Pennsylvania has been at the center of attention for the last couple of months due to gambling laws being redefined and providing opportunities for new casinos to open. NetEnt is a popular casino software provider which has been awarded a license from this state, and they will have an opportunity to share their content with casino lovers from this state.
The Pennsylvania Gaming Control Board provided a conditional license for NetEnt so that the company can supply content in the newly regulated market of this state. In fact, the company has had the honor to be the first one to supply online gaming products to Pennsylvania, and it has been licensed by the local regulators even before the official market opening.
NetEnt was also quick to submit the application for an Interactive Gaming Manufacturer Conditional License in September 2018, as soon as the changes took place in the US state. This is not the full license but a conditional one which enables NetEnt to provide products to local gambling operators. The full license process is underway and will not be completed until their application is examined in detailed and reviewed by the officials.
Pennsylvania actually legalized online gambling during Q3 and Q4 of 2017, but it is a process that takes time, and legal online casino services are still not live in the state. The state is actually undergoing a gambling industry revolution of a sort which takes time — it is a slow but effective process that would bring additional revenue from gambling taxes and fill the state’s budget. In fact, online casinos are expected to go live during 2019, according to some of the comments made by the Pennsylvania Gaming Control Board regarding this topic.
All of the changes were a consequence of a revised opinion of the Wire Act made by the Department of Justice’s Office of Legal Counsel, which made all the difference and overturned a 2011 opinion that only imposed limits to sports betting. According to the new interpretation, this would affect all forms of online gambling.
This is one of the main reasons why the Pennsylvania Gaming Control Board got scared, along with a couple of regulators from other states where online gambling was legal. The new interpretation really threatened to put an end to the regulated online gambling industry. Therefore, the gambling regulator in Pennsylvania had to make sure that operators are in full compliance with the new opinion on the Wire Act.
What about NetEnt?
NetEnt has inked a content distribution deal with a couple of casino operators while they were waiting for the conditional license to arrive from the Gaming Control Board. One of the deals they signed first was with Penn Online Entertainment, LLC which is a division of Penn National Gaming operator. Another deal that they have managed to sign was with Parx Casino which will go live with Parx Online once the Pennsylvania officials sort everything out.
The Managing Director of NetEnt Americas LLC, Erik Nyman, stated in a press release that they were pleased to have been selected in the first round of licenses. He also said that the expansion fit their strategy related to their live products and that they were happy to be there on the first day of opening.
2019 is definitely going to be very interesting, not only in Pennsylvania but across the entire US as some important changes are taking place regarding sports betting and online gambling. For now, it seems that Pennsylvania is doing a great job and the first result of their effort will be visible mid-2019.