FOUR NEW GAMES IN APRIL RELEASES FROM MICROGAMING
29 April 2005
Big bonus space beams, powerful pokers and fishing jackpots feature in latest games
Turnkey provider Microgaming maintained its commitment to continuously release new games this week with the launch of four new offerings for April.
The lead game in the current collection is a good example of what can be achieved with a multi-featured, bonus-rich video slot. What On Earth is a rocket ride of a new, Sci Fi themed game with innovative and rewarding bonusing systems.
This five reel, nine payline advanced video slot will appeal to a wide range of players through Wild and Scatter features and bonuses. The fun outer space theme is presented through high quality graphics featuring everything from Flying Saucers and galactic monsters to whirling asteroids, with amusing characters - and bonuses - that players can beam up for rewards from x3 to x 400. This is possibly one of the most imaginative new games currently available.
With a maximum jackpot of 37 500 coins to be won, and a whole range of new scatters, wild and special Beam Me Up and Destination bonuses, this one delivers more reward opportunities to the player and a whole lot of entertaining fun in chasing the highest value Earthlings to beam up.
The first in a new series of 50 Play Power Poker multi-hand video poker games is featured in the latest releases. Aces and Faces 50 Play is inspired by the widespread popularity of this style of gaming, where 50 hands of video poker, each drawn from a seperate 52 card deck can be played at the same time. The new series, which is to include six games takes the present Microgaming 10 play range to a new and faster level and comes on the facilities-rich Viper software platform. Clean graphics, big jackpots and fast action characterise this new offering and bets from 0.25 to 0.50 can be made.
Off The Hook reel slot is in the popular three reel, one payline, high value jackpot style. The game has an amusing fishing theme and a wild feature that can double and even quadruple the player's winnings. Jackpots of up to 40 000 can be caught with the right sort of bait...or bet on this appealing game, presented in bright and crisply executed graphics . Off The Hook takes three coins per line ranglng from 0.25 to 5.00 and operates on the well proven Microgaming advanced slot architecture.
The range of Microgaming single hand video pokers has been extended with the launch of All American Video Poker to its wide choice in this popular genre, and with lean and clean graphics and great pay tables there's likely to be plenty of action on this recent arrival. The new game is a played with one hand of cards drawn from a single 52 card deck, and operates from the Viper platform which means that players have access to a full range of player assists and guides, together with statistical analysis and recording tools and autoplay capability. All American Video Poker delivers a maximum jackpot of 4 000 coins, with a secondary jackpot of 1 000 coins and wagers of 1 to 5 coins per hand in denominations ranging from 0.25 > 5.00. That means that on a maximum bet, a player can take home up to 20 000 credits.
Turnkey provider Real Time Gaming was celebrating this week following the announcement from Technical Systems Testing (TST), that it has certified RealTime Gaming's Random Number Generator (RNG) to be fair and random.
TST is an internationally recognised accredited testing facility, with a client roster that includes International Game Technology (IGT), Aristocrat, Mikohn and the Michigan, Massachusetts, DC and Ontario Lotteries.
TST's fully independent testing procedures ensure that the software systems and equipment that operate many of today's most reputable gaming destinations are certified to the strictest standards of technical compliance.
Mike McMain, Chief Technology Officer and COO, says “RealTime Gaming is pleased to receive TST certification of our software as it solidifies what the millions that enjoy our product have always known – RealTime Gaming does take gaming seriously.”
Quova selected to provide anti-fraud and location technology
Turnkey provider Playtech and the geolocation experts Quova Inc signed a deal this week that provides geolocation data for regulatory compliance and fraud prevention, a significant step in online casino gaming.
Quova's GeoPoint, which determines the geographic location of a website user and the cyber-location of an online transaction in real time, has been incorporated into Playtech's unique unified gaming platform to help customers screen out potentially fraudulent users and remain compliant with multinational regulations on Internet gambling.
"We were a longtime customer of Quova's closest competitor, but we decided we needed a more responsive partner and higher-quality data," said Rami Beinish, CEO of Playtech. "Knowing the customer's location is critical in our industry, and Quova is providing us with the capabilities we need to offer more and better information solutions to the customers who depend on us."
Founded in January 2000, Quova, Inc. is a provider of geolocation services to online businesses. The company's patented technology provides the geographic location of website visitors in real time, enabling businesses to manage digital rights, target content, detect fraud, conduct site analysis and ensure regulatory compliance. Quova's customers and partners include industry leaders such as Major League Baseball Advanced Media, BBC, Bell Canada, Cisco Systems, Cyota, Corillian, Times Online, ABSOLUT, HPshopping, IBM SurfAid, VeriSign, EverBank, Wire Card and Sky Sports.
Online bingo fans have an additional virtual bingo hall to add to their list following English Harbour New Ventures launch of SuperSlotsBingo.com this week. The announcement follows a deal reported earlier this month to introduce poker to the site.
SuperSlotsBingo.com is free to download and offers players the option of playing for free or with real money. Features include daily bonuses, reward promotions, progressive jackpots and frequent tournaments, coupled with game play features like animated graphics, fully-functional chat, live 24/7 customer support, auto-dauber and auto-play. Players can buy cards for as little as $.05 and may purchase up to 50 cards for a single game.
The new site has extensive security and anti-hacking software. Players can participate in daily hour-long ‘Coverall Marathons’ with the chance to win $1,000 blackout or $2,000 coverall prizes and several other promotional events are available or planned for the future.
HI TECH ROULETTE SAFEGUARD INSTALLED AT CASINO WEBCAM
29 April 2005
Fewer dealer errors, less chance of problems
Casino Webcam, the live-over-the-internet casino franchiser with 15 licensees operating out of Costa Rica has installed sophisticated TCS John Huxley equipment on its roulette tables to improve game security and obviate dealer errors.
The additional software and hardware solution, which compliments CWC's existing monitoring systems, ensures that the roulette games are free from any type of wheel or dealer bias. The installation of the equipment also eliminates the need for dealers to manually key game results, which translates to fewer dealer errors.
The TCS Roulette Wheel Analysis System spots bias and trends before the player does. Casino management can check the performance of any
roulette wheel, anywhere and at any time. Winning number data is automatically and securely collected through the TCSJH Reader Head. The unique software program instantly converts data into various, easy to read, full colour pictorial reports, such as Individual Number Bias, Wheel Sector Bias, Performance Change, Spin Speed and Table Performance.
LIVE MULTIPLAYER BACKGAMMON AT PADDY POWER
29 April 2005
A first for Irish betting group
Paddy Power.com claims it has become the first bookmaker in the world to launch live multiplayer backgammon using gameware provided by GameAccount, a skill gaming supplier for sportsbooks who want a single-wallet skill gaming solution. The company also provides and hosts games for internet sites such as FHM.com, Maxim, Wanadoo and the Sun Online.
Paddy Power's backgammon provides a modern take on the still popular ancient board game, offering fully integrated online backgammon that allows players to see opponents’ moves, giving an immediate experience which is enhanced by player ratings and in-game and lobby chat facilities. The white label product delivered to Paddy Power offers real-time exchange rates and multiple language versions in this dynamic international environment.
Paddy Power plc, recently recorded a 27 percent increase in turnover from GBP 913 million in 2003 to GBP 1,156 million in 2004.
Reports over the weekend indicate that David Carruthers, CEO of the major online gambling group BetonSports.com has made two new key appointments in the wake of the departure of Customer Service exec Kyle Gabriel.
Former Carmen Media director Clive Archer joins the group as operations and marketing director. Archer was reportedly largely responsible for the international success of Carmen Media online casino brands like River Belle and Gaming Club, and remains a director of online marketing firm Interactive Circle. He will take on day-to-day responsibility for managing the Costa Rican operations of BetonSports, and is tasked with raising the firm's online profile, which media reports suggest has slipped somewhat in recent times.
BetonSports chairman Clive Parrit says that Archer will "...add tremendous insight into our future strategic positioning and operations development."
Richard Creed, has been named as commercial director for BetonSports with responsibility for assessing new business opportunities and commercial activities.
"Richard Creed, with his extensive experience of business planning and mergers and acquisitions, will bring additional firepower to our executive team," Parrit said.
Creed, aged 49, was previously a partner in Casson Beckman, Chartered Accountants, where he specialised in corporate finance activities particularly mergers and acquisitions. Since leaving them in 1992, he has worked for a number of organisations on change and risk management projects as well as opening operations in the Far East."
More Department of Justice media interference in the States?
Reports in the New York Post and Media Link this week suggest that the U.S. Department of Justice may again be interfering with mainstream media on the question of Internet gambling advertising.
The report reveals that Esquire Magazine is "possibly" pulling a million dollar's worth of Bodog.com advertising from upcoming issues following what was described as "....a visit by the FBI related to online gambling." It was reported that several subpoenas were issued by the federal agents. However, Esquire's parent group, Hearst said the placement would go ahead.
Bodog had earlier flighted a big spread in the April issue.
When we went to press Esquire had not responded to our requests for more details.
The DoJ was in the headlines last year for allegedly "intimidating" media into dropping online gambling advertising by advising search engines and various publications that this may constitute an illegal activity. The DoJ was challenged by Casino City in an important law suit seeking a declaratory judgement on the issue. The government won the first round, and the case is on appeal by Casino City.
Flash games, new slots for Bodog online casino
Instant play Craps, Roulette and three new slots, all on a Flash instant play technology platform were launched this week by the online casino division of
Bodog.com
The Flash no-download platform means that the games are Mac or PC friendly, for real money or fun.
In addition, the casino has released 3 more slot machines in its download casíno suite of games. Ronin, Goldbeard and Aztec’s Treasure join Cleopatra’s Gold in a suite of 20 line, random progressive jackpot slot machines.
New kid on the block
Lower Mars LLC came to notice this week with their "JACKPOTmini!" gaming software currently being marketed by Amiga at around 17 bucks. We haven't seen the product, but the blurb promises "... colorful graphics, great sound and all the gaming action that anyone might expect from a trip to Vegas." There's video poker or double down at full-featured blackjack with two high stakes slots when you’re looking for a break from the table action. The intelligent engine behind each game enables players to practice and perfect gaming strategies.
Kyl to have another go at banning
KJZZ out of Phoenix, Arizona reported this week that in an interview with state representative senator Jon Kyl he confirmed that 2005 will be another year in which he will continue efforts to bring about legislation aimed at banning Internet gambling instead of regulating it. Kyl has tried unsuccessfully for several years to push through prohibition Bills.
Tennis : live betting from Blue Square
UK online betting group Blue Square is to introduce live betting on major tennis tournaments this weekend, facilitating this by streaming the events live over its Website reports New Age Media.
If the project indicates there is enough interest to make it viable, more events will be streamed this year. Future coverage is likely to include sports with even more mainstream appeal. "This is very much a toe-in-water thing," said spokesman Ed Pownall. He added, however, "If it goes well we might expand on the idea very quickly.
Blue Square says that the increasing amount of televised live sport has been one of the key factors behind the growth in online gambling, with players far more likely to bet on something they can watch. However, despite the proliferation of channels, many high-profile events still aren't available to UK viewers.
To get around this, Blue Square has bought the rights to the SAP Open final this in San Jose, Calif., a tournament that includes Andre Agassi and last year's winner, Andy Roddick.
Rival bookies will be watching closely and could start chasing similar rights. Streaming matches over their sites is far cheaper than launching a new TV channel, as William Hill did last year, and online rights still cost relatively little.
WiFi gaming for mobile gaming around land properties
Diamond I, Inc. (formerly AirRover Wi-Fi Corp.), has opened an interactive online web-based preview of its WifiCasino GS hand-held Wi-Fi-based gaming system, offering the general public a comprehensive preview of the innovative product.
The system preview is available to all interested persons at http://www.diamonditech.com. WifiCasino GS is a secure wireless PDA-based gambling and media network designed for Las Vegas-style casinos and resorts, as well as cruise ships and race tracks. It is designed to allow patrons to gamble anywhere on a casino, ship or track premises where this is permitted by regulatory bodies, including in their rooms, pool-side and at the bar.
Using unique, patent-pending proprietary technologies, Diamond I claims the system offers a highly secure and consumer friendly gambling solution which can be extended beyond gambling applications, to include providing Internet access, obtaining resort information, ordering meals and drinks, accessing concierge services. With future applications in mind, the modular design will accommodate future plug-ins that provide additional functionality, thereby permitting the host resort to provide its patrons with new forms of services and experiences.
Currently, Diamond I is supporting pending legislation, which has passed the Nevada Assembly and awaits Senate action. This law, once enacted, would permit gaming in public areas within a casino's premises, exactly the areas in which the WifiCasino GS is designed to operate. Although Diamond I is optimistic that this pending legislation will become law, no prediction can be made whether such will be the case.
The company has also begun the process of securing a license for the WiFiCasino GS product in the Philippines. Diamond I's first in-person presentation to the Philippine Amusement and Gaming Corporation (PAGCOR) is expected to occur soon. Bingo is another possible application area where the company is currently pursuing an agreement with numerous gaming facilities operated by Native American tribes.
SecureGamble provides the gambling and security features for the product, allowing users to gamble from PDA's within the hotel. It uses biometric identification, location tracking, and other security implementations to guarantee legitimate gambling. Other elements include the GSAdmin back end package which allows management to monitor any active module or application in real-time. OpenHand CRM/SRA is the full CRM and Statistical Recording/Analysis engine of the system. It works to collect user data, activity info, location info, etc.
Europe bound?
Betfair announced this week that it has been awarded a license to operate in Austria. It's the first time the betting exchange company has received regulatory approval to operate outside the United Kingdom and could be the first step toward gaining acceptance throughout Europe. Australia is also being courted despite some oppodition from the horse racing sector in that country.
More sovereignty hassles?
There could be more European hurdles placed in the way of betting groups seeking cross-border customers. Evelyn Gebhardt, the German Socialist rapporteur for the Services Directive (SD) and a member of IMCO (European Parliament committee for the Internal Market and Consumer Protection), this week proposed amendments to the commission's Services Directive Commission in the European Parliament. The report confirms that gambling will be excluded from the SD, something that will inevitably impact negatively on sovereignty issues from a gambling group perspective.
Just for the guys, but no real money yet
Poker Media Group has launched Bikini Poker.com which has a distinctly masculine appeal with plenty of pin-up girls - but only play for free at present. The site opens with a freeroll tournament series that will award the winner the latest Apple iPod. The first of this series of daily freerolls commences on April 29, and culminates in the monthly freeroll final. Bikini Poker has downloadable poker software, featuring a variety of popular poker game options, including Texas Hold’Em, Omaha, Omaha Hi/Lo, Seven Card Stud and Seven Card Stud Hi/Lo, all of which can be played Fixed Limit, Pot Limit or No Limit. Players can also opt to play in ring games, freerolls, tourneys (single and multi-table), satellites or Sit and Gos. Games are currently available for free-play only, but future releases will allow real-money play.
Cryptologic founder's latest venture reports first quarter
The online gaming technology provider started by Cryptologic founder Andrew Rivkin, Fun Technologies, has announced encouraging results for the first quarter ending March 31, 2005.
Q1 has seen the provider of skill gaming, exchange-betting technology and online sports information bring in consolidated revenues of GBP 1.5 million, up 176 percent from fourth quarter, 2004. Revenues from Fun Technology’s subsidiary, SkillJam, are also up 35 percent from fourth quarter, 2004.
The report reveals that SkillJam’s success comes after deals with numerous new licensees, including The Network for Games and Inspired Broadcast Networks, and the success of its partnership with AOL, all resulting in a growth in its customer database to a creditable 7.5 million.
This quarter also saw the group complete acquisition of Las Vegas based sports information provider, Don Best, signifying a new revenue stream for the company, representing 51 percent of revenue in the quarter.
“The first quarter of 2005 was full of significant accomplishments for Fun”, said Lorne Abony, Chief Executive Officer. “We have continued to grow our businesses, and expanded on the exceptional corporate momentum built during 2004.”
On February 4, 2005, the Company closed the placing of 4,800,000 new Ordinary Shares at 178 pence (C$4.02) per share, raising net proceeds of approximately GBP 8 million. The proceeds of the placing will be used to further develop and grow the groups skill-gaming business, continue business development, and for general corporate purposes.
CASH BINGO CONTRACT FOR CHARTWELL TECH
29 April 2005
Play-for-free site to offer real money play
One of the largest online bingo sites, Bingo.com Limited has engaged Canadian turnkey provider Chartwell Technology to supply its cash gaming system.
