Wagering on internet poker alone has risen to an average of more than $50 million per day, according to PokerPulse.com. And UK-based Juniper's research suggests that the mobile industry could follow suit.
Paul Skeldon, Senior Analyst at Juniper, said:
"A high demand from mobile users for adult content, and simple lottery type gambling services, is almost without doubt. The big issue now facing the sector is regulation, and its implementation across the world. Our assessment is that the services that are given a green-light will generate good revenues (in certain regions), but these will be limited. Regulated lotteries and betting services will be the big winners."
Safety, security and child protection must be the first priority, says Juniper, to lay the foundations for future growth. It also recognises that trustworthy and reliable payment systems must be in place, providing two-way commercial transactions (micro and macro payments for services, and the return of gambling winnings).
The firm also calls for careful management of operator and service provider brand protection, and public perception, to distance the content provider and operator.
Juniper reckons that adult content will generate around $790m in revenues by 2006, with over half of this derived from video content. But gambling is put at a massive $5.7 billion, divided into casions ($0.9 billion), lotteries/competitions ($2.8 billion), and betting ($2 billion).
The introduction of peer to peer betting at sports events, says the firm, will be the one to watch, as will the adoption of lottery and TV linked competitions to the mobile.