The Division of Gaming Enforcement will spend the next few months reviewing applications and testing software. All 12 Atlantic City casinos have applied for online gaming licenses, which will be legal as of Nov. 26 for New Jersey gamblers.

The states of Nevada and Delaware are also in the process of setting up online gaming within their states. Nevada went live with its first online poker site last spring. Delaware will begin state lottery gaming online in the fall.

“I believe the level of competition will continue to escalate, because at this point, table games and slots are just like a commodity—like copper and aluminum,” says Clyde W. Barrow, director of the Center for Policy Analysis at the University of Massachusetts, Dartmouth.

In 2004, there were 24 Las Vegas-style casino resorts in only five states, with almost half of those casinos located in Atlantic City. Now, the center monitors 61 gambling establishments, ranging from megaresorts to smaller racetrack casinos in 14 states.

While terming the Mid-Atlantic region as being saturated with gaming resorts, he did point to New York and Massachusetts as areas for growth.

In the race for to build casinos, Barrow says states will face the question of whether to settle for modest facilities or demand full-fledged casino resorts. “What do you build, a Focus or a Lexus?” Barrow asks. See story in the Press of Atlantic City.