SECAUCUS, N.J. (AP) — While internet casino gambling remains legal in only a select few states, industry leaders are increasingly convinced that it represents the future of betting, despite concerns about its impact on physical casinos.

Addressing attendees at the SBC Summit North America, a prominent gambling industry conference held on Wednesday, industry executives acknowledged the hurdles they've encountered in expanding the legalization of online casino games.

Nevertheless, they remain resolute in their belief that, much like many other sectors, the future of gambling lies online.

"Millennials, in particular, are increasingly comfortable managing their entire lives via their smartphones," noted Elizabeth Suever, a vice president at Bally's Corporation. "This is the direction gaming is heading."

Currently, legal online casino games are only accessible in seven U.S. states: Connecticut, Delaware, Michigan, New Jersey, Pennsylvania, Rhode Island, and West Virginia. Notably, while Nevada permits internet poker, it does not offer online casino games.

In contrast, legal sports betting is now available in 38 states plus Washington D.C., with the majority of wagers being placed online, primarily via mobile platforms.

Last month, Deutsche Bank released a research note suggesting that it's a matter of "when, not if" internet gambling revenue in Atlantic City surpasses that of physical casinos.

Panelists at the summit agreed that the industry must do more to educate state lawmakers about the benefits of legal online casino games, highlighting the stark differences between regulated sites and illegal offshore platforms. Legal sites adhere to strict regulations and offer customer protections, including responsible gambling measures such as self-imposed timeouts and deposit/activity limits.

Despite concerns about the potential impact on physical casinos, many industry insiders believe that online gambling can complement traditional establishments and even create job opportunities in sectors like marketing and media. However, this perception may partially explain why online casino games haven't seen wider adoption.

While some casino executives worry that online gambling may eat into the revenues of brick-and-mortar establishments, others see it as a vital component of a successful business strategy. Quincy Raven, the U.S. managing director of NeoGames Group, recently acquired by Aristocrat Leisure Limited, argued that gaining market share by meeting customer demands isn't cannibalization, but rather healthy competition.

"We're not setting ourselves up for failure; we're adapting to the evolving preferences of our customers," he emphasized.