News Summary
New York is contemplating the legalization of online gambling, potentially expanding from mobile sports betting to include online casinos and lotteries. Advocates argue that this could generate significant revenue for the state and regulate the existing illegal gambling market. However, critics, including labor unions, express concerns over job security for employees at physical casinos. Ongoing legislative challenges and a lack of support from key officials complicate the future of online gaming in the state.
New York is actively considering the legalization of online gambling, expanding beyond current mobile sports betting to include online casinos and lottery options. Advocates for this measure argue that legalizing Internet gambling could generate substantial state revenue and regulate an already problematic illegal gambling market.
State Senator Joe Addabbo has highlighted that New York is potentially losing as much as $1 billion annually due to the absence of legalized iGaming. The revenue generated from legalized online gambling could help address state budget deficits and support crucial public services such as healthcare and transportation. According to Addabbo, regulating the illegal gambling landscape is essential to ensure safety and compliance with gambling laws.
The New York Council on Problem Gambling has acknowledged the necessity for regulation amidst rising illegal gambling activities but has raised concerns regarding the accessibility of online gambling. Experts worry that increased access could further exacerbate gambling addictions and related issues.
However, the proposal faces resistance from critics, including unions representing hotel and casino workers. They argue that allowing online gambling could jeopardize jobs at brick-and-mortar casinos, drawing comparisons to the detrimental effects that Off-Track Betting had on racetracks in the 1970s. The decline in attendance at venues like the Aqueduct Racetrack has already led to parts of the facility being closed and reimagined as Resorts World Casino.
The Hotel and Gaming Trades Council has voiced strong opposition to the expansion of online gambling, primarily citing fears of job displacement within physical casinos. Despite these concerns, Addabbo is committed to finding a balance that protects jobs while allowing for the integration of iGaming, suggesting potential for cooperative promotions between online platforms and physical locations.
A bill aimed at legalizing online gambling and the online lottery was introduced by Addabbo but failed to make headway in early 2025. The proposed legislation did not gain traction, as it lacked adequate provisions in the state budget to support iGaming initiatives. Meanwhile, Governor Kathy Hochul has shown limited interest in prioritizing online casinos, creating an additional challenge for legalization efforts.
In a related development, New York Attorney General Letitia James recently took action by banning unregulated online sweepstakes casinos, demonstrating a commitment to overseeing the gambling landscape in the state. However, legislative pathways to add online gambling continue to encounter constitutional hurdles, necessitating both legislative approval and regulatory endorsement from the New York State Gaming Commission.
Efforts to legalize online gambling in New York have stalled repeatedly in Albany, delaying the establishment of a potential legal market. States that have successfully launched online casinos showcase the possibility of increased tax revenue through structured regulation. Should legislation pass in 2026, there may still be a significant time lag before online casinos officially launch, mirroring the timeline for mobile sports betting.
Unions remain pivotal stakeholders in ongoing legislative discussions concerning iGaming, and future dialogues will be essential to address job security concerns and ensure that the voices of workers in the industry are considered during policy formulation.
Deeper Dive: News & Info About This Topic
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