With a player base claimed at over a million online bingo fans. Bingo.com says it attracts over 30 000 visitors each day, signs up 800 new members every 24 hours and has served over 4 billion cards to date on a play-for-fun basis.
The bingo specialist says that due to recent positive regulatory developments such as the UK Gambling Bill it has decided to take advantage of its brand and dominant position in the free online bingo industry and enter the play for cash bingo market.
Under the terms of the license agreement, Chartwell will provide Bingo.com with its gaming system, offering players the experience of flash based 75 and 90 ball bingo games, complete with chat features and the opportunity to play a full suite of soft games which are offered as side games or intermission entertainment.
“We are delighted to have been selected as the software provider to one of the world’s largest online bingo companies”, Darold Parken, President and CEO of Chartwellsaid in announcing the deal. “Community based gaming has become one of the fastest growing segments of the gaming industry and the launch of Bingo.com’s play for cash offering gives us a strong industry partner and represents a significant step towards positioning the Company as the leading bingo software provider to this exciting gaming market segment.'
While still in its infancy, online bingo has already attracted more than five million players with a demographic profile that differs significantly from that of online casino and poker players. This suggests that bingo will make a significant contribution to the growth of the online gaming industry, expected to generate revenue exceeding $18 billion by 2010, according to Christiansen Capital Advisors. Therefore the growth of online gaming as a whole has the potential to significantly exceed published forecasts.
Will Hill has some competition for Stanley Leisure deal
Hard on the heels of our report last week concerning William Hill's reportedly GBP 500 million offer for the UK and Irish betting shops of Stanley Leisure, came news that they could have a fight on their hands.
Another large and well established betting operator, The Tote is gearing up to compete in the deal, according to reports in The Sunday Times this weekend.
The reports say that The Tote has engaged the Lazard investment bank to prepare an offer for the Stanley Leisure properties.
Rumours were swirling around Tradal, a Cyprus headquartered group with interests in Empire Poker last week that it was making moves to list as a public company.
The speculation started when news leaked out that Tradal was in "exclusive" consultations with stockbroking specialists Numis regarding a possibly GBP 500 flotation strategy targeted on London's AIM market.
There has been no confirmation from the company.
Tradal is the latest of a number of poker sites to consider going public. There has be en intense speculation that market leader Party Gaming, which operates the world’s largest online poker business, Party Poker, is to float in London after it appointed investment banks Dresdner Kleinwort Wasserstein and Investec to advise on its options, including an IPO.
If it presses ahead, Party Gaming is expected to achieve a valuation high enough to propel it straight into the FTSE 100 index of Britain’s blue-chip companies.
Similarly, Cassava Enterprises / Casino On Net, owner of the 888.com site, has hired CSFB to advise it on a possible flotation. It is reported to be considering a listing that would value the business at more than GBP 800 million. In addition to 888.com, the Israeli owned group also owns the Pacific Poker network.
UK online betting group Sportingbet was the first British company to generate this level of interest when it acquired Paradise Poker last October for GBP169 million.
Since the deal was announced, shares in the group have more than doubled, and the company’s valuation is approaching GBP 1 billion.
Judging by reports from a number of reliable sources this week it seems that the Party Poker vs PokerNow issue is to end with the disappearance of the latter.
The reports indicate that PokerNow is to be absorbed by Party Poker as the main skin on its network.
PokerNow has been in trouble with licensor Party Poker, which accused it of violating agreements by offering rakebacks to its players, many allegedly lured away from Party Poker itself.
PokerNow apparently still owes affiliates their rewards for February, although March was paid recently. Players' money is not in danger as Pokernow and Party Poker players are both banked by IGlobal Media, the parent company of the network.
Online poker fora were full of comment several weeks ago on what looked like a clash over rake rebates to players by relative newcomer Poker Now which commenced operations last October.
PokerNow was thought to be unique among Party Poker skins because it offered the same multi table tournaments as Party Poker itself, to which the other skins do not have access.
Online poker expert, Pokeraddict told us that PokerNow's marketing was apparently geared towards rake rebates, competing with other skins by paying the affiliates 25 percent of rake back at first, although it is understood that in the end some were getting more then that.
These affiliates kicked back a sizeable chunk of this reward to the players they had signed up. Unfortunately for them, Party Poker strictly forbids any marketing practice that lures their players away.
Sources claimed that Party Poker lowered the boom on Poker Now by witholding their February payments whilst the entire system was subjected to a detailed inspection. This left Poker Now in an invidious position vis-a-vis payment to its affiliates and sent shock waves through the poker community, although it is believed that some affiliates paid their players the rake back rebates out of their own pockets.
PokerNow has apparently had a previous affiliate dispute when one of their first affiliates skipped out on a number of payments and promises under the now notorious"SHARK" bonus code, which promised rewarding kickbacks and DVD's. There were massive sign ups and some people still remain unpaid with most never receiving the promised DVD's.
Party Now acknowledged the dispute and made the following comment:
"Discussions with PartyPoker are underway and within a few more weeks we will be able to clarify any ambiguities associated with acceptable marketing promotions by affiliates. During these discussions PokerNow would still request affiliates not to offer rake back deals. We are happy to let you know we are putting a plan into place to pay 100 percent of all monies owed, including February. This plan will be unveiled in approximately 3-4 weeks."
MORE ONLINE GAMBLING CONVICTIONS IN CHINA
29 April 2005
The risks of operating an Internet gambling facility in a dangerous environment
The penalties for getting caught gambling on the Internet in China were once again highlighted this week in the latest reports from the Chinese media.
46 criminals involved in 14 cases of Internet gambling were sentenced in Shanghai's Jiading, Xuhui, Luwan and Yangpu district courts.
They received terms from six months probation to three years in prison and fines between 1,000 yuan (US$121) and 950,000 yuan (US$114,873), the Shanghai Higher People's Court announced.
"The criminals made money by running an online gambling site called Baccarat and organising gamblers to play," said Gao Yuan, the spokesman of the court. "Large amounts of money were involved.
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One of the accuseds, Gan Jieqi worked with Zhao Xin, Gu Jundong, Xu Ju, Zhao Feng and Qin Hongjian, currently still at large, establishing several gambling houses in the Jiading District by connecting them through the Internet to casinos in a hotel in Myanmar where Gan had worked.
From last June to November, 17 gamblers visited the houses and bet online. More than 80 million yuan (US$9.7 million) were won or lost.
On November 5 of last year, they were arrested by local police.
In another online gambling case detected in the Xuhui District, tens of millions of yuan were found to have been bet on soccer. Yuan Min, the owner of an IT company, became the agent of an online soccer match last April and made money by attracting Zhang Wenda, Tang Yanwei and Pan Tian to join the business and run the online gambling.
The four criminals were sentenced to imprisonment for from eight to 24 months and fined between 20,000 yuan (US$2,418) and 300,000 yuan (US$36,276).
$2.9 million prize from World Poker Tour final at the Bellagio
LA resident Tuan Le is the new World Poker Tour champion, taking home $2.9 million after 7 tough hours at the Bellagio tables in what has become the world's most expensive poker tournament, reports the Las Vegas Sun.
Now in its third year at the Bellagio, the tournament draws only a few hundred people compared with the thousands that gather each spring for the World Series of Poker. But with a $25,000 buy-in, the Bellagio event attracts the world's best and most aggressive players.
There were no Internet-tournament players - the six people who made the final table Sunday are all experienced casino tournament players.
Le won a World Poker Tour event at the Foxwoods casino in Connecticut last year. Paul Maxfield of England, who took second, placed in a World Series of Poker event last year. Third place winner Hasan Habib of Los Angeles placed second at last year's WPT Championship. Long Beach resident John Phan, in fourth, won a Commerce Casino tournament this year and placed in a tournament at the Plaza casino in downtown Las Vegas last year. Fifth place winner Rob Hollink of the Netherlands won a European Poker Tour tournament in Monaco this year.
Poker pro Phil Ivey, the only Las Vegas resident at the table, has won three World Series of Poker events and placed in several other tournaments. He placed sixth.
Maxfield won $1.7 million, Habib won $896,375, Phan won $518,920, Hollink won $377,420 and Ivey took home $264,195.
The first 100 placeholders in the tournament, which began April 19, were paid prize money from the pool of nearly $11 million. The minimum prize was $30,000.
The final table will be broadcast June 29 on the Travel Channel, which has broadcast rights to World Poker Tour events.
Habib began Sunday's final table with $7.8 million in chips, followed by Ivey with $3.4 million, Hollink with $4.4 million, Maxfield with $2.9 million, Le with $2.7 million and Phan with $1.5 million.
Habib was well ahead of the pack for much of the game but drew a number of losing cards later on.
More than two hours passed before two players, Ivey and Hollink, were knocked out in quick succession. About three hours in, Phan was out, followed by Habib three hours later. With a king and a five card, Maxfield tried for a flush but went out before midnight.
Players began the tournament with $50,000 in chips each. The final table began with minimum bets of $40,000 to $80,000. Those bets got richer as the evening wore on and eventually reached a World Poker Tour record.
Antes rose from a few hundred thousand to around $500,000, with players raising one another in the millions of dollars per hand. Little-used yellow chips, each worth $100,000, emerged several hours into the game.
More than 450 players entered the tournament compared with last year's 343 players. Last year's top prize winner took home $2.7 million from an $8.6 million prize pool.
Costa Rican based sportsbook MyBookie.com has scored a marketing coup in online gambling...it has signed an exclusive product placement agreement with Warner Brothers for the upcoming film 'Lucky You,' starring Drew Barrymore and Robert Duvall.
The agreement makes provision for the MyBookie.com website to be prominently featured in the film and within the storyline. The movie features a college student who hits it big online then turns his sights to Las Vegas, where he tries to beat the odds in a quest for the world championship. Eric Bana and comedienne Debra Messing also star.
"This is definitely a first for our industry, and we are currently looking at a variety of potential partnerships within the television and music industry," says Mike Nichols, founder of MyBookie.com. "We see our products really as an extension of the entertainment industry as a whole."
In business since 1997 MyBookie.com is a fast growing gaming site on the Internet, and recently announced the upcoming launch of its newly developed brand NINE.com, slated for July. In addition to providing bet facilities on a multitude of sports, news, financial, entertainment and political wager options it also offers online casino action on BlackJack, Poker, Roulette, slots, craps and other casino games.
Professionals vs celebrities in new GSN series on poker next month
The blurb asks "Are actors better bluffers or will the poker professionals sweep the celebrities in the high stakes game of No-Limit Texas Hold 'Em?" in a press release this week. The question will be answered when GSN premieres Poker Royale: Celebrities vs. Poker Pros, a seven-episode U.S. TV series debuting as part of GSN's weekly Casino Night, Friday, May 6 at 9:00PM ET/PT.
Shot on location at the Pechanga Resort and Casino in Temecula, California, the latest edition of GSN's Poker Royale franchise sparked witty banter across the table between the pros and the representatives of the fastest growing group in the poker world, celebrity players. Not underestimating their opponents, the experienced pros put on their best game faces in an attempt to make it to the final table for a chance for the $50,000 championship grand prize.
The team of celebrities include: Lance Bass (NSYNC), Tracy Bingham (The Surreal Life, Baywatch), Morris Chestnut (The Best Man, Boyz N the Hood, GI Jane, Ladder 49,), Mimi Rogers (The Door in the Floor, Austin Powers), Jennifer Tilly (Liar Liar, Bound), and Patrick Warburton (Less Than Perfect, Seinfeld).
The professionals include Scott Fischman (Two World Series of Poker bracelets), Kathy Liebert (One World Series of Poker bracelet), Cindy Violette (One World Series of Poker bracelet), Roxci Rhodes (Ranked one of the top ten women players by Card Player magazine), Paul Darden (Winner of the 2003 World Poker Tour Gold Rush Tournament) and Kenna James (One World Series of Poker bracelet).
In the first six one-hour episodes of Poker Royale: Celebrities vs. Poker Pros three professionals and three celebrities face off. Every episode champion wins $10,000 and ten points. The player who finishes second receives eight points, third place receives six points, fourth place receives four points, fifth place receives two points and last place receives zero points. The players who make the final table will each receive $10,000 in chips to begin.
In the two-hour finale, the top three point leaders for both the celebrities and the pros take the top seats. Airing on June 17, the finale winner will take the $50,000 grand prize.
Most expensive land casino resort yet opens doors this week
The U.S. press was full of big news from Las Vegas this week - the most expensive casino in the world was to start operations Thursday, confirming a resurgent gambling Mecca with all the style and razzmatazz for which this city is world renowned.
The $2.7 billion Wynn Las Vegas resort, fronted by a tree-covered artificial mountain, opens at a time of record tourism and booming real-estate prices.
Steve Wynn, the gaming magnate known for creating casino resorts like The Mirage has become something of a celebrity himself, starring in a television commercial standing astride the rooftop of the gleaming 50-story bronze tower of his latest investment.
Already just the promise of the new resort's opening has upped the ante for rival Las Vegas destinations, analysts say.
"Every time a major resort opens with the kind of profile that all of Wynn's properties have enjoyed, it causes everyone else to enhance their amenities," said Erika Yowell, Las Vegas Convention and Visitors Authority spokeswoman.
Several major Strip casinos have added upscale hotel towers or will soon open new ones, including Caesars Entertainment Inc.'s Caesars Palace. Mandalay Resort Group in December 2003 opened THEhotel adjacent to Mandalay Bay, and the Bellagio, owned by MGM Mirage, opened a spa tower, complete with a fountain of liquid chocolate, last December.
Although he is excited about his hotel's complicated design with its asymmetrical roof and horizontal white lines, Wynn said the resort's success will come down to service and employees that show a greater interest in making guests happy.
Speaking at a conference last week in Los Angeles, Wynn said the 9,500 employees have been told not to worry about money or failure. Such things are inevitable in a new operation and a new building. Their one charge, he said, is to not let guests leave unhappy, whether it takes reversing a charge or even returning a bet.
"The only thing that matters is that the people who come to this environment be happy and playful. It's not about us, it's about them," he said.
Originally branded "Le Reve" after a Picasso painting, but later changed in a brand unifying exercise the new resort is said to be the ultimate in luxury. The company's Web site boasts that "Michelangelo took four years to complete the Sistine Chapel. Your room took five." The 2,700 rooms have floor-to-ceiling windows with views of the Strip, the mountain and lake, or the resort's 18-hole golf course.
The complex offers 18 restaurants, some run by celebrity chefs, theatres, a spa and dozens of designer boutiques along with a Ferrari Maserati dealership. With 37.4 million tourists visiting the city last year and predictions of another record this year, the new complex will be receiving some close attention as the latest attraction in a fun city.
The 4th Annual Remote Gaming Forum brings together the remote gaming industry as well as its service providers to discuss and debate the effect of consolidation, how to build costumer loyalty in an industry where product differentiation is scarce, what the potential of skill-based gaming is and whether mobile gambling and other platforms should be seen as additional revenue streams or merely as a brand extension bringing in a couple of extra pennies.
The venue is still to be announced, but dates are 28 and 29 June this year, in London.
The event will examine issues such as:
How to become an attractive acquisition target?
Integrating skill-based games into your current business model
Converting browsers into players cost-effectively for successful customer acquisition
Building customer loyalty and strengthening brand value
Profiting from mobile gambling and other gambling platforms
Evaluating solutions for tackling fraud, money laundering and
Payment issues
Will bingo be the next poker?
Targeting the female gamers with pay to play and soft games
Understanding the effects of the UK Gambling Act on the remote gaming industry
With a top speaker line-up including 29 cutting-edge viewpoints from companies such as Sportingbet plc, BETonSPORTS, PartyGaming, Betandwin.com, Yahoo! Europe, VIP Management Services, Gaming Corporation plc, Betfair, Wanadoo UK plc, Royal Bank of Scotland and Helix Gaming.
Return to Top MORE TOP CASINOS JOIN PLAYER PROTECTION INITIATIVE
22 April 2005
Commitment to international regulation through eCOGRA
The number of quality online casinos committed to player-sensitive, international and monitored regulation this week rose to 53 with the announcement by eCommerce and Online Gaming Regulation and Assurance (eCOGRA) that two new Seals have been awarded, together with additional foreign language and currency Seals.
The latest casinos to pass the detailed third party acceptance inspection are:
Both of the new Seals are Microgaming-powered casinos belonging to two major and well established business groups.
22 other online casinos have successfully achieved the required service and probity levels to offer eCOGRA-regulated foreign language and multi-currency facilities.
