MGM Resorts Taking an ‘Easy Does It’ Approach to Online Gambling

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MGM Resorts Taking an 'Easy Does It' Approach to Online GamblingMake no mistake about it, MGM Resorts International wants to see the legalization of online wagering in the United States (which makes sense given that the casino behemoth has obtained an interactive gaming license in the state of Nevada).

But that doesn’t mean the company is putting all of its chips on the table to back online real-money gambling.

For now, the company’s Internet presence is largely tied up in a free-to-play casino platform enabling customers of its M Life loyalty program take home rewards that can subsequently be redeemed at other MGM facilities around the U.S.

In a comprehensive report published Wednesday by the Las Vegas Review Journal, MGM Resorts is clearly “taking a wait-and-see approach in regard to real money Internet gaming.”

Why? The business model just isn’t there yet, the report notes.

Macquarie Securities gaming analyst Chad Beynon doesn’t blame MGM Resorts or any other casino company from sitting out the current Internet gambling effort in the U.S. Just three states have legalized forms of online gambling, and federal legislation — both for and against — is bottled up in Congress.

“Overall, recent data and news headlines have been almost uniformly negative for iGaming companies and near-term jurisdictional expansions,” Beynon said. “Most states remain in the ‘wait and see mode.’ Despite this, companies remained optimistic around the business. However, a lack of progress keeps us concerned.”

“Social gaming in the U.S. continues to grow while iGaming remains lackluster,” Beynon is quoted.

To read the full report, click here.

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