For many years, the gaming industry was permeated by controversies: several negative connotations were associated with the activity, either because of historical records, connection with the issue of addiction and other problems.

For all these reasons, I begin today’s article with a sort of “disclaimer”: It is clear that none of these topics and facts should be neglected. However, it is very important that we also talk about the beneficial effects that the activity, when exercised within limits, can generate for the economy.

In the process of finally moving towards the regulation of betting in our country, it is very important to talk about the positive effects that are inherent to this industry, which is increasingly recognized and respected here. Let’s go.

Generation of direct and indirect jobs

In countries where the activity is fully legalized, both face-to-face and virtually, the gaming industry employs a large number of people, such as croupiers and casino employees, marketing professionals, game and platform developers, testers, graphic designers and much more.

Furthermore, gaming-related employment can have a ripple effect in other sectors such as restaurants, hotels and entertainment, creating a universe of new jobs.

Development of new technologies

Gaming has also been a powerful engine of technological innovation. Game operators are constantly looking for ways to improve the user experience and attract new customers.

Therefore, they invest in the development of new technologies such as facial recognition systems, data analysis software and virtual reality systems, among many others, which can also be applied in other areas.

Creation of new tourist centers

Historically, gaming has brought tourism to regions that previously did not have this attractive power. Casinos and other forms of gambling are often associated with popular tourist destinations such as Las Vegas, Monte Carlo, Punta Del Este and others.

Speaking of Vegas, you know that the city is in the middle of the desert, right? The place began to expand with the legalization of gambling in 1913. In 1941, large hotels with casinos began to be built.

They were just the impetus for the development of a powerful entertainment industry, which in the 1950s became another major attraction of the place. Music shows, theater, circus and an intense nightlife also make Las Vegas a strong economic power.

Revenue for public administration

This one was left for the end, as it is the most obvious benefit. As we know, the gaming industry can generate significant revenue for governments. Most countries that have legalized the sector establish taxes on the profits made by operators, which can mean an important source of revenue.

Here in Brazil, when the regulation process is structured, we hope that these taxes can actually be reversed in improvements for society, such as investments in infrastructure, health, education and public safety, or to reduce the budget deficit.

With all this, we can see that the game can be positive for the economy in several ways. However, it is important to balance these benefits with concerns about negative effects that may be linked to the activity.

Fair and adequate regulation can help maximize economic benefits while at the same time minimizing potential negative side effects. Interested in investing in the gaming industry? Then contact me.
 

André Vinícius de Alencar Alves
Commercial director and partner at Control+F5 Gaming

Source: Exclusive GMB