The eCOGRA initiative is open to all and provides practical player protection through a carefully researched set of regulations, termed the eGAPs which are applied through independent international business services organisations to member casinos and poker rooms.
Detailed inspection and ongoing monitoring to ensure continuous compliance with the regulations are key to the success of the initiative, and extensive probity checks are carried out as part of the acceptance process.
Casinos that successfully pass the inspection are identified by the eCOGRA "Play It Safe" Seal, awarded by the three independent directors on the eCOGRA Board who effectively control the organisation's operational activities.
The eGAP regulations cut across political and geographic barriers to address every aspect of online casino operation, including FATF-relevant money handling procedures, fair gaming, responsible gambling and efficient customer service.
The London-based staff includes a Fair Gaming Advocate to whom players can appeal if any disputes cannot be settled at casino level.
eCOGRA CEO Andrew Beveridge welcomed the new Seal-holders and congratulated the operators on their commitment, "Achieving Seal status recognises the high levels of efficiency at your casinos, and your strong commitment to running fair and professional businesses," he said.
"The Board is especially pleased at this time, because the second cycle of in-depth reviews of several of our existing Seal operations have just been successfully concluded, showing increasing levels of business and player-sensitivity."
SOFTWARE TESTING CASE AGAINST CRYPTOLOGIC SCHEDULED FOR JUNE 20
22 April 2005
WebSport Technologies sues for $295 million
A press release from WebSports Technologies this week resurrected a long running, multi-million dollar dispute against major turnkey provider Cryptologic with the news that a civil case will be heard on June 20 this year.
The court action was originally filed on November 22, 2002, against Cryptologic Inc. by WebSports Technologies Inc. In addition to the breach of contract, the suit seeks damages for conspiracy, collusion and misrepresentation.
The litigation filed in Ontario superior court (Court File No. 02 CV 240094 CM) alleges that Cryptologic Inc. a TSX, Nasdaq and AIM listed company, breached a contract and in order to do so attempted to falsify the outcome of a software testing procedure being conducted by TST Testing systems North America to certify the ProSportsTrade Exchange Game created by WebSports Technologies Inc. to Tasmanian gaming standards.
WebSports President Nicholas Murphy stated, "WebSports will seek every legal avenue available to challenge the duplicitous actions of Cryptologic."
The allegations in this matter are scheduled for trial on June 20, 2005 in Toronto, Canada. Murphy says that in an earlier statement from Cryptologic, spokesperson Nancy Chan-Palmateer dismissed the suit as "frivolous and without merit" and said "Cryptologic has not issued a press release as we don't view this suit as material"
"The suit against Cryptologic is material given the nature of the allegations. The security and regulatory agencies located in the various jurisdictions where Cryptologic operates should make that distinction, not a company spokesperson." Murphy's statement claims. "WebSports has unequivocal proof of the allegations and will prove so in court".
Asked for comment on the latest developments, Cryptologic's PR director Nancy Chan-Palmateer said that her company had not changed its view on the validity of the case, and would be vigorously contesting it. InfoPowa is advised that that opposition included an application that the plaintiff be required to lodge $200 000 as security for costs, which the court apparently reduced to $50 000 to be paid by the end of this month.
Online gambling exec Simon Noble's tenure at English Harbour group was pretty brief, according to reports this week. The former Intertops and BetWWTS CEO has reportedly joined the staff of Pinnacle Sports.
English Harbour issued a press release some five months ago announcing that Noble had joined the group as Executive Vice President of Business Development with the goals of accelerating the company's strategic partnership initiatives, securing alliances for online poker and increasing the company's market penetration into new markets.
Noble has been a pioneer in the burgeoning online gaming industry since 1996. He left WWTS to join English Harbour group late last year, after which WWTS was sold.
Prior to joining WWTS, Noble was Chief Executive Officer of Intertops.com, the company he co-founded, which claimed to be the first company to accept a wager over the Internet in January 1996. Under Noble's direction, Intertops.com experienced explosive growth to a registered user base of over 500,000 customers in nearly 200 countries worldwide.
Noble answered our request for comment with the following, "I have joined Pinnacle and the simple reason is that I just missed the sports too much. I guess after 15 years as a bookmaker it's in the blood."
Krister Bergström, Senior Vice President at Boss Media AB, has decided to resign from the company to start his own business, however he will continue to serve as a consultant to the company, working primarily with strategic development projects.
Eric Matsgård will assume the position of Senior Vice President Marketing & Sales at Boss Media and will also be a member of the executive management team. Most recently, Eric was employed at Accenture in Sweden, which performs outsourced work for Boss.
Innovative celebrity promo from Prima Poker network
31 online poker rooms on the Prima Poker network provided plenty of action and $250 bounties in a promo involving the network's signature professionals, The Hendon Mob last week.
In the "Beat the Mob" Tournament of 2005, poker players from around the world were given the chance to go heads up with the poker playing foursome online, testing the poker skills of the network’s best and bravest players.
With a $250 bounty placed on each of the ‘Mob’ members, players sought to take them down one flop at a time and join the ranks of those that dared to take on the Mob, and won!
377 players participated in the event, which was finally won by a player known as ‘sp33dy’. Three other players were skilled enough to ‘Beat the Mob’. Barney Boatman, known by millions as ‘The Voice of Poker’ for his role as the commentator for ‘Late Night Poker’ on Fox Sports Net, was knocked out by ‘Optlagony’ while ‘Rocky’ Ross Boatman was bounced out of play by ‘Boing’. Finally, ‘Mattressman’ made neat work of Joe ‘The Elegance’ Beevers, a former investment banker and current Irish Open champion.
The second annual GIGSE industry fund-raiser will be held on Wednesday, June 15 in the Expo Hall of the venue in Montreal. This year’s beneficiary is the California Council on Problem Gambling.
Once again, the online gambling industry has shown it has a heart. Within the first 10 days of announcing the event, 12 companies stepped up to contribute a total of US$23,750.
And another 2 companies have offered stays in beautiful vacation homes for bidding at the accompanying silent auction.
We all known that when it comes to charity there can never be too much, so readers in a generous frame of mind who would like to contribute are invited to contact the organisers at the email address below.
The main event will be a Segway Grand Prix and the racing cards for that event are being developed now. Again, if you would like to suggest a dream match-up for these grudge matches or would like to pledge a contribution, don’t hesitate to contact Sue Schneider (mailto:sue@rivercitygroup.com)
Coral Eurobet and a major provider of mobile entertainment, iTouch plc inked a three year agreement this week which will launch iTouch's mobile gambling service in the UK.
It will be the first time that iTouch markets mobile gaming services to consumers in the UK, both directly and via its key large scale media partners. There will also be further scope to offer the products to networks and virtual networks as an add-on sale, or as an additional function embedded directly onto handsets or within operators' mobile portals.
The initial product will offer 4 fixed odds mobile games, marketed under the Coral brand: Fruity Slots, Dice, Dr Hi Lo and Keno. iTouch also intends to introduce a series of new fixed odds mobile games and other mobile gaming technologies during 2005, including a full sports book.
Consumers who open an account with Coral will be able to place bets through the iTouch platform using their mobile phones. The revenues earned will be shared between Coral, iTouch and Zone4Play, which has supplied the technology.
Poker thrills on ten different games for thirty bucks
The seemingly insatiable demand for all things poker found another outlet this week with the launch of the latest Nintendo DS system game titled World Championship of Poker: Deluxe series.
Publisher Crave Entertainment says the game was developed by Sensory Sweep Studios and offers players the opportunity to take their poker game to the next level using the Nintendo DS system's dual screens, wireless connection and other unique capabilities. The package also includes blackjack and poker action.
The blurb claims that World Championship Poker: Deluxe Series "...brings the excitement and competition of a Saturday night poker game to the next generation of players on the portable Nintendo DS system." The DS version will feature more than 10 different poker games including Texas Hold 'em, Five Card Draw, Baseball, and Seven Card Hi-Lo. Players also have the opportunity to ante up against opponents in mini poker tournaments, utilizing the wireless connection on their DS systems to multiplay with up to six opponents.
The game comes with a choice of four themed casino settings.
Interactive game provider Electracade was in the news again this week when European company, MrBookmaker launched a range of soft gaming products from the company to complement their sports book.
The bookmaker plans to roll out a suite of gaming products over the coming weeks, starting with The General & I and Dragon Keno.
Joachim Timmermans from MrBookmaker stated “We are excited about the opportunity that gaming will bring to our sports book, offering our customer base a broader range of activities and enjoyable gaming experiences.”
The highly themed ‘unique’ games offer state of the art graphics and audio content whilst offering players a compelling gaming experience. The General & I lets the player predict the outcome of five one-on-one dice battles, whilst Dragon Keno rolls ten dice offering the player four different bet options split into either Keno or prediction style bets.
Electracade developers have spent eight months building an extensive portfolio of interactive gaming products including slot machines, Hi Lo games, Keno products and numerous original gaming concepts.”
Last week InfoPowa reported on the upcoming eGaming Review Magazine Power 50 Summit scheduled to be held near London, England in late April. The list of attendees has now been released by the sponsors, Bodog group.
Michael Hirst OBE, the chairman of international regulator eCOGRA will be chairing the proceedings.
Whilst there is undoubtedly a strong presence of powerful and dynamic companies that influence the industry, the inclusion of the Windows group, which is reportedly in the process of being sold to newcomers Rising Sun Gaming, is surprising.
Online gambling group UK Betting.com has enjoyed a good business year judging by financial reports just released.
Group turnover rose 57percent to GBP 85.6 million and gross profit rose 109 percent to GBP 19 million. Exceptional items and non-recurring costs took a big bite of this but the company still made earnings of GBP 100,000, its first ever positive return at this level. Site visitors to its operations were well up as Football365 and Planet Rugby claimed 7.1 million users at the end of 2004, up 25 percent on the previous year. Since the turn of the year this has risen another 32 percent to 8.3 million users generating 260 million page impressions a year.
South Africa to regulate?
South African media reports this week claim that the government plans to develop a new policy on Internet gambling this year. Minister of trade and industry, Mandisi Mpahlwa, said in his budget vote in Parliament this week: "Further strengthening and effective implementation of consumer protection will continue this year. The department will establish a new consumer credit regulator, develop a policy on Internet gambling and assess the impact of gambling, consumer credit and liquor." At present, Internet gambling is regulated by various provincial gaming laws and is touched on by the Electronic Communications and Transactions Act.
Online poker - $60 billion business in 2005
Latest study from the Research and Markets organisation continues to paint a rosy picture of the online poker business:
The amount gambled on poker websites around the world is estimated to be more than US$ 60 billion for 2005.
More than 60% of the industry experts surveyed believe that online poker will be the dominant offer in online gambling in 2-3 years.
75 percent of the industry experts surveyed believe that the global annual rake/commission in the 2-3 years will be more than US$ 4 billion.
When it comes to geographical expansion, Europe seems to be the place to go; 52 percent of the experts believe that Europe offers the greatest future potential for online poker. Market leader PartyPoker, for example, is planning to launch its presence on television throughout Europe very soon and already operates its site in one other language besides English – German.
On the downside, the study points out that the online poker market will become a tougher market in the future. With decreasing revenues per active player and growing competition, the poker operators have to find successful strategies for the future.
The industry insiders surveyed recommend as the most important strategies for the future the creation of poker networks, the entry into the market by more betting brands such as Ladbrokes, and the consolidation of poker sites.
New slots from RTG
Players are currently trying out three recently introduced Video Slots from Real Time Gaming in the form of Aztec's Treasure, Goldbeard and Ronin. Graphics are said to be of a particularly high quality and the gameplay fast and smooth.
WSOP is nigh...
The 2005 World Series of Poker event is scheduled to begin June 2, 2005 in Las Vegas and an estimated 7,000 players are expected to participate in the $10,000 buy-in, no-limit Texas Hold 'em main event. Anyone, regardless of gender or nationality can play in the WSOP main event as long as they are 21 years of age and can afford the $10,000 entrance fee.
Well known online gambling e-cash processor Proc Cyber Services Limited seems to be involved in a new British-focused processing company for online gambling transactions called Ukash.
The result of a joint venture between Smart Voucher and Proc Cyber, the new companys full title is Universal e-Cash Limited, and casinos promoting it have been offering matchplay bonuses capped at GBP 100 for players who try it out.
The Ukash website, Ukash.com, claims that payments into an account can be effected via any Paypoint outlet. The depositer receives a voucher up to GBP 100 in value with a code number. There does not seem to be a limit to the number of vouchers a player can purchase in this manner, redeemable at the participating casinos.
On the face of it, the new system seems to cater for folks who prefer not to use credit cards online and prefer cash transactions.
Existing sportsbook tightly integrated with new operation.
Established sportsbook Bet 365.com and turnkey provider Playtech announced the launch this week of a branded online casino to complement the latter's successful sportsbook operation.
Bet 365 Casino.com is tightly integrated with the Playtech platform, offering players one-time account registration and login, instant-launch flash games and an option to transfer funds across the two systems. Existing sportsbook members can login to the casino platform using their current usernames and passwords.
The casino product incorporates a customised software package designed specifically with sportsbook operators and sports fans in mind. The package includes the brand-new virtual horse racing game Derby Day, twelve new fixed-odds games, instant-access flash games and the ability to integrate live scores & odds data tickers.
The fixed-odds games feature online interpretations of traditional pub games such as Jackpot Darts and Penalty Shoot-out, old street games like Rock-Paper-Scissors and Heads-or-Tails, and popular themes such as Bonus Bowling, Dice Twister, Spin-A-Win and Hi-Lo.
Two new managers have joined the Chartwell Technology team in London in a move that the company says is designed to further expand its European activities.
Pasqualino Rasile has started work with the turnkey provider this week as IT Director and Matt Webb joins as Business Development Manager. Both will be based at Chartwell Games’ worldwide headquarters in London.
Rasile has ten years experience in design of web systems, focusing on secure, stable and scalable architectures for the banking and investment industries. During the past four years he was IT Manager for Globet, where he developed and managed the IT infrastructure and daily operations for one of Europe’s premier sports books.
Webb has an extensive background in the lottery and gaming industry, having held senior sales and marketing positions, firstly at Camelot and subsequently providing consultancy services to numerous international gaming ventures. He has a wealth of product launch experience from both client and end-user perspectives.
Voice-based identity checker could also be useful in stopping underage and problem gambling
Technology to verify identity and stop underage online gamblers took another step forward this week with the launch of 192 SafeBet, a voice-based identity checking solution for the remote gaming industry.
By recording gamblers’ unique audio ‘voice-prints’, 192 SafeBet provides betting companies with the assurance that they know exactly who they are dealing with. It not only provides a useful identity confirmation tool for future betting transactions, but also creates an effective audit trail. It therefore allows online gambling providers to prove that they have taken adequate steps to ensure that their customers are over the age of 18 and, as such, fulfill their requirements for socially responsible gaming.
The system works by triggering an automatic call-back facility when a new user registers personal details online and on each subsequent occasion that he or she logs on to place a bet. The customer is asked to confirm age and identity. If the customer does not respond, the registration and transaction fail, and the user is unable to proceed.
In addition to providing an audio audit trail of the customer verifying their identity verbally, the resulting ‘voice-print’ recording can also be stored and used to confirm identity in future transactions. The ‘voice-print’ is matched to a customer’s unique PIN number, provided online during the web session, and both can be checked as and when the service provider deems necessary, or if an anomaly occurs in a transaction.
“Since the boom in online and mobile gaming, underage gambling has become a real concern,” 192.com Business Services md Keith Marsden says. “However, businesses are often also victims of this phenomenon as they bear the costs of disclaimed gambling losses, so not only is 192 SafeBet a reassurance for society, it’s insurance for the bookies too.”
192 SafeBet can also query against 192.com Business Services’ databases during the same web transaction and checks users’ information against a number of information sources including the Electoral Roll, Companies House and the BT Contact Directory Enquiries database. The unique customer PIN can therefore be tied to a number of individual unique data characteristics as well as the ‘voice-print’ of the gambler.
Pricing for the product is based on a one-off licence payment and a cost-effective pay-per-use model.
90 ball game to complement earlier US oriented release
Turnkey provider Playtech launched a new UK-style, 90 ball online bingo game this week that complements its established US-style 75 ball game which was introduced 18 months back.
The supplier claims that the new game, which delivers the familiar features of a typical UK bingo hall in an online package, will be implemented first by the Bingoland network, which already uses Playtech's integrated 75-ball bingo suite.
The 90-ball bingo variant has been tailored for the UK market and is aimed both at Playtech's existing licensees on the mainland - especially the growing number of brand-name operations that have launched online gaming platforms on the Playtech system and are looking to diversify - and at online bingo operators in general.
