Intersting discussion. Rebate shops have definitely changed the dynamics of the game and have temporarily created some new winners/losers. I use the word temporarily because, as is always the case, "If its in the papers, its in the price." This is no longer a secret and everyone is now trying to get into the action. Many examples have already been mentioned.

As has also been mentioned, the fundamentals have been screwed up for a long time and the takeout has simply been too high. Technology enabled rebate shops to take advantage of this and the track management let it happen because they stood to gain for the reasons already mentioned. However, the horseman and horseplayers not currently using rebates have been the big losers for all the reasons already mentioned. Both those groups are now trying to rectify the situation and I am sure they will. Track Management and the Rebate shops will have to respond to this development in some fashion and eventually things will probably settle down once the "net" takout (takeout - average rebate to bettor) finds its "natural" level and is more evenly distributed across all parties involved.

I am not sure where things will land but I have to believe it will get better for the horseman and the current non-rebate players. How much and how it will happen is hard to tell. Right now it looks like everyone will start going the "legal" rebate route at least for a while (sort of like buying a car in recent years) but maybe that will shift toward an overall lower takout or some combination of lower takeout and rebates.

Right now I am trying to figure out if I am "sociable" or "think I am smarter than everyone else" or "all of the above"...

Chris