Canadian regulatory scene has "no concerns" for GigaMedia

[jetset]

GIGAMEDIA SUPPORTS KAHNAWAKE

No concern about Canada regulatory position says Asian gambling giant

The Asian online casino and poker interests group GigaMedia Limited has reaffirmed its view that the regulatory and licensing situation in Canada and the territory of Kahnawake is reliable and stable and that it has no concern over related business interruptions.

On the basis of communications with Canadian counsel and government officials, the company says it believes no change in the current licensing system is contemplated. Moreover, in accordance with best practices, GigaMedia maintains disaster recovery and alternate hosting arrangements.

A financial and investment website yesterday suggested that GigaMedia faces the possibility of a near-term revenue hit from a change in Canadian regulations, a statement for which the company finds no basis.

Recent comments by Quebec and national Canadian politicians (see previous InfoPowa reports) have broached the subject of the independent right of the First Nation Mohawk enclave of Kahnawake to license and regulate online gambling, but there has been little public evidence of a follow-up on the comments.

The GigaMedia statement claims that the group's poker and casino software products continue to deliver strong growth in 2008, driven by Everest Poker, one of the most popular poker sites and the sponsor of the 2008 World Series of Poker. GigaMedia acquired the Calgary-based gambling software developer Grand Virtual some years ago.