The ticket format of the 90-ball game differs somewhat from the 75-ball game. Each ticket has 3 rows of numbers - in each game there are 3 winners: the first to complete one row, the first to complete 2 rows and the first to complete 3 rows (the entire ticket). The new game also features authentic London accented dealer voices and traditional British bingo call-outs ('Duck and Dive, 25', 'Two Fat Ladies, 88', etc.), for an authentic feel.
Game features include: 3-D animated graphics, fully featured chat with integral player photos and private chat facility, real-time player access to graphical game history, selective buy-ahead feature, auto-play, auto-daub and 'best card to front' features, and card manager plays even when the player is offline..
Online casinos may have a new marketing "pull" following the launch this week of the Reality InterActive Media, Inc. (RIAM) new interactive technology, that offers 'live' interaction between players.
Driving the RIAM idea is the proposition that many players are attracted to the convenience of playing online but miss the face-to-face element available in land-based play. The new patented technology is claimed to introduce this important element by allowing players to sit in their homes, thousands of miles away from their opponents, and still see and hear other players as if they were merely seated across a short expanse of green felt.
"When poker and gambling first left the casinos and went space age in the dot com era, nobody could believe the leap out of the dark ages. Incredibly, the amazing world of computers and the Internet has created a multi-billion dollar gambling market. Now every operator strives to bring their players something new and innovative. Poker sites that are the most innovative always get the greatest share of the market place," says Rick Rowe, President of RIAM.
RIAM claims its product helps online casinos grow large, loyal, high-profitability player communities with proprietary technology, competitive insight, strategic advice, and 24/7 customer support. This is achieved through a simple, easy-to-use interface - all players need is a broadband connection and a browser. The RIAM software is completely customisable to casino specifications.
Will Hill takes a look at eastern European opportunities
A wide-ranging collaborative agreement between major Brit betting group William Hill and the Grecian group Demco was signed this week that could open up opportunities for both companies in the south east of Europe.
The agreement will see the two companies working together to monitor the regulatory position within the Greek market, and actively pursue opportunities arising from any deregulation. The two organisations will also team up to look at other markets in the region like Romania and Bulgaria.
Taking bets within the Greek state is currently under monopolistic control of OPAP. It is however broadly anticipated that there will be some form of opening up of the Greek market in the medium term, opines William Hill management. The agreement between William Hill and Demco allows for the two groups to develop a joint venture following any such deregulation of the territory.
Demco Group has founded a number of successful Greek businesses in various sectors, including insurance, financial services, mobile, fixed line and satellite telecommunications, general aviation and the food industry. In addition, it has interests in media companies.
Commenting on the agreement, David Harding, Chief Executive of William Hill, said: “With a population of 10 million people and a passion for sport, a deregulated Greece would offer an attractive betting market. When the time is right, this agreement will allow us to combine our skills in sports betting with Demco Group’s excellent track record in building successful businesses within Greece.”
Take care around Sky Kings Casino.com, an operation owned by a small land casino group in the Dominican Republic which was recently given a revamp and switched to Playtech software. Several players have posted complaints, and there are worrying allegations that the so-called Support staff for this casino flatly refuse to escalate player complaints to management.
A 28 year old Australian woman from Melbourne is appearing in court this week charged with bribing a casino employee with A$ 6000 to change the winning numbers in Rapid Roulette at the Crown Casino.
The woman, Deasy Widjaja received A$ 66,675 after she became involved in a scam to cheat on a roulette game at Melbourne's Crown Casino, the Victorian County Court was told, according to reports in the Australian media.
She persuaded the employee to manually change the winning numbers in Rapid Roulette to the numbers on which she had wagered to allow her to win A$ 66,675.
Rapid Roulette is an electronic table game, played in the same way as traditional roulette except that players sit at an individual terminal and place bets on a touch screen.
The Las Vegas Sun carried an excellent article this week on the big name poker players and their endorsement deals in respect of online poker companies.
The story points out that many highly successful professional poker players have struck lucrative endorsement deals with Internet poker sites and regularly tout them during their celebrity appearances.
Poker legend Doyle Brunson, the so-called "Babe Ruth of poker" wears corporate clothing and laces his personable exchanges with the public with mentions of Doyle's Room. He plays online poker himself and plans to write a book on Internet poker strategy soon.
Most poker pros now gamble online, lured by multi-million-dollar jackpots that rival those of the biggest land-based casinos as well as nonstop games and rapid play, poker experts say. There's also the lure of millions of players, some not as competent as others, to play against.
The Sun article quotes 1995 WSOP champ Russ Hamilton, who says that online poker helps supplement income for poker pros who don't have to travel around as much to play in big money games. Hamilton is a spokesman for UltimateBet.com, a site based in the Caribbean island of Aruba.
Poker pros say the law surrounding online poker is unclear but are careful not to go too far in their relationships with Internet poker sites.
Brunson said he is a consultant for DoylesRoom.com and does not have an ownership stake in the site. "It's a gray area," Brunson said of Internet gambling. "That's why we can only be consultants, not owners. It's a touchy situation."
Howard Lederer is paid to promote FullTiltPoker.com. Lederer is part owner of the company that developed the gambling software for the site but said he doesn't have a stake in the gambling operation. "The software is a constant project," said Lederer, a two-time World Series of Poker champion.
About two years ago, Lederer and other top players were approached by a group of players with the idea of creating a poker site with star power and input from professional players.
"The site was designed with well over 100 years of poker experience behind it," he said. "These are poker people, people who understand online poker. We play in small stakes games (with customers) and answer questions. It's a true endorsement of the site."
Mike Sexton, who also lives in Las Vegas, is a longtime pro who has nearly given up regular poker games for endorsements, book deals and other promotions.
Sexton is a commentator for the World Poker Tour, a traveling poker tournament with 16 events worldwide that is broadcast on the Travel Channel and across 56 countries. Tournament hosts range from Internet poker sites to the Bellagio and Mirage. Besides receiving a salary from the World Poker Tour, Sexton also is a part owner of PartyPoker.com -- the largest online poker room with an estimated 50 percent of the worldwide market.
"They were looking for someone who knew about poker," Sexton said.
Sexton helped develop the poker software, trained the site's customer service staff and created the PartyPoker Million, an annual tournament held on a cruise ship that has become the largest event in the World Poker Tour.
"Television is the No. 1 reason poker is so popular and none of these other shows would be around if not for the World Poker Tour," Sexton said. "We're the PGA Tour of poker and the money is bigger."
The tour is creating a "millionaire a week" and last week crossed the threshhold of $100 million in total prize money, he said.
Internet poker is the "No. 2 reason" for poker's rising popularity, he said.
Another local pro paid to promote PartyPoker.com is Kathy Liebert, a former Wall Street analyst who is known as one of the best female tournament players in the world. In 2002, Liebert made history as the first woman to win a poker tournament offering a million-dollar top prize at the first PartyPoker Million, a tournament held on a ship that cruised the Mexican Riviera.
Online means more competition at casino tournaments but also means bigger prize pools, Liebert said. "You still have to beat the people at your table but it's better because there's more money in the pot," she said. "It means you don't have to play tournaments as often to make money."
Another local who has capitalised on the poker craze is Brad Daugherty, a host for EmpirePoker.com. Daugherty, the 1991 World Series of Poker champ, was that tournament's first million-dollar winner. He now travels the country playing major tournaments. As part of his duties for the site, Daugherty coaches players during online sessions and answers questions.
"People learn to play so well and so quickly online. In one year you can learn what it took me 10 years to learn. You can play three games at the same time and play a lot more hands per hour. The learning curve has been cut way down. Every player that I know loves to play on the Internet," he said.
Canadian poker pro Daniel Negreanu will be bridging the gap between online and land-based casinos when he assumes a position as "ambassador" of the poker room at the soon-to-open Wynn Las Vegas megaresort. Negreanu, a tournament regular and Las Vegas resident, also promotes a new Internet poker room called Poker Mountain.
The article does not mention a sponsorship well known on the Internet - that of the Prima Poker network relationship with the famous UK poker professionals The Hendon Mob.
Instant payment option becoming increasingly popular
The major online casino, poker room and sportsbook group Bodog has become the latest operation to sign up for instant payout capability through MyCitadel according to announcements this week.
Michael Meeks, President of Citadel Commerce, says, "Launching myCitadel with Bodog.com validates the need for a strong payment solution offering competitive rates for both consumers and merchants."
Without charging any fees or sharing any personal banking information, myCitadel allows users to store real cash online, transfer funds into a myCitadel wallet directly from a bank, transfer funds to a bank account, and purchase from participating Internet merchants. Banking and personal details stay within a confidential myCitadel wallet and are never provided to third parties.
The product allows consumers to create accounts in real time, to deposit funds via popular deposit methods, and to make instant purchases at participating merchants, all at no cost to the consumer. For merchants, myCitadel provides guaranteed funds, free payouts, and a tiered rate structure based on the payment history of the consumer.
Last week another large online gambling operation, Golden Palace.com announced that it has taken the MyCitadel fast payment system on board.
Citadel Commerce Corp is located in British Columbia, Canada, with a subsidiary in Gibraltar. Citadel is one of the most recognized payment processing brands in the industry.
CRYPTOLOGIC VERSION 6 GAMES NOW MULTILINGUAL
22 April 2005
Latest games in several languages debut at Intercasino
The InterCasino Euro family of Spanish, French, Italian and German language online casinos have received the latest selection of new version 6 games, available in the various languages.
The new games include the thrilling Rapid Fire Slots comprising six machines linked to one progressive jackpot which pays out almost daily and completely randomly, so a player can win on any spin regardless of their combination. Other games include Casino Solitaire, Super Fun 21, Pontoon, Casino War, Bonus Video Poker and Fruit Machines.
The exclusive Fruit Machine software is particularly noteworthy as it gives players in Germany, France, Italy and Spain the opportunity to play a UK ‘pub-style’ fruit machine in their native language and local Euro currency – a first for Euro online casinos. The new Rapid Fire Slots have 5c minimum bets and most table game limits range from Euro 1 minimum up to Euro 5.00 maximum bets.
“We are continually trying to enhance our European players’ gaming experience in their local languages,” says Nicky Getley, InterCasino Euro Brand Manager. “Being one of the first casinos to offer Fruit Machines, Casino Solitaire and a profusion of other games entirely localised in our players’ native languages and in the Euro currency establishes our position as the casino brand of choice in the markets in which we operate.”
WILLIAM HILL TAKEOVER OF STANLEY LEISURE SHOPS?
22 April 2005
GBP 500 million on the table
There were widespread reports in the British press at the weekend that William Hill is in advanced talks to buy Stanley Leisure's 620 betting shops for more than GBP 500 million in a move which would see it overtake Ladbrokes to become Britain's biggest high street bookmaker.
Most reports predicted that the companies would confirm to the Stock Exchange that Hills is doing due diligence on the Stanley estate - announcements from the two companies are likely to trigger interest from other bookmakers, too. Ladbrokes, which has 1,900 shops, is unlikely to sit back and watch Hills wrest away its leadership position in the UK.
Ladbrokes' attempt to buy Coral in 1998 was blocked by the Monopolies and Mergers Commission, the forerunner to the Competition Commission, and Ladbrokes would be expected to object to Hills buying Stanley's shops.
Hills, which has 1,610 shops, is also expected to tell the market that it has postponed plans to return GBP 453 million cash to shareholders while it explores the acquisition of the Stanley betting shop business.
David Harding, Hills chief executive, announced the planned cash return last month alongside the full-year results. At the time, he said he was looking over time to add "600 shops" to Hills betting shop estate, arguing that this was unlikely to infringe competition rules.
His comments are believed to have triggered another round of talks with Stanley's chief executive Bob Wiper. The pair are believed to have had preliminary talks before, though until now have failed to agree on price. Few bookmakers could achieve the same synergies as Hills and the latest proposal is more generous, given that Stanley's equity is valued at only GBP 610 million and it also owns more than 40 casinos. It has about GBP 200 million debts.
NEW ATTEMPT TO GET AROUND U.S. GAMBLING BAN
22 April 2005
Internet Cafe *Sweepstakes* is illegal says state AG
Noone can accuse the owner of an Internet cafe in Casper, Wyoming of lacking a sense of adventure. He has implemented an ingenious if complicated scheme which he believes will get around the Internet gambling problem.
The cafe sells long-distance phone cards that are loaded with sweepstakes points that players can use to play casino-type games online - and win cash - on the Internet cafe's computers.
The state attorney general says it's illegal gambling, and the local prosecutor is investigating.
But the operator claims it's a legitimate business promotion plan, no different from instant-win twist-off caps on a soda pop bottle, aimed at boosting sales of their legitimate products: phone cards and Internet time.
Wyoming is one of eight states where these sweepstakes are played; the others are Alabama, California, Florida, Hawaii, Massachusetts, South Carolina and Texas.
Customers at the Casper cafe can buy either Internet time by itself or a combo deal - $5 for a 100-minute phone card, one hour of Internet time and 100 sweepstakes points. Those points can be used only to play games on the cafe's computers. Points won playing those games - the games pay out on average 92 percent - can be redeemed for cash or for more long-distance time.
The games themselves mimic casino games. Keyboards don't sit in front of the screen, but are stashed in a floor-level basket, as players seem to prefer the touch-screens. The games have full casino sound effects.
William Consterdine, vice president of Extreme Insured Products, which distributes the games, understands why at first glance people might see the Internet Cafe as a casino.
But, he said, there's one key distinction.
"It's a free game," he said. "When a person comes in and buys a phone card from us, if they want to sit down and use their sweepstakes points to log on to our games, they can. If they don't want to, they don't have to. They can take their phone card and leave."
What's more, he said, the sweepstakes points cannot be traded for cash or merchandise, they can only be used to play the games. The points won playing the games cannot be used to continue playing, they can only be redeemed for cash or merchandise.
"A traditional slot machine, you walk in, you put $20 into it, you win, lose, win, lose - you're playing your money back and forth," Consterdine said. "Our system doesn't work that way at all. The only way that you can, basically, continue to play our sweepstakes game is you have to buy more product from us."
And that, Consterdine said, is what it all comes down to. Internet Cafe and other similar businesses are selling legal products. The sweepstakes is just a promotion.
Wyoming Attorney General Pat Crank disagrees, saying the computers used in the sweepstakes appear to be thinly veiled gambling devices, comparing this to putting a pay phone on the side of a slot machine.
Bob Jarvis, who teaches gambling law at Nova Southeastern University in Fort Lauderdale, Fla., said the classic definition of gambling is that someone gives up something of value to take a chance at winning a prize. "If I were a prosecutor, I would simply make the argument that this is not a legitimate business promotion because the Internet Cafe is not being used primarily that way," he says, adding that how customers use the legitimate products, how the sweepstakes games appear and how they're promoted - could become relevant if the case goes to court.
"Certainly there's a chance involved, because they only pay out 92 percent," Jarvis said. "You're trying to win something of value, which are the credits, or the points, which you can then go and redeem at the cash register for money."
"The question is," Jarvis said, "are they risking anything?"
Carl Mahs, of Fort Worth, Texas-based Game Systems Inc., which designs the game software, insists there's no risk involved. Sweepstakes points come free with the purchase of a phone card, and people can enter the sweepstakes either online or by mail without making a purchase.
Weird things happen in sportsbookland it would appear from recent reportage at The Offshore Wire.
Apparently the (clearly) popular domains onlinesportsbook.com and online-sportsbook.com were recently sold for an undisclosed amount by Sandy Maselli's Total Entertainment Inc. The buyer was allegedly Olympic Data Services Limited but once the price had been paid things seemed to go awry, because there was apparently a second sale of the same urls to SBG Global.
How this came about is not presently known, but will no doubt be revealed once The Offshore Wire has completed its investigation.
The fact that it happened without being picked up in DD procedures is puzzling, but SBG management has vowed that it had no idea the assets had already been sold to someone else, and described the double trouble as "....a terrible situation for everyone" prior to opening talks with Olympic. It looks as if there may be a good chance of a negotiated solution because SBG is reported to be prepared to correct the embarrassing, not to mention annoying sale-on-a-sale.
