Robin Gareiss and John Soat

As brick—and—mortar casinos reach a market saturation point in the United States, many observers forecast that the next wave of growth for the gambling industry will be on the Internet, where gamblers can try their luck at casino—style games from the comfort of home. In the following selection, Robin Gareiss and John Soat examine the growth and appeal of this burgeoning new outlet for gamblers. According to the authors, the legality of online gambling for U.S. residents currently falls in a gray area and may soon be formally outlawed by congressional legislation. Legal questions notwithstanding, large U.S. casino operators are forging ahead with plans to run online casinos from offshore locations. Enforcing a ban against the thousands of U.S. residents who have already demonstrated a fondness for online...