Mobile gambling set to reach $16b by 2011
The total value of bets placed worldwide on mobile phones will reach $16b a year by 2011, according to market research analysts Juniper Research.
- Posted: 8 Mar 2007 - 11:27am
The US’s crackdown on internet gambling had caused a tentative year for the newly-blooming industry with the implementation of the Unlawful Internet Gambling Enforcement Act (UIGEA) forcing many within the industry to readjust their focus and to consolidate in uncertain times.
"The tightening of the legal barriers to online and mobile gambling in the US in 2006 have had an impact throughout the industry, stifling the growth of the young and fragile mobile channel," said report author Bruce Gibson.
"A number of the leisure brands that we saw beginning to focus on the mobile channel early in 2006 have changed their priorities in the light of industry developments in the second half of the year."
Juniper predicts that the biggest growth in mobile gambling will come from the sports betting and lotteries sectors, given the ease of use and simplicity of the products. Currently, $1.35 billion is spent globally at mobile casinos, mobile poker rooms, lotteries and sports betting services.
Europe is the largest mobile gambling market in the world with $665 million placed in bets in 2006, with the UK thought to be the location that could support the strongest growth in Europe.
Internationally, there is no surprise that the Asia Pacific market has been targeted as the region that will show the most growth in mobile gambling, estimated to grow from $647 million in 2006 to $6.7 billion by 2011.
"There is a lot of emphasis in developing core business in potentially lucrative Asian markets. However we are still convinced that mobile's time will come," said Gibson.
"The case for gambling using mobile data services remains compelling and the Asian market will be in the forefront."