A million customers, record turnover and big ambitions
2004 was a bumper year that ended with a record breaking final quarter according to Bet and Win.com Interactive Entertainment AG, the Vienna-listed online gambling group that has just released its quarter 4 / 2004 results with the following highlights:
Record quarterly turnover of EUR 314 million, up 150 percent
Record quarterly gaming revenues of EUR 18.6 million, up 130 percent
EBITDA of EUR 4.6 million, up 81 percent
Q4 consolidated earnings after tax of EUR 2.8 million, up 104 percent
Consolidated results for the financial year 2004 are looking good, too:
Annual turnover of over EUR 856 million more than doubled compared to previous year, up 114 percent and 127 percent respectively
EBITDA of EUR 6.9 million, up 6 percent despite aggressive marketing campaigns (almost EUR 7,4 million in the quarter, EUR 23.5 million over the year)
Accumulated figure of over 1 million registered customers - a total of 119,069 new registrations were recorded in Q4 alone.
Liquid assets of over EUR 33.5 million as of 31 December 2004 up 32 percent
Employee head count up at 206
Managemant report that the group will continue to pursue growth, focusing on continental Europe. In the light of events in the first few months of the current financial year, betandwin is taking a bullish view that it will once again be able to achieve at least triple-digit growth rates in turnover, revenues and registrations in
2005.
Intensive marketing has been implemented with a view to acquiring new customers in markets such as Turkey, Spain, Poland and Scandinavia, where Bet and Win is likely to gain considerable new market share.
Extensive use is being made of new technology in the distribution of the services and games offered by the group, including an entirely revolutionary betting format developed as a result of a joint venture with Premiere Fernsehen GmbH, Austria.
Premiere’s Austrian customers will be informed of the current betting
odds projected on screen live in real time, and can place their bets on decisive moments and match results via SMS, WAP and Internet. Live betting will be available for all the live sporting events broadcast by Premiere Austria.
In the P2P applications area, "Poker Lounge" will be steadily expanded and marketed following the successful launch of this product, and the company will be
taking another step in the expansion of its product portfolio with the introduction of games of skill such as backgammon, chess and select regional card games. In the "soft" games category, currently comprises seven games, this will be significantly expanded to 20 games, probably by autumn 2005.
B&W has also relaunched an expanded live betting tool, with significant improvements to both design and navigation and a means of placing combination bets introduced. Audio commentaries are also played for selected matches. The necessary technical equipment for video streaming has also been installed. In line with many suggestions from betandwin customers, each live betting event now has its own chat room where betandwin live betting customers can exchange views.
With over a million registered customers, and operating under licences issued in Austria, Germany, the United Kingdom and Gibraltar, the company’s subsidiaries and affiliated companies now offer sports betting, casino games, soft games, and person-to-person applications via Internet and mobile telephone.
Arizona college students trying to supplement their allowances with online gambling coups were the among those targeted in an article in the Arizona State University Web Devil student publication this week, pointing out some interesting items in the Student Code of Conduct.
The Student Code of Conduct (available at www.asu.edu/aad/manuals/sta/sta104-01.html) is a lot like a dictionary: It's there, but not enough folks use it. Yet, says Web Devil hundreds of students are busted every year and even everyday activities can be violations of the code.
One aspect of the code of conduct concerns gambling - students are prohibited from gambling on sporting events, and cannot gamble "...in a computer account or electronic format, any card, book or other device for registering bets."
That means they're not supposed to participate in online poker tournaments if money is changing hands. They can't place sports bets on the Internet. And they shouldn't even round up a couple friends on Friday night for an old-fashioned poker game where hard cash is involved.
Web Devil argues that better knowledge of the code is essential. Most students have participated in at least one of the forbidden activities at one time or another, and knowing what activities can be punished puts things into better perspective.
Students must take responsibility for their actions and become familiar with what's considered appropriate behavior, opines Web Devil. But by the same token, administrators need to do a better job informing students about possible violations of the code of conduct. Professors hand out syllabi and plagiarism policies on the first day of class. Why not give out copies of the code of conduct?
The article ends on a cautionary note. Even though the code is chock-full of legal jargon and could put an insomniac to sleep, ignorance won't be an adequate excuse for those charged with a violation
A stunning example of how the big guys play and pay was on hand early this week, when the celebrated English bookies Victor Chandler and Fred Done of BetFred finalised a GBP 1 million bet.
Late last year, reportedly on a handshake the two struck a million sterling match bet on which team would come off better in the UK Premiership football campaign - Manchester United (The Reds) or Chelsea (The Blues)
Done's money was on the Reds, but it was Chelsea that prevailed, and living up to his legendary reputation Done is reported to have strolled nonchalantly into a Chandler shop and laid down his cheque for a million.
Return to Top QUICK ACTION ON UK GAMBLING COMMISSION
15 April 2005
New governing body will be a reality "...in months"
The British government was quick to follow up on the the success of its gambling reform legislation this week, revealing almost immediately that it was already busy setting up a new commission to regulate gambling, including bets made on the Internet.
The Gambling Bill, which overhauls Britain's outdated gaming regulations, had passed Parliament and become law the previous evening. Officials said that they hoped to have the new controlling commission up and running "...within months" and that a body of some 100 investigators will be established to regulate the industry.
A major focus of the legislation is to regulate online gambling, which has become increasingly popular in recent years. Online casino companies will be allowed to operate from Britain for the first time.
Although the new commission will not have the power to regulate the practices of online casinos operating outside Britain, it could ban them from advertising here, the Department of Culture, Media and Sport said.
"The commission will regulate all forms of gambling," said department spokesman Anthony Wright. "It will have the power to carry out investigations, bring about prosecutions, levy fines and void bets they consider unfair. Online casino operators can operate out of the United Kingdom for the first time. We believe that is a pragmatic response to what is an increasingly popular activity."
Noted since 2003 for their top Japanese language Support for players using the English version of King Neptune's Casino gambling site, the casino is now offering the full site and games in Japanese, created specially to meet strong demand from Japanese clients.
The initial system is on the facilities-rich Microgaming Viper platform and provides 50 games in Japanese including the most popular video slot Thunderstruck, plus a further 100 games part translated in Japanese and part temporarily in English. All of the game descriptions are in Japanese. The games currently offered in English are in the process of being converted to Japanese and will gradually replace their English versions in a seamless process that will not effect players' enjoyment.
"Our Japanese players expect the very best from King Neptune's Casino. We have worked closely and diligently with the Microgaming Translation Development team to ensure we deliver the most accurate product possible," says Scott Gaines, Trident Entertainment Group's spokesman. "We have full Japanese in-house support and anticipate having the remaining games converted to Japanese within the next few weeks."
To celebrate the Japanese casino launch King Neptune's Casino kicks off with a 7-day Mega-Marathon jackpot promotion available exclusively to Japanese clientele. The jackpot will start at $2,500 with $1 added for every game played by every player on either the new Japanese version or the existing English language version. 50 lucky players will compete for a share the final Jackpot Marathon which will run from Wednesday April 13 to Tuesday April 19.
For a set minimum bet, players at Ladbrokes.com can watch any At The Races broadcast for free thanks to the wonders of live video streaming. Ladbrokes and At The Races have teamed to provide the new service. "Bet and Watch" streams through a popup window that is activated two minutes before each race start time and spans 10 minutes.
Monopoly from Wagerworks
The developers at Wagerworks have been busy judging by the recent debut of the software provider's latest interactive television game, On a Roll. The game, branded "MONOPOLY - On a Roll," debuted recently on the Sky Vegas interactive portal on the UK Sky digital platform. Based on WW's Internet game of the same name, On a Roll allows players to bet on favoured properties and then roll the dice to see how much they win. Cash prizes are paid to those who land on their chosen properties or on any one of four bonus spots, including free parking and jail.
Monkey business...
There was more guerilla marketing this week as Golden Palace casino paid $650,000 for the right to name a foot-high primate, online auction house CharityFolks.com announced Wednesday. GoldenPalace.com won a March 3 online auction that raised money to help manage Madidi National Park in Bolivia, where the species of titi monkey was discovered by a Wildlife Conservation Society scientist last year.
iTV and Mobile combo from Ericsson
Telecommunications giant Ericsson claims it has developed a platform through which an existing interactive TV format can be fully aligned with mobile devices with multimedia capabilities. If that sounds complicated, the announcement goes to describe the application as: "... viewers can interact with TV shows by using their mobile devices." The company says the solution turns mobile devices into interactive remote controls when the users are sitting in front of TVs. The interactive mobile TV application was developed in cooperation with partners conVISUAL and CTcommunology.
"Poker Fan" Launched by Sports Direct.
Yet another poker magazine has launched, this one from gaming publisher SportsDirect, titled PokerFan.com.
The new publication claims to be an online resource for everything from tutorials for beginners to advanced strategy for experienced players. Readers will be able to learn the basics of popular Poker games such as Texas Hold’em as well as learn advanced techniques on bluffing and Poker tournament strategies and a forum.
Exclusive content and columns from Poker professionals and writers will be regularly presented, with poker commentators such as Dave Scharf and Devin Armstrong as contributors. Staff writers and special guest columnists will report live from top poker tournaments around the world.
Demonstrates how the US is out of step with much of the world, says trade association.
Two developments last week demonstrate how the United States is out of step with much of the world when it comes to handling the challenges posed by online gambling, the Interactive Gaming Council said in a press release following the successful passage of the UK Gambling Bill.
One was the passage of the United Kingdom gambling reform legislation and the other was the final decision of the World Trade Organisation regarding Antigua’s complaint that the U.S. prohibition of Internet gambling violates U.S. commitments under the GATS, the General Agreement on Trade in Services.
The reform of the UK’s antiquated collection of gambling laws includes provisions for licensing and regulating remote (interactive) gambling to include Internet casinos, sportsbooks, betting exchanges and poker. The law creates a powerful new Gambling Commission that will have the authority to ensure that licensed remote gambling businesses are operated fairly. The Commission will also ensure that criminal activity such as money laundering is prevented and that players are protected by harm minimization measures, not the least of which are blocking minors from gambling at these sites and mitigating problem gambling.
“This long-awaited reform in the UK is a huge step forward for the cause of regulated remote gambling,” said Rick Smith, executive director of the IGC. “Finally a first world government, one that has successfully regulated terrestrial gambling for years, is taking responsibility for the regulation of this rapidly growing form of gambling. Rather than fighting it, as is the U.S. approach, or pretending it will go away, the British are stepping up to the challenge of regulation.”
The second new development is the WTO decision, which followed an appeal of a ruling by a WTO panel in November 2004. The final decision affirms the key point of the earlier WTO ruling that the U.S. commitment to free trade under the GATS includes a commitment for gambling and betting services. The WTO also indicates that federal laws such as the Wire Act – an anti-gambling law enacted long before the Internet – may be legitimately claimed by the U.S. as “necessary to protect public morals or maintain public order.” Under the GATS, a country can exempt itself from a free trade commitment if it can prove that its laws serve such a purpose.
But the WTO adds that because of the Interstate Horseracing Act, the U.S. does not consistently apply its prohibitions against “remote betting services for horse racing.” Foreign and domestic suppliers of these services are treated differently, the ruling says, and that violates the GATS. An amendment passed in 2000 to the Interstate Horseracing Act permits interactive wagering on horse races. Although the U.S. Department of Justice disagrees with that interpretation, U.S. companies today offer interactive wagering on horse races.
“Although it obviously is concerned with the question of equal treatment of foreign and domestic betting services, the WTO’s focus on the Interstate Horseracing Act is a reminder of how the U.S. treats interactive wagering on horse races differently from interactive wagering on casino games,” said Keith Furlong, deputy director of the IGC. “Our organisation believes that the Internet is simply another means of delivering the gambling product. If a country legalizes and regulates a type of gambling in the real world, it should legalise and regulate the same type of gambling when delivered via an alternative medium.
“It’s hard to predict what changes the U.S. will make to conform with its GATS obligations, or whether it will risk flouting the WTO by ignoring a ruling that it doesn’t like. But this ruling helps to make the case for regulated interactive gambling in the U.S. by putting pressure on policy makers to reconsider their inconsistent, ill-advised approaches.
“Meanwhile, the UK will be setting an example of how this industry can be properly regulated so that consumers can be protected and society’s interests can be served. Our members want to be licensed, regulated and taxed just as the mainstream gambling industry is in most countries.”
HAMPTON AND PORTOFINO CHANGE HANDS AGAIN
15 April 2005
RTG-powered online casinos bought by private equity fund
Private equity fund Rising Star Gaming Ltd. and Hampton Portofino Group have announced the sale of Hampton Casino.com and Portofino Casino.com to the former.
Under the terms of the agreement 100 percent of the shares in Hampton Portofino Group, S.A. will be transferred to Rising Star Gaming, Ltd in return for an undisclosed cash payment.
Hampton Casino and Portofino Casino were launched in the summer of 2000 and have had a chequered history involving player disputes, particularly the high profile, million dollar plus Pirate of the Caribbean affair.
Only a few weeks ago Connect To Casino advised that effective 1 March it no longer has any relationship with either Portofino or Hampton casinos, having sold its interest to World eGaming. Googling that title revealed that the new owner was Windows Casino investor Avi Goldman.
Rising Star Gaming investor spokesman George Klein says the new owners are committed to offering superior customer care and exciting user experience. The company plans to launch Hampton Portofino Partners, a new affiliate program that will not only offer revenue shares as high as 50 percent, but will also pay affiliates $25 for every new player that they deliver to the casinos.
Rising Star Gaming is a private equity fund focused on acquiring and managing companies that provide gaming entertainment services on the internet. According to Klein, Rising Star Gaming is pursuing an aggressive acquisition strategy to build up a solid and diversified asset base prior to a planned initial public offering.
Answering specific InfoPowa questions, Klein said that Hampton and Portofino would continue to use Real Time Gaming software and that the current management team would stay in place. He also revealed that RSG would continue to operate on a Costa Rican business licence although there may be a move to a European jurisdiction on the cards.
As we went to press several sources reported that Rising Sun was also engaged in negotiations to purchase Windows Casino, an RTG-powered operation in which Tony Friedman and Avi Goldman have interests.
CasinoEuro.com is about to celebrate the Northern Hemisphere Spring by launching a completely new and redesigned site with new exciting no download games powered by Swedish provider Net Entertainment. Hi-roller Baccarat, Craps and Pai Gow are the new additions. The word is that CasinoEuro plans on starting a poker room soon, too although we have no information on what software this will use, or whether it will join one of the larger networks.
Royal Sports.com has been the subject of caution flags at several watchdog sites this year after reports of payout difficulties, but this week the issue escalated to alarming proportions with allegations of attempted intimidation of a well known and respected watchdog site owner, John Walker and three of his Sports Book Review.com (SBR) staffers.
Bill Dozer and colleagues at Sportsbook Review.com (SBR) had earlier downgraded his rating for Royal Sports to a dismal D+ and has been monitoring complaints about the payment and promo activities of Royal Sports for some months.
Among issues SBR has studied is a restructuring project in an attempt to fix business weaknesses, and a case in a Dutch court in which an American player is alleging misconduct over a $50 000 claim which could now be heard in Costa Rica, where Royal Sports recently relocated from Curacao. Another case involving over $16 000 owed to an affiliate was also reported.
The intimidation took place in Costa Rica, where Dozer was visiting his staff and went unannounced to the offices of Royal Sports on the same floor of the Oficentro Building as Virtual casino group owner Tej Kohli, an operator with a chequered reputation.
Kohli is alleged to be the owner of Royal Sports, according to Roberto Castiglioni, a senior executive who was previously the CEO of the site and who now runs a watchdog operation. This has been confirmed by Royal's current management.
Apparently Kohli has denied ownership and asked for the chance to make a statement to this effect but then did not do so. Royal has not denied that Mr. Kohli is involved and current Royal management has not made a statement, but it is known that he is the majority, if not sole, owner from information supplied by the former CEO..
Dozer was denied access to the Royal office, and the fireworks started when he and his companions went to a local restaurant and found their car blocked in by a large vehicle and some scary, gun-toting heavies.
Fortunately, someone sounded the alarm and these thugs were arrested without further incident by heavily armed Costa Rican police. The SBR report says, "SBR appreciates the remarkable response time and overwhelming force employed by Costa Rican police."
Royal Sports has apparently now declined to issue a *corrective* statement as promised, leaving little doubt that the original report by SBR was correct and Kohli is involved in Royal Sports.
The SBR report goes on to say that, "Tactics of intimidation threaten the industry and give critics of gaming in Costa Rica fuel for their argument that gaming attracts thugs, organized crime and other undesirables."
When InfoPowa went to press it was not clear what had happened to the thugs arrested in this incident, and Dozer declined to comment any further than the information he had posted on his site saying, "SBR has made the decision not to speak about the incident in detail. We still have employees in Costa Rica and must consider their safety. This is a matter we are now leaving to the authorities."
