Randy,
This is a very interesting subject.
I have been involved in promoting online gambling since 1997, first as a webmaster and now as an affiliate manager.
I have always maintained that the overall online gambling market is much smaller than most people believe. There are many “old time” casinos like Winward that have been online since the 1990’s that are making very good money … but you may have noticed that many of the newer casinos are struggling to survive and many have have already gone out of business.
Even in the “easy money” days of 1998-2000, only highly targeted gambling traffic converted for online casinos. That’s because even though there are tens of millions of people surfing the Web every day, only a miniscule percentage of them are willing to bet real money and lose hundreds or thousands of dollars per month at at an online casino. We all know that “whales” are the key to making money in the casino business, and there are only a few of them to go around. So even though the overall online gambling pie bets bigger every year, there are more and more casinos and webmasters trying to get a slice of it.
The bottom line is that there are lots of people making lots of money in the online gambling industry, but it never was and never will be the “easy money” business that some people have promoted it to be.