California considers legalizing internet gambling

California has taken initial steps toward becoming the first state to offer internet poker when the Senate Governmental Organization Committee held an informational hearing to consider the topic. While reports said that there was no pending legislation on the topic, the state's $20 billion deficit has some seriously considering the notion - especially as the committee was told that legalizing online poker could quickly become a $1.4 billion industry in California and could generate $50 million in added revenue for the state, according to the Desert Sun. Federal law currently prohibits online gambling from operating in the U.S., which - in addition to expected in-state opposition, especially from some major casino Indian tribes - led committee chair Senator Roderick Wright, to tell the Desert Sun newspaper "Clearly whatever we do will end up in court.'' Internet gaming accounted for $5.9 billion in 2008 from players in the United States and $21.0 billion from players worldwide for offshore and foreign gambling sites, according to the American Gaming Association.