BODOG SPONSORING ONLINE POKER MOVERS AND SHAKERS GATHERING
15 April 2005
eGaming Review's Power 50 Summit takes place later this month
Top people in the online poker business will be flying in to London, England later this month for an important event. The US focused online gamblíng group, Bodog is sponsoring eGaming Review’s Power 50 Summit this year that will be attended by the 50 most influential execs in the online poker and gamblíng world.
Scheduled to take place at Brocket Hall Estate outside London, the summit runs from April 24th – 26th 2005.
Bodog Founder and CEO Calvin Ayre was named by eGaming Review in its initial Power 25 list last year. “We are looking forward to the Summit,” notes Ayre. “It is a great opportunity to network with our peers, and take the online poker and gaming industry to a new level of quality and entertainment value for our players.”
Later this summer, Bodog will bring industry leaders together again at the Bodog Poker and Sports Marketing Conference. Scheduled for July 6 th and 7 th 2005 in Las Vegas, the Bodog Conference attracts the top names in online sports betting and poker, including major online gamblíng operators, handicappers, affiliates, advertisers, and suppliers.
One of the pioneers in the field, Bodog.com is the top ranked US facing online gamblíng brand, with highest site traffic amongst US gaming web sites according to Hitwise.
One of the more staisfying reports this week came from the UK newspaper The Telegraph which reported that a man accused of sending 10 million junk e-mails a day has been sentenced to nine years in prison by an American court.
Jeremy Jaynes, 30, who it was claimed is among the top 10 e-mail 'spammers' in the world at the time of his arrest, used the internet to peddle pornography and sham products and services, prosecutors said.
GOLDEN PALACE GOES FOR INSTANT PAYMENT STRATEGY
15 April 2005
Citadel Commerce partnership to speed payments
Citadel Commerce Corp, a specialised Internet payment processor, announced this week that Golden Palace.com is offering its myCitadel product as an instant payment option on its websites.
Without charging any fees or sharing any personal banking information, myCitadel allows users to store real cash online, easily transfer funds into a myCitadel wallet directly from a bank, transfer funds to a bank account, and purchase from participating Internet merchants. Banking and personal details stay within a confidential myCitadel wallet and are never provided to any third parties.
myCitadel allows consumers to create accounts in real time, to deposit funds via popular deposit methods, and to make instant purchases at participating merchants, all at no cost to the consumer. For merchants, myCitadel provides guaranteed funds, free payouts, and a tiered rate structure based on the payment history of the consumer. MyCitadel provides merchants access to a large database of consumers that are actively utilizing myCitadel and Citadel Checks as their primary payment methods.
"We are extremely pleased to introduce myCitadel as a payment method," said GoldenPalace.com CEO Richard Rowe. "Including myCitadel as a method of payment will expand our range of service and help us cater to more players' needs."
Citadel Commerce Corp is located in British Columbia, Canada, with a subsidiary in Gibraltar.
$100K UP FOR GRABS WEEKLY AT POKER SITE
15 April 2005
New weekly tourneys at Bodog are guaranteed
Online gambling group Bodog has boosted interest in their popular poker room with a $100,000 guaranteed weekly online poker tournament that will payout $100,000 every week regardless of how many people register and play.
Qualifying poker tournaments run at least twice daily, and on Sunday the final event enables online poker players of all skill sets to get their chance at a big money prize.
“Bodog Poker is currently offering guaranteed poker tournaments with prize pools totaling over $1.5 million per month. Our players especially enjoy the thrill of competing in the Sunday afternoon $100,000 Finals,” reports Calvin Ayre, Bodog founder and CEO.
Players can enter the weekly online poker tournament in three ways. They can buy-in directly with tournament credits or cash for $109 and they can win their entry by qualifying in a daily 'Cheap Seat' or 'Semi-Final' online poker tournament.
Full details, entry options and schedules are at Bodog’s Online Poker Room.
Industry enthusiasm for mobile gaming was in evidence again this week in the publication of a report from SportBusiness Group titled "Mobile Technologies: Opportunities for Sport" which predicted that global mobile subscribers will increase by around two-thirds over the next five years, passing the 2.5 billion mark.
The report says that mobile technologies "....offer a unique and increasingly important channel for sport" and that the ".....universal availability of the mobile phone and its phenomenally successful market penetration enables sport businesses to reach a much wider audience than is achievable through either broadband or interactive TV."
On the technology front the study says that new, higher speed mobile networks are yielding enhanced levels of functionality and new services are regularly being added to the mobile portfolio. Combined with the inherent convenience of anytime, anywhere accessibility, mobile is becoming an essential medium for delivering sport services.
Concurrent with its brand new look following an extensive revamp (reported in previous InfoPowa bulletins) VIPCasino.com has launched its pioneering VIP Premium Club, a multi-tiered reward program designed to "....redefine online casino customer rewards."
The new program is multi-tiered to attract high roller and more entertainment oriented gamblers alike, and has four groups (Bronze, Silver, Gold and Platinum), each determined by the number of Comp Points the player has earned throughout the previous month.
Each tier will feature special promotions tailored to casino points, such as free cashback, match deposits and bonuses based on comp points earned, and carries the promise that there's something for everyone.
"This new loyalty club has been produced to help players earn more," says Kate Berkeley, Manager of VIPCasino.com."VIPCasino.com values its customers and the program is a great way of rewarding their loyalty, regardless of how much they spend."
The excellent publication Silicon.com carried some useful information on the British online gambling market this week, reporting that the industry continues to grow at a rapid pace, with the increasing availability of broadband technology playing an important role.
Quoting internet research company Nielsen//NetRatings, the article reveals that the online gambling audience in the UK has increased by 45 percent over this time last year, with 3.2 million visits to gambling sites in February 2005.
The National Lottery is the most popular gambling site for punters, with over 1.3 million visitors trying their luck from home this February alone, making it one of the top 40 most visited sites in Great Britain. William Hill came in second, followed by Party Poker.com. Overall growth has been driven by a range of gambling, betting and online casino sites, and not just by the National Lottery.
Gabrielle Prior, European internet analyst at Nielsen//NetRatings, said: "We expect to see this category continue to grow as advertising attracts consumers and the sites add more and more games and prizes. "We know from earlier survey work that UK gamblers like the speed and convenience of betting online, and as the broadband boom continues, we expect more people to try online gambling."
Seventy five percent of UK gamblers were using a high-speed connection, spending an average of 20 minutes online each time. Users on slower connections spent 29 minutes online on average.
Across Europe, more than 14 million people - about 14 percent of those online from home - visited a gambling or sweepstakes site in February.
Gambling and sweepstake sites were most popular with French and Swedish surfers, but have yet to make a mark in southern Europe, with less than 10 percent of Spanish and Italians logging on to gamble, the research firm said.
According to Nielsen//NetRatings, the top websites accessed by UK gamblers from home are:
CHINESE ANTI-GAMBLING BLITZ CONTINUES
15 April 2005
Shanghai police bust 28 year old ringleader
Agence France Presse reports that the Chinese war on gambling continues unabated, with fresh police raids across 22 mainland provinces this week.
The latest busts involve an online football betting organisation linked to Taiwan syndicates resulting in charges of accepting “...tens of millions of yuan” in bets on football matches at the mainland operation run out of Shanghai's Xuhui district, the Wenhui Daily reported.
Some 24 people have been implicated in the case, with police confiscating 1.03 million yuan (US$120,000) and estimating that the gang collected bets worth 90 million yuan in its year-long operation.
College graduate Yuan Min, 28, has been accused of being the ringleader and has been charged with setting up a “pyramid-like betting system."
Police confiscated the gang's computers and cars when the top four operators were arrested.
The investigation follows a central government order to clean-up the football industry after players walked out of matches and clubs threatened a boycott over rampant gambling and crooked referees in the professional Super League last year.
In January, police arrested a gang running an Internet football gambling syndicate out of Beijing which had some 96,000 punters who placed 230 million yuan in bets on football matches in a year.
HOLLANDER IS WILL HILL'S FIRST PLAYER OF THE MONTH
15 April 2005
Inaugural trophy is part of European Poker Rankings sponsorship
Holland's Rob Hollink has been voted winner of the inaugural 'WilliamHillPoker.Com European Poker Tour Player of the Month' for March 2005 by a panel of esteemed judges.
As part of its official sponsorship of the European Poker Rankings, WilliamHillPoker.Com awards the title of "Player of the Month" and a trophy to the player judged to have had the most outstanding performance on the European Poker Tour (EPT) in the previous month.
Hollink, who hails from Groningen, had an outstanding March when taking home the first prize of Euro 635,000 in the EPT Grand Final in Monte Carlo - his first EPT event after previously winning 6 World Series of Poker (WSOP) events and 1 World Poker Tour (WPT) event. The win lifted him from 81st to 9th in the Rankings, and to 1st in the EPT all-time money list.
Runners up for the March 2005 title were: Richard Gryko (four final table finishes in Austria), Brandon Schaefer (runner up to Rob Hollink in Monte Carlo, winner of the French Open in Deauville) and John Falconer (winner of two ranking events in March, including the Irish Open)
Phil Quayle, William Hill's Poker Room Manager said "March proved to be an outstanding time to launch our 'Player of the Month' award. With action in Monte Carlo, Vienna, Dublin, Stockholm and London's Vic we knew there would be plenty to choose from...but the choice was still exceptionally hard to make.
The awards judging panel will convene monthly to vote on the player of the month. The short-list will be selected based upon their results and placings in the previous month and their movement up the rankings list .
Current Rankings powered by www.pokerineurope.com for 2005 can be viewed at:
WilliamHillPoker.Com hosts in excess of 10,000 players daily and offers the a wide range of cash tables, single - and multi-table tournaments, daily cash tournament guarantees of over GBP 30,000, and now World Series of Poker satellites.
'Poker 425 ' is broadcast at 11pm each Wednesday night on Sky Channel 425, and repeated at the same time nightly throughout the week with news features, player interviews and pro-player tips from the European Poker Tour.
WILL HILL RECORD IN MAJOR UK HORSE RACE
15 April 2005
71 percent increase in bets
William Hill, a fixed odds bookmaker in Britain, smashed all previous known records for the number of bets accepted in a single day on remote channels, internet and telephone, on the build up to this week's John Smith Grand National, a major English horse race event.
At peak times, Hills successfully managed over 25,000 concurrent online users, accepted more than 300,000 individual bets and answered more than 112,000 telephone calls. "All in all, it was the biggest individual betting day in history, bar none," said David Hood, Director Of Public Relations at William Hill.
The sheer volume of business and demand from concurrent users means Grand National Day has always provided the off-course betting industry with its biggest annual test. In the past it has often proved too demanding for the IT infrastructure of some bookmakers, including one or two of the leading high street brands.
However, through their continual investment in IT and telephone technology William Hill handled the increased business with aplomb. On Saturday, the FTSE 100 quoted company successfully managed an 11.7 percent increase in the number of answered telephone calls and an incredible 71 percent increase in the number of bets taken on one of its dedicated internet sites, William Hill Grand National.com.
At peak times Hills employs over 600 telephone customer service agents, spread among three call centres in two cities. From an opening time of 8am on Saturday, right up to the start of the Grand National at 4.10, Hills successfully answered more than 112,000 individual telephone calls which it believes to be almost double the successful call acceptance of its competitors.
On the Internet, Hills also sets the benchmark for the industry by successfully handling well in excess of 300,000 individual bet transactions. To ensure that the main sportsbook website, William Hill.co.uk was not impacted upon by new account registrations, Hills operated a dedicated 'sister site', William Hill Grand National.com to which new registrants were directed. This site alone, handled almost 30,000 (a 95% increase from 2004) in new account registrations, with a 71 percent increase in the number of bets placed.
Bodog.com Poker and Sports Marketing Conference is the next big conference after GIGSE and will run July 6 and 7, 2005 at the Mandalay Bay Convention Center in Las Vegas, Nevada.
Coming off of the overwhelming success of the 2004 Bodog.com Conference, once again Bodog.com is bringing together the industry's top minds and opinion formers.
"Last year's conference was a spectacular affair, and with the current rise in poker we felt that it was imperative to not only incorporate poker into the conference, but bring in former World Series of Poker Tournament Director Matt Savage," reports Calvin Ayre, Founder and CEO of Bodog.com Sports Casino Poker."
Once again Bodog.com is leading the charge, not only to educate the industry, but to have the most prolific event available for advertisers, affiliates and the media. In addition to Matt Savage, legal expert Dr. Joseph Kelly, whose rousing presentation was one of many highlights last year, will be speaking again this year in light of many new developments in the world of online gaming. Bodog.com Founder and CEO Calvin Ayre will also be present at the event, discussing some of the unique, cutting-edge marketing campaigns which have helped push the Bodog.com name into mainstream markets. Registration for the event is now open, along with a limited number of exhibitor's spaces. Register here http://www.bodogconference.com/register.html
Multi Platform Gambling Forum
One of those well organised ATE conferences falls shortly after GIGSE, too when the Multi Platform Gambling Forum takes place June 28 and 29 at the Royal Garden Hotel in London, England.
This two-day conference takes an in-depth look at the rapidly expanding spread of gambling content across multiple platforms from the traditional coin-operated market, through Internet, mobile and iTV to the latest genre of kiosks and entertainment terminals.
Comprising leading exponents from long-established firms in this space together with the latest market entrants, the Forum will mix traditional gambling suppliers and operators with key agents in delivery, software development, brand licensing, marketing and strategic planning, new media consultants and IP legal specialists. A balanced mix of technology- and marketing-driven sessions will be reinforced with case studies highlighting current successful collaborations and projected future scenarios.
Return to Top SO WHO REALLY WON IN WTO DISPUTE?
8 April 2005
Antigua and The USA both claim victory
Both sides in the USA vs Antigua WTO dispute were claiming victory yesterday following the release of the long awaited appeal hearing on Antigua's claim that US restrictions on Internet gambling went against its WTO agreements.
According to the Associated Press assessment, the United States can keep some restrictions on Internet gambling, the World Trade Organisation appeals panel found, but it also concluded that some U.S. legislation discriminates against foreign operators.
Both sides — the twin-island nation of Antigua and Barbuda in the Caribbean and the United States — claimed victory in the dispute over whether Washington should drop prohibitions on Americans placing bets in online casinos.
In its 138-page report, the appeals panel said the United States had demonstrated that the 1961 Wire Communications Act — which was written to cover sports betting by telephone and has been used to intimidate some Web site operators — "...was necessary to protect public morals or maintain public order."
But the panel found against Washington in another respect, saying it failed to show that the Interstate Horseracing Act was applied equally to foreign and domestic remote betting services. Unequal application of the law would contravene international trade rules.
Mark Mendel, legal counsel for Antigua in the case, said the WTO ruling means U.S. authorities will have to treat Antiguan online casinos in the same way as traditional gambling outlets.
"At the end of the day, Antigua continues to win," Mendel said. "It is clear cut. We won on all the major points."
But acting U.S. Trade Representative Peter Allgeier said the United States had won the case and was entitled to maintain its restrictions on Internet gambling.
"We are pleased that the appellate body has agreed with our position that the U.S. gambling laws at issue here protect public order and public morals," Allgeier said. "U.S. restrictions on Internet gambling can be maintained. This report essentially says that if we clarify U.S. Internet gambling restrictions in certain ways, we'll be fine," Allgeier said.
There is no further appeal to the ruling. Mendel said that although the ruling relates only to Antigua, the precedent may have far-reaching implications.
From initial assessments, one thing is clear - despite its claims to victory the US will have to "tweak" or as the representative said "clarify" some of its laws in terms of the ruling.
The appellate body reversed the initial panel decision when it found that the United States could use federal gambling laws to "protect public morals or maintain public order."
That interpretation allows the United States to be exempted from WTO rules for trade in services, the U.S. Trade Representative said.
But in order for the exception to apply, the appellate body said the United States needs to "clarify" rules under the Interstate Horseracing Act, a federal law that several states have used to legalise Internet gambling on horse racing.
Attorneys for Antigua said it will be difficult for the United States to use a morals defence because it already allows Internet gambling on horse races.
Antigua's lead attorney, Mark Mendel, acknowledged the possibility of the United States merely tweaking federal laws and said his client was willing to start the "whole process" over if the changes were insufficient. "But we'd like to see a negotiated compromise that allows Antiguan operators to provide limited services in the U.S. that are subject to supervision," said Mendel
Further negotiation therefore seems to be the most likely option.
