The ruling is bad for the online gambling industry, even if it did rule that the US had to modify a few laws in order to meet the terms of the GATS agreement.
The most critical issue is that the WTO agreed that the United States had a right to defend “moral and public order” – which is all the government needs to justify their decision to continue playing games with everyone.
In my not-so-humble opinion, this is a very, very bad result for the online gambling industry as far as the US is concerned.