Zynga, a leading social gaming operator, is encountering problems in its efforts to launch real-money gambling as states, such as Nevada and New Jersey, legalise online gambling with conditions which favour existing casinos.
Zynga operats the world’s most popular free to play poker game and has seen stocks rise 45% this year thanks to investor optimism that the company will do well with real-money online betting.
However, the new online gambling bills tend to favour existing casinos, as they often specify that operators must have a land presence within the state.
Nonetheless, the land casinos will need to partner will online operators which could provide Zynga with a good opportunity.
In states where online gambling has been legalised Zynga is able to apply for a license of to provide services to the operators. The company has already applied for a license in Nevada and the process is expected to take up to 18 months.
Even if Zynga receives its license, it will then have to seek out a partner in order to begin operating online, nonetheless, it has achieved this in the UK and there is no reason it is not possible in the US.