Antigua filed the case before the WTO in 2003, contending that U.S. restrictions on Internet gambling violated trade commitments the United States made as a member of the 148-nation WTO.
U.S. trade officials disagreed, saying that negotiators involved in the Uruguay Round of global trade talks, which created the WTO in 1995, clearly intended to exclude gambling.
Some have been paid in full, others not...and still no communication
The highly questionable and widespread bonus disqualifications left behind by Integrity Casinos management following the sale of the group to Casino Rewards last week continues to generate criticism and negative speculation.
Several players posted that they had been paid in full when their accounts were unlocked by the new management, but at least the same number continued to experience problems with missing bonuses. And there are those players who do not use the fora and who are therefore presently outside the ken of the public.
In this confused scenario, calls for the new owners of Integrity to communicate with the player community and clarify their intentions regarding the disputed disqualifications and the fate of players ignorant of the avenue of complaint presented by the message boards have so far gone unheeded.
The situation is being further inflamed by the three Integrity casinos bombarding already furious players whose disputes have not been resolved with more promo invitations, probably not the smartest of marketing moves.
The fair resolution of the debacle created by these so far unjustified disqualifications is a solid opportunity for Casino Rewards to prove that it is "integrity" driven and committed to fair and honest treatment of all players.
Last minute political horse-trading gets the Bill through
The highly contentious and much revised UK Gambling Bill was on the last lap to becoming law as we went to press.
The Bill was approved by the House of Lords after the government scaled down plans for eight regional "super-casinos" to just one.
It completed all its Lords stages on Wednesday and is set to become law when it returns to the House of Commons, probably after the weekend.
The bill appeared doomed until Culture Secretary Tessa Jowell struck a deal with the Tories to create just one "super" casino. It now looks likely to be approved before Parliament is dissolved next Monday for the general election, with the provisions regarding online gambling seemingly intact.
Given a third reading without a vote, the new law will allow casinos to open 24-hours-a-day with unlimited jackpots. It will also introduce compulsory age checks on gambling websites, set up a new Gambling Commission to police the industry and create a new offence of permitting a child to gamble.
The location of the new "super casino" will be decided by an independent panel.
The Gambling Bill originally included plans to allow an unlimited number of such casinos. But the plans were reduced to eight following pressure from Labour Party backbenchers and charities, and the looming threat that the Tories could make it an election issue finally brought it down to one.
Shadow Culture Secretary John Whittingdale said that the establishment of the Gambling Commission and the regulation of internet gambling are "...necessary and uncontentious”, adding that the provisions of the bill relating to land casinos remain highly controversial and have not had proper scrutiny in parliament.'
The iGaming industry was delighted with the news that the UK will regulate online gaming, having been concerned that the bill would not be passed in time. Andrew Tottenham of the Interactive Gaming and Betting Association (IGGBA) said: “The bill will go through unchanged and it looks very, very good. It means a first world jurisdiction will be legalising and regulating remote gambling. It will have enormous implications for the industry worldwide."
JACKPOT FACTORY FIRST MGS GROUP TO LAUNCH MOBILE GAMING
8 April 2005
7win7 uses Spin3 mobile technology and offers a + GBP 40 000 progressive
The Jackpot Factory group of online casinois became the first Microgaming licensee to go mobile this week with the launch of 7win7.com – a real-play, Java based casino which can be played on over 65 GSM handsets worldwide, providing players with casino games anytime, anywhere on their mobile phones.
7win7 comes with six casino games, including Video Poker, Double Magic Slots, Roulette, Blackjack, Scratch Card and the world’s first progressive jackpot game on mobile – Treasure Nile. The real money casino runs on Java enabled phones with colour screens and operates over an Internet/GPRS connection with the phone.
Spokesman David Brickman says, “We’re launching 7win7 with 6 of our players’ favorite games including Treasure Nile - a Microgaming progressive jackpot game with a starting jackpot of GBP 40,000 that grows until won. There is no other wireless gaming experience which gives players the chance to win over GBP 40,000 on their phone. It is the biggest jackpot available for phone-based play anywhere in the world today.”
Downloading the mobile casino is simple and quick. Players need only visit the website www.7win7.com and register online or they can register via SMS by texting 777 to 60030. They can purchase their first GBP 5.00 simply by sending a premium SMS with the word BUY to 89693. They then register a web wallet payment method online and make all purchases directly from their mobile phone.
7win7 offers a graphics-rich mobile gaming application incorporating Spinloc - a patent-pending security and authentication system provided by Spin3 – a privately owned wireless technology provider. The casino is powered by Microgaming’s integrated gaming and casino management software and all payouts and game algorithms are scrutinized by independent auditors.
Brickman commented, “Jackpot Factory players can now enjoy their gaming experience anywhere – on the bus, at an airport or anywhere else they would use their phone. They can do so knowing that their gameplay is completely secure and their payouts are made through either bank checks or other proven and completely reliable methods.”
The Jackpot Factory group is well established and consists of seven top quality, eCOGRA - certified online casinos which 7win7 will now join. Spin 3 will be less familiar to readers, and is the provider of the GameWire and SpinFone casino application suite – a wireless casino system worldwide. Spin3 has partnered with Microgaming to provide the complete mobile gaming platform.
Gaming provider, Mobile Pioneer apparently tested the water in mobile gambling this week with the launch of a play-money-only ‘no limit’ version of Maui Texas Hold'em, a mobile multiplayer poker game for mobiles.
The game features live multiplayer action for up to 8 players at a table. The Maui Texas Hold'em client software also includes a powerful ‘shootout’ format tournament for off-network play. Maui Texas Hold'em features both limit and no-limit Texas Hold’em games for mobiles – the no-limit option allowing players to ‘go all in’ at any point in the game. Play does not use real money, but in every other respect is similar to actual Texas Hold'em online poker. Maui Texas Hold'em lobbies support both limit and no limit games.
The Mobile Pioneer announcement says that the application has been designed from the ground up to successfully overcome the constraints inherent in the mobile environment. To ensure live action, users can be notified when players are online by way of wireless email notification.
Maui Texas Hold'em client software is available for over 30 handset models, including Nokia, Samsung, and Sanyo.
Take care around Wild On Casino.com, an RTG-powered operation that incorporated Aces-Games and Log On a while back. Reports indicate suspiciously long "downtimes" and staff departing, together with prolonged payouts and ignored emails. It doesn't add up to an encouraging picture, and that's exacerbated by the fact that the management have ignored several attempts to find out what's happening over there.
LATEST REPORT FROM eCOGRA FAIR GAMING ADVOCATE
8 April 2005
Disputes levels remain low, and resolutions are the fastest around
Ecogra's Fair Gaming Advocate Tex Rees has submitted her quarterly report to the Board, painting a positive picture of fast resolutions and a low level of disputes relative to the extensive business transacted daily by Seal casinos, which currently handle well over 50 percent of online casino business in the industry.
In the first quarter of 2005 Rees reports that 72 online complaints were lodged, with 24 referring to non-eCOGRA casinos where she was unable to assist.
Of the 48 complaints accepted, the majority concerned cash-in queries, with bonus issues as the next most common dispute.
7 rulings went in favour of the player, with the average dispute resolution time under 72 hours - the best in the industry and an indication of the FGA's energetic approach and rapid cooperation from Seal operators.
"The usual picture of inadequate attention to Terms & Conditions by players was apparent in some of these disputes," reports Rees. "The highest value complaint concerned a dispute ruled in favour of the player that could have been avoided by the operator through a more intelligently constructed terms and conditions framework.
"So-called 'advantage players' have become increasingly adept at legally exploiting bonus T&Cs to the maximum, and the construction of promotions, to whom these are offered and the rewards flowing from same need truly expert attention if a casino is to avoid becoming a victim of its own generosity."
Only two major industry organisations, eCOGRA and RTG's Montana Disputes operate formal, active and credible player advocacy services, although several top portalmasters assist players and deserve full praise for the excellent, and free, work that they do, says the FGA.
Montana handles only RTG-powered casino complaints. It's launch was a radical change of direction for Real Time Gaming, which previously took a "hands off" approach to casino-player disputes. As such it was cautiously welcomed by the player community as a means through which issues could be addressed, and some sound and fair decisions have been made. Unfortunately, Montana tends to be slow and has been criticised for poor player communication. Resolutions can take weeks.
The Internet is a great place for deception, and this year's April Fool's Day was no exception with some light hearted lies from industry personalities.
Bodog CEO Calvin Ayre had more than a few folks going with his "resignation" from the successful casino / sportsbook / poker room group after losing it to Sir Richard Branson of the Virgin group in a Texas Hold 'Em game at his The Quay Lounge Restaurant in Vancouver.
His media sidekick, Chris Costigan of Sports 911 took a couple days to build his elaborate and convincing deception leading to the final turn which had him attacked and bitten by a shark whilst in Miami.
And the Casinomeister had folks worried when Bryan Bailey announced that he had handed his well known portal and watchdog site over to a Russian called Sergei Badanov (geddit?) the "Russian Poker King" and owner of "Jiveman Poker"
Badonov, allegedly "...three time champion of the Moscow Poker Olympics, winner of the “Texas Hold’em Rodeo” and head of the Petersburg Poker League." was quoted as saying “With the amount of money we can take from players, we will be very happy. We will make use of our player database to make a most profitable venture.”
Whilst Bailey promised to "... let Sergei take over the Casinomeister complaint department as well."
Ted Loh at Got2Bet had a bit of fun with an hilarious trip to Macau that involved him wearing a Royal Dutch Casino cap and his wife's plaid skirt as a kilt!
Were you taken in by an industry April Fool joke? Write in and let us know!
Full Tilt Poker lives up to its name in latest promotion
Poker prizes just keeping getting bigger and better, it appears from the most recent announcement by Full Tilt Poker.com. The US company has launched the richest poker giveaway ever just two months prior to the World Series of Poker with an unprecedented $10 million promo.
Players who qualify for the WSOP Main Event by playing on Full Tilt's site and then going on to win the Main Event, will get an additional $10 million cash prize from the company over and above their winning purse.
This year, the WSOP Main Event is expected to award the biggest cash purse in history, estimated to be a $60 million prize pool. The first place winner is expected to take home as much as $10 million.
There will also be an opportunity for players to sharpen their skills with the Team Full Tilt pros in preparation for the big game. Team Full Tilt, who as a group have 23 World Series of Poker bracelets includes: Chris "Jesus" Ferguson, Phil Ivey, Howard Lederer, Erick Lindgren, Erik Seidel, Andy Bloch, Phil Gordon (Co-host, Celebrity Poker Showdown,) Clonie Gowen, John Juanda, Jennifer Harman and others.
A Danish monopoly responds to gambling competition
The Danish State gambling monopoly Dansk Tipstjeneste seems to be feeling the pressure from large international betting groups like Ladbrokes, which are reported to have about 1.6 billion Danish kroner of the Danish gambling market.
So much so that the Danish state monopoly is now looking into the possibilities of offering casino games online - even though this type of gambling is being heavily debated in Denmark. So says Henrik Christian Madsen, the manager of Dansk Tipstjeneste in reports this week from Borsen Online. He is quoted as being ready to start offering new types of gambling games to fight off competition from foreign companies - and offering casino games online to the Danish gamblers might be a possibility.
Foreign giants such as Ladbrokes are fast eating away Dansk Tipstjeneste's marketshare. According to a new report foreign betting companies are now selling gambling to the Danes for about 1.5 to 1.6 billion Danish kroner - against about 1 billion in 2003. The 50 percent growth is about twice the growth of the State monopoly's own growth on the same types of games. The foreign bookmakers could market gambling to the Danes for about 2.4 billion Danish kroner this year if their growth rate continues.
"The board of Dansk Tipstjeneste has given us approval to look into the possibilities in the online casino sector - the board will decide in May if we can start offering casino games online," says Madsen.
Tipstjeneste are also planning on offering scratch card games online as well as "Live Betting" where the players can place wagers during sports games. Such measures are being considered to respond to the competition from foreign betting giants - especially from England.
The foreign bookmakers billion kroner revenue has been build up over a short five to six year period. Danish gaming has had decades to evolve - the first regulations on gambling was introduced back in the 1500's, and laws from the 18th century are still valid. A sports betting law was added in 1949 - but this law does not forbid gamblers from placing bets with private foreign companies.
Foreign bookmakers are not allowed to open up local betting shops in Denmark - however it's still an open question if foreign bookmakers are allowed to advertise in Denmark. This question is currently being debated in the courst. If the foreign bookmakers are permitted to advertise in Denmark, Dansk Tipstjeneste will probably have to start offering gambling to foreigners - however this will require a change in the companys current operating goals which is to sell gambling only to Danes.
The Danish population are gambling more and more - even if the bets placed abroad are deducted - the growth in Dansk Tipstjenestes revenue is 8 percent. - 9.9 billion Danish kroner revenue is expected this year. The total gambling market in Denmark is about 20 billion Danish kroner - the main vehicles to produce this revenue are slot machines. The total slots revenue in Denmark is about 10 billion kroner. Dansk Tipstjeneste is 80 percent owned by the Danish state - the remaining 20 percent is owned by two Danish national non-profit sports associations.
Those old tales of Danish players being banned took a positive turn this week with the news that the Intercasino progressive "Rags To Riches" had been won by a player from that country.
Thirty year old Danish gambler ‘Gesualdo’ took home $182,915 after an investment of only $14. The bikg winner is apparently a roulette aficionado, but was attracted to ‘Rags to Riches’ because of its reputation for making so many players wealthy. Finding himself ahead after one of his usual roulette sessions, he decided to try his hand at spinning the reels. Fourteen spins later Gesualdo had cracked the jackpot.
It's the second ‘Rags to Riches’ MEGA-Jackpot won by a Danish player so far this year, reflecting the casino’s ever-expanding worldwide customer-base, as well as the increasing popularity of online gaming throughout Europe; Scandinavia, it seems, has been particularly bitten by the bug.
"It was kinda crazy," laughs Gesualdo. "I didn't dare turn the computer off the whole night in case it turned out not to be true." Guesaldo, who cites this as his first real big win, says some of the money will go toward buying a house, and the rest will be for having a very nice summer. Very nice!
VIPCasino.com is the latest online casino to use the Version 6 Cryptologic software. The casino has added a host of new features and exciting games to their platform, and now offers more than 180 games in all. Coinciding with the software is a brand new look after an extensive site upgrade.
New games include British Pontoon and the world exclusive Fruit Machines, as well as Las Vegas Downtown favorites like Casino Solitaire, Casino War and the latest Las Vegas strip sensations, Super Fun 21 and Bonus Video Poker, plus bundles of extra features.
Prolexic teams up with Telecity in European partnership
The highly experienced and effective US anti-Distributed Denial of Service provider Prolexic, has extended its commercial reach into the European market by joining in a deal with TeleCity, a provider of managed data centre services.
TeleCity will be Prolexic’s European host location, providing a secure environment for its IT infrastructure. Prolexic reports that its infrastructure is already live in TeleCity, with several leading online gambling, including Sporting Index, and foreign exchange organisations using the service.
The collaboration enables the company to address the UK’s escalating DDoS problems. The UK has traditionally been targeted by organised crime syndicates due to the size of its online gambling sector and its proximity to Eastern Europe, a region where many of the attacks originate. DDoS attacks are co-ordinated by cyber criminals, who place malicious viruses onto computers of unsuspecting broadband users. When the attack is triggered, these infected or “zombie” computers, become controlled by the criminals and simultaneously ‘flood’ a network with fake packets, preventing legitimate traffic from accessing a system.
The results of an attack include web site downtime, the inability to take and process orders, damaged customer loyalty and, in the worst-case scenario, bankruptcy.
According to a recent study by Aberdeen Group, an internet-based attack can cost a business on average $2 million in revenue per incident.
Barrett Lyon, CTO of Prolexic and an individual famous for his undercover work in busting recent Russian criminal networks said: “Cyber terrorists are now utilising up to 75,000 zombie computers in one attack, which means that DDoS attacks can exceed 1 gigabyte in bandwidth. This is a problem for routers and firewalls, as they are unable to respond to a dynamic attack which may grow in size and complexity. Therefore, as attacks become more sophisticated, the limitations of traditional security measures are exposed, especially as we are seeing attacks that target multiple network layers simultaneously and more effectively mask their source.”
Hugo Smith, IT director at Sporting Index Limited, said: “The issue of DDoS has been well documented and we were no exception to the rule – like many organisations we were receiving threats and being attacked. Unfortunately, our ISP was unable to provide us with the level of protection our business required. This led us to Prolexic, who were able to install a robust solution in a matter of hours. Since then, Prolexic technology has successfully repelled a number of attacks, so that our business can continue as normal.”
