As with racetracks across the country, racetracks in Massachusetts are feeling the crunch from the competition with the online casino industry. While online betting continues to grow in popularity, the popularity of traditional brick-and-mortar racetracks continues to decline. It appears that the appeal of online gambling is just too fierce for traditional style racetracks to compete. Not only is the convenience of Internet gambling a large draw, the variety of rebates and promotions that most online casinos offer makes Internet gambling additionally attractive.

Lobbyists for Massachusetts’ racetracks are trying to make it legal for the racetracks to install slot machines on their premises. They hope that this will enhance the competitive edge of the racetrack industry. So far, however, their efforts have not been successful and many in the industry feel that even if slot machines were permitted, there is no guarantee that their presence on the racetrack premises would bring back customers. A simple step such as installing slot machines still would not help the racetracks compete with the convenience, variety and attractive promotions and rebates of online gambling.

While the United States takes the position that online gambling is illegal, law enforcement agencies typically do not go after the individual gambler. Significantly, the majority of online gamblers, in spite of the fact that online gambling is illegal, are residents of the U.S. The U.S. has gone after the operators of online casino sites, basing their prosecution on the 1960’s Wire Act, which prohibits the use of phone lines for placing wagers. The jurisdiction of the Wire Act is questionable, however, and unless the United States takes a more firm position against Internet gambling and actively prosecutes those involved in all aspects of the industry, traditional racetracks and all forms of land-based gambling will continue to suffer.