Mobile Gambling a Revenue Winner - Report

While needing to overcome some significant regulatory and legal hurdles, worldwide revenues for all forms of gambling on mobile phones can reach US$16 billion by 2008, according to a new research report from Alexander Resources. New 2.5G and 3G wireless technologies and phones will play a prominent role in the growth of mobile gambling. In addition to making mobile gambling more convenient and secure than in person and desktop internet gambling, these new networks and devices will allow real-time, dynamic and peer to peer betting.

The report identified three segments that are expected to account for the majority of mobile gambling revenues: Mobile casino style betting: Sophisticated phones with colorful graphics will allow users to play against the system or other users in real time. Revenues are expected to reach almost US$6 billion by 2008.

Mobile lotteries: By allowing users with simple digital phones to play and by leveraging off the immediacy and penetration of mobile phones, lottery sales from mobile phones are expected to reach slightly more than US$5 billion by 2008.

Mobile sports and other betting: will open up new forms of betting and allow users to play more frequently. Players will be able to make real time bets on the outcome of particular events and dynamically bet through their handset on the outcome of a particular micro event during a game. Revenues by 2008 are forecasted to reach US$5 billion.

While holding great promise, certain user, payment, security, privacy, regulatory and technology challenges could at worst stymie this market even before it gains traction or at best could heavily influence the amount of revenues forecasted."

Posted to the site on 10th December 2003