AGA survey reveal diverse perspectives on the future of the gaming industry

Data was collected during a two-week survey of 260 subscribers of AGA SmartBrief, a daily electronic gaming industry news aggregator. “Without a doubt, the gaming industry faces a long road to recovery,” said Frank J. Fahrenkopf, Jr., president and CEO of the AGA. “However, I consider these results a sign that there is optimism within our industry that we are turning a corner.”

Despite the optimism expressed by many, still nearly one-third of survey respondents (31 %) said conditions within the industry remain depressed and are neither improving nor worsening. 20 % of respondents think the industry continues to decline.

When asked to predict when the gaming industry will fully recover, a plurality of respondents – 44 % – thinks the industry will reach pre-recessionary levels in approximately three to four years. 23 % think the industry will completely recover in only one to two years, while 21 % say five to nine years is most realistic. 5 % of gaming professionals don’t think the industry ever will achieve the level of success witnessed before the recession.

Survey respondents also weighed in on whether the collapse of the economy and the national credit crunch have permanently changed the landscape of the gaming industry. More than two-thirds of respondents (76 %) think the industry has been irreversibly altered, while 22 % say that recent changes are not lasting.

Respondents’ opinions were divided when asked about the privatization trend within the gaming industry. Just more than a third of respondents (35 %) said the prominence of privately held companies will increase in the coming years, while 19 % said the prominence of publicly held companies will increase. 33 % of respondents believe the mix will remain the same.

Finally, looking ahead to the coming year, more than a third of respondents (39 %) say that the legalization and regulation of Internet gambling will continue to dominate national headlines and will be the biggest gaming story of 2010. Another 28 % predict that the biggest news story of next year will be the recovery of the U.S. gaming industry. 20 % think the opening of Singaporean first two casinos will receive the most press coverage, while 5 % think Macau’s recovery and expansion will be the biggest story.