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You may get to play a real-money Zynga Poker game soon. News from Nevada is the states Republican Governor Brian Sandoval signed a bill into law that authorizes the state of Nevada to enter into agreements with other states and permitting Nevada-based companies to host interactive gambling for residents of other states.
Nevada legalizes first interstate online poker
By Ian Simpson
(Reuters) Republican Governor Brian Sandoval signed the landmark bipartisan bill into law on Thursday, authorizing his office to enter into agreements with other states that will in effect allow Nevada-based companies to host interactive gambling for residents of other states.
A number of companies have already been granted Nevada licenses for online poker, but were prepared to be limited to serving Nevada residents. Applicants include social gaming leader Zynga Inc. Shares in Zynga leapt as much as 7.4 percent on Friday.
With the bill, Nevada - home to Las Vegas, the world's second-largest gambling hub - wants to pave the way for national Internet wagering even though efforts at federal regulation have stalled. Established companies including MGM Resorts and Wynn Resorts hope they can add new customers and pitch online players to come to Vegas.
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Nevada's legislation comes as New Jersey - home to Atlantic City - considers a similar move to legalize online gambling. Republican Governor Chris Christie rejected a measure earlier this month that would have allowed Internet gambling, but has said he would consider approving such a law if it was framed properly.
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The bills follow a 2011 declaration by the U.S. Justice Department that only online betting on sporting contests broke federal law. That opened the door for states to legalize some forms of online gambling.
Although widespread legalization appears years away at the minimum, obtaining a license in Nevada would be a meaningful start for the nationwide aspirations of entrants such as Zynga, especially if they can offer games to those in other states.
Zynga, which runs one of the world's largest online communities of poker players, is hoping that a lucrative real-money market could make up for a steep slide in revenue from games like "FarmVille" that are losing players but still generate the bulk of its sales.
It is well-known that Zynga has interest in exploring the on-line gambling arena. Upon the news of Nevada legalizing on-line poker ZNGA gained momentum and interest in it’s shares.
Zynga, Inc. (ZNGA) -NasdaqGS
3.19 
0.23(7.77%) 3:55PM EST - Nasdaq Real Time Price
Currently ZNGA is up 7.77% for the day. The ZNGA still has a long way to go to reach it’s 52 week high (52wk Range: 2.09 - 15.91).
The question remains…Is it time to buy in? What do you think?
