoints. However, considering that a significant portion of the population now has access to legal online gaming, any calls for action will likely be disregarded or ignored.