TeleCity has decided to introduce the service following demands from customers for greater protection against increasing malicious activity on the internet. TeleCity’s Managed Security Service already provides customers’ networks protection against unauthorised access, viruses and worms, but new and sophisticated threats such as DDoS pose serious implications for businesses if not tackled effectively. Prolexic directs customer traffic through its data centres and then using its own patented technology cleans it up and re-routes it back to the client. It provides intrusion protection and network monitoring to both enterprises and Service Providers:
Andy Horn, managing director TeleCity UK, commented: “After the successful take up of our managed security service, our customers now see TeleCity as a key part of their network security strategy and expect us to continually provide solutions which address the online threats to their businesses."
Lyon concluded: “There are already over ten customers being protected by the Prolexic infrastructure at TeleCity. We felt the time was right to establish a formal presence in Europe as the region is undoubtedly suffering from a higher level of extortion compared to other parts of the world.”
DDoS gained notoriety as a vehicle for cyber criminals in 2001 when eBay, Microsoft and Amazon were attacked, resulting in $1 billion in damages and lost business. Thereafter, denial of service attacks have grown in frequency, size and sophistication, and are now estimated by the University of California to number 4,000 per week worldwide. Advancements in P2P networking, greater bandwidth availability and the convergence of wireless and webTV are only fuelling the frequency of DDoS attacks.
According to the FBI, Denial of Service has now become the most costly form of cyber crime businesses face today.
Giving all Internet users decent firewalls would go a long way towards preventing DDoS attacks, says Internet bookmaker Blue Square this week, quoted in an interesting ZDNet UK article.
It could be a good fit with tactics suggested by online gambling companies, who have been urging ISPs to do more to prevent hackers disabling computers with distributed denial-of-service (DDoS) attacks.
ZDNet UK says that an industry forum made up of the UK's biggest Web gambling firms has been lobbying Internet service providers for several months to provide all their customers with better security.
"A lot of [ISPs] have started to address the problem of DDoS [attacks]said Peter Pedersen, chief technology officer at online betting site Blue Square, speaking at the e-Crime Congress in London.
"One of the things we were trying to convince ISPs to do was distribute firewalls to their customers," he added.
Criminal hackers use distributed denial-of-service attacks to flood their target servers with so much data that they are unable to operate. A firewall that can conduct stateful inspection of outgoing data packets should be able to spot when a PC has been compromised by a hacker and is being used to take part in a DDoS attack.
Blue Square is one of many online gambling companies to face such an attack. Hackers typically tell e-commerce Web sites to pay up or face a series of attacks that can cripple their businesses through downtime.
Pedersen's comments echo a call made by David Yu, chief technology officer of online gaming portal Betfair, in an interview with ZDNet UK last November.
Pedersen said that the attacks launched on the company's Web site, Bluesq.com typically comprised between one and two gigabits of data per second, which clogged their bandwidth and slowed their ISP's network.
Pedersen highlighted the importance of sharing security resources with competitors.
"As an industry we could appear with a united front," said Pedersen. "I cannot emphasise enough how important that is. We are all competitors but I leave that to the marketing board."
The forum has also been lobbying MPs to outlaw denial-of-service attacks.
The UK Parliament will have ten minutes on Tuesday to decide whether to update the Computer Misuse Act (1990). The proposals to change the law, which will be introduced by Derek Wyatt MP, would make DDoS attacks illegal, but this is highly unlikely to happen before next month's general election.
"Derek Wyatt's efforts to re-start a debate in Parliament regarding the Computer Misuse Act are to be applauded, but a paltry ten minute slot is not enough time or attention to give to such an important issue. This lack of interest is an insult to British businesses, which are most at risk from cyberattacks," said Simon Perry, European vice-president of security strategy for Computer Associates.
FOURTH SEASON FOR TRAVEL CHANNEL AND WPT
8 April 2005
The early bird....
Press reports from the USA reveal that the Travel Channel has exercised its option early by announcing that it will broadcast the fourth season of the World Poker Tour (WPT) which airs on Wednesday nights at 9pm ET/PT.
It's not hard to see why an early re-up was decided. The highest rated show ever on The Travel Channel, the WPT is now seen in over 60 countries worldwide, and its tournaments are held at first class locales and resorts as far ranging as Paris, the Bahamas and Las Vegas. When the WPT rolls into town, players are accorded a hero's welcome and poker fans plan their schedules around the WPT Final Table taping.
"We are thrilled to extend our relationship with The Travel Channel," said Executive Producer and Founder of WPT, Steven Lipscomb. "Their commitment further reinforces the WPT as the preeminent brand of poker while maintaining Wednesday night as Poker Night! Together we will continue to build Poker as a mainstream sports sensation.
The program continues to be a ratings juggernaut, and the extension of the deal will keep the popular weekly series a fixture on the network.
"This case is different, because it's about sneaking on to people's computers in truly underhanded ways"
eWeek.com carried a story on a topic close to many online gaming hearts this week when it reported on class action litigation just launched against the alleged Spyware king, DirectRevenue of New York.
The article has resonance with online gamblers, coming as it does on the heels of the Gambling Federation issue where an online casino provider admitted positioning offensive malware elements on to the computers of its players along with its standard gambling suite download.
And almost every online gambler has had problems at one time or another with unwanted pop-up adverts and similar unwelcome intrusions from unscrupulous marketers.
The recently filed class-action lawsuit against DirectRevenue claims that the company has deceptively downloaded harmful and offensive spyware to unsuspecting users' computers.
The suit, filed in the Circuit Court of Cook County, Illinois, alleges that DirectRevenue LLC "unlawfully used and damaged plaintiffs' computers to make money for themselves while willfully disregarding plaintiffs' rights to use and enjoy their personal property."
Clearly, the suit could produce a valuable precedent for computer users if the case goes against DirectRevenue.
According to the suit, the spyware infiltrated users' computers to learn their Internet browsing habits and track their Internet use.
Further, the suit contends that DirectRevenue deceptively prevents users from removing its spyware, overwhelming computers with unsolicited advertisements.
DirectRevenue's business model is to pay independent distributors—often small companies that dropped out of the spam business or that develop peer-to-peer file sharing or screensavers—several cents per installation to install its software.
"Those guys love to bundle additional software that tracks what people are doing," said Benjamin Edelman, a researcher studying spyware and a Ph.D. candidate at Harvard University.
The article also covers the increasingly irritating so-called "drive-by" attacks on a user PC. "Sometimes we see that the affiliates that sign up design software that exploits security holes in Windows and Internet Explorer, and so as you are surfing a Web page, it installs the DirectRevenue software."
Sometimes, Edelman said, the way the company goes about its business is downright offensive.
In one video Edelman made last month, a DirectRevenue ad on Yahooligans, a children's Web site, showed an American Express ad, while the Cartoon Network's Web site showed a gambling ad.
Spyware has proliferated a great deal recent years, according to research from Meta Group Inc. (now part of Gartner) of Stamford, Conn.
Meta reports that spyware is one of the most significant Internet-based security threats today, representing up to 40 percent of help desk calls.
Meta Group predicts that spyware will continue to remain a serious problem until at least 2008.
The suit against DirectRevenue is somewhat different from other spyware cases, Edelman said, which have mainly been brought by Web sites protesting pop-up ads. In one case, brought in 2002, the Washington Post and the New York Times sued the Gator online advertising network to stop the company from posting pop-ads on their Web sites without permission. The media outlets won that suit.
"This case is different, because it's about sneaking on to people's computers in truly underhanded ways," Edelman said.
"In some senses, though, that makes it an easier case. It's easy to prove that they are installing without permission. It's a lot like trespassing."
The case has a good chance of succeeding, Edelman said, and if it does, it should serve as a warning to others with similar business models. But more importantly, a win could open the floodgates for lawsuits against similar companies, he said.
"They should have been worried even before this case was filed, but they should be all the more worried now," he said.
DirectRevenue failed to respond to a request for comment.
The Irish betting group Paddy Power.com has made another interesting interactive gaming move, building on its recent introduction of online casino and online poker room businesses.
Working with Electracade Limited, a technology company specialising in the development of online, mobile, fixed odds and iTV gaming platforms, the Irish company has launched two new products.
The new games, Dragon Dice and General Mayhem are available within the ‘games’ tab of the Paddy Power sportsbook. The highly themed games offer state of the art graphics and audio content. Dragon Dice rolls ten dice, offering the player four different bet options split into either Keno or prediction style bets whilst General Mayhem lets the player predict the outcome of five one-on-one dice battles.
Electracade claims to have made a significant investment in building an extensive portfolio of interactive gaming products including slot machines, Hi Lo games, Keno products and numerous original gaming concepts. The deal with Paddy Power represents Electracade’s first product release, says Director Mark Paling.
PaddyPower already have an existing relationship with backend provider Orbis, using their OpenBet system. Their recent decision to utilise Orbis’ Fixed Odds Games Framework (FOGF) enables the bookmaker to further capitalise on this growth market area and offer their players a wider and enriched gaming experience.
And as a follow on to the Paddy Power story, the Irish publication The Examiner reports that the outgoing chief executive of Paddy Power plc, John O'Reilly, received a pay rise of almost 90 percent last year, bringing his 2004 pay package to Euro 883,000, up from Euro 466,000
The company's annual report for 2004 shows that, for the first time, Paddy Power paid out over Euro 1 billion in winning bets from Euro 1.165 billion wagered with the company.
Paddy Power chairman Fintan Drury announced that the board has begun the process of recruiting a new chief executive to replace 54-year-old Mr O'Reilly. A fellow of the Institute of Chartered Accountants in Ireland, Mr O'Reilly is stepping down for "entirely personal reasons."
Drury said O'Reilly was on a one-year rolling contract and will remain as chief executive until at least the end of 2005...
GOT 2 BET PORTAL BOUGHT BY GAMING CORPORATION
8 April 2005
Ted Loh ('Spearmaster") to remain on board for now
Surprise of the week was the announcement by London-based portal group Gaming Corporation that it had bought the popular Got 2 Bet portal from industry personality Ted Loh.
Got2Bet is one of the most recognised and innovative online gambling portals and was founded by Loh in March 2000. The site is a key source of online casino information in English and Chinese, with extensive online casino reviews and ratings, news and message boards.
Gaming Corporation owns and operates the leading British portal Casino.co.uk and agreed to a consideration of US$270,000 for the acquisition, to be satisfied in cash with an initial payment of US$120,000 and three equal instalments of US$50,000 payable two months, four months and six months after completion.
Further payments calculated as 50 percent of the first 6 months profits will also be paid as part of the consideration.
Got2Bet's pioneering concepts include the progressive jackpot tickers and pull downs which are now seen all over the internet. Special contests and promotions are a regular feature, and Got2Bet was also the first gaming portal to feature a free Flash-based casino.
Founder Ted Loh is respected as one of the leading experts in the online gambling industry, and in particular for his extensive knowledge of the Asian market. He has spoken and moderated sessions at more than 15 gaming conferences in the past three years on topics ranging from Asian marketing to mobile gambling and affiliate marketing, and has made presentations on Asian land-based gambling as well.
Gambling Corporation CEO Justin Drummond, commenting on the acquisition, said;
"Got2bet has an international customer base which opens a new market place for Gaming Corporation; the application of our technology, marketing and sales
infrastructure will allow Got2bet to grow substantially over the coming months. We are very excited to be working with Ted, who is widely regarded as an
industry expert; his advice and knowledge of the online gaming market with be of significant benefit to the Group".
Ted Loh Commented:
"Got2Bet will benefit strongly from the extensive resources that Gaming Corporation has at its disposal. I am excited at the prospect of working closely with Gaming Corp to take Got2Bet to new heights which simply would not have been possible without their support."
Coinciding with the Got2Bet deal, Gaming Corporation also announced changes to its board of directors.
New appointment William Grimes was formerly a senior executive of London Clubs International plc ("London Clubs"), having joined in 1978. London
Clubs is a publicly quoted company on the London Stock Exchange.
With over 35 years experience in the gaming industry, Grimes was a Director of London Clubs and Head of International Development for London Clubs (Overseas) Limited. He was responsible for identifying gaming opportunities outside the UK, establishing joint-venture partnerships in over 20 countries and applying successfully for gaming licenses in the UK and abroad. He was a Director of London Clubs' Mayfair casino (The Casanova) and he managed the opening of several casinos both in the UK and abroad.
David Rogers and Charles Black are stepping down as Directors. Rogers has served the Company as a non-executive Director since the initial
flotation and is retiring as a Director. Black has served the Company as a Director for 5 years and has decided to step down to pursue his other business interests.
ORANGE AND GAMING CORP.TEAM UP ON MOBILE GAMBLING
8 April 2005
Datamonitor says market will be worth $ 8.6 billion by next year
NetImperative reports that Orange is to to feature a gambling service on its WAP portal, in the week the government's gambling bill hangs on a knife edge.
The deal has been signed with the Gaming Corporation plc, the owner of Casino.co.uk.
The interactive mobile cash gaming service featuring java games like Blackjack, Roulette, Stud Poker, slots and scratch cards will be launched this month on on the Orange World WAP portal.
Gamers can "practice" and also play for real cash. Registration and deposits can be made via the mobile handset.
Gaming Corporation says minors will be protected by age verification, in accordance with the mobile industry´s own Code of Practice. Player deposits are initially restricted to valid credit card transactions only.
Maximum bet sizes, daily limits on user deposits and advice on cash gaming are in place to prevent irresponsible usage, said the Gaming Corporation.
The service will be promoted on a revenue sharing basis between Orange and Gaming Corp.
According to Datamonitor the worldwide market for mobile gaming is predicted to grow to over US$8.6 Billion in 2006.
But Blandford remains "...committed to the company"
The sale of shares in Sportingbet.com this week by founder Mark Blandford caused a few ripples of interest in the industry. Blandford raised GBP 6.5 million from selling nearly 17 per cent of his stake in the business.
Mr Blandford said, however, that he remained committed to the company and had sold some of his holding in Sportingbet only as a means to spread the risk of his personal assets. "I have had more than 90 percent of my wealth tied up in one company for more than eight years. This is just a tiny readjustment of my assets. I am still absolutely committed to Sportingbet and its continued success," he said.
Post-sale Blandford still owns 4 per cent of Sportingbet, currently worth around GBP 34 million, but has cashed in on the dramatic rise in Sportingbet's share prices over the past six months. Since buying Paradise Poker, the online poker business, shares in Sportingbet have raced to highs of 349 p from 100 p, valuing the company at GBP 1.1billion. Had Blandford sold the same number of shares last month, he would have made nearly GBP 9 million. "I've learnt that no one ever quite manages to sell at the top and buy at the bottom. I am contented with the price I got," he said.
Sportingbet floated in January 2001 at 120 p. Mr Blandford sold 2.2 million shares this time last year for GBP 1.6 million when the shares were at 76 p, and in 2003 he made GBP 2.5 million from selling shares at 31 p.
The UK media reports that a handful of high-rollers have come up trumps at Les Ambassadeurs, an upmarket Mayfair, London land casino winning, on rough calculations, about GBP 10 million.
The casino made GBP 18.4 million of underlying operating profits last year and GBP 9.1 million in the first half of this year. It lost a packet in December and January, though, and will now make less than GBP 9 million for the full financial year. The financial position was exacerbated by the relocation of the Sportsman casino and the late opening of its Fifty casino joint venture in central London.
Neteller building up steam
Last April, a small money transfer company called Neteller floated on London's AIM exchange. At the 200 p listing price, it was capitalised at GBP 240 million. This week, the shares rose to a mark over three times that at 640½ p.
Neteller is now worth GBP 770 million - only GBP 170 million less than the high profile Egg internet bank. The reason for its success is that the company was a product of the US public's appetite for online gambling. The market exploded, but so did credit card fraud. As a result, Visa and Mastercard have backed out of the market almost completely.
To fill the gap, Neteller was founded in 2000 and now has 1.5 million customers with about $ 100 million in funds. Neteller makes its money by charging the gaming sites for each transaction and account holders for instant transferrals. It's certainly working. Pre-tax profits jumped from $ 2.21 million to $ 45.8 million last year.
Chief executive Gord Herman reckons this is just the beginning. The company wants to become a money transfer business to rival Western Union, with banking partners and a global infrastructure. It has moved from Canada to the Isle of Man for tax reasons, been authorised by the Financial Services Authority for credibility, and has started its assault on Europe and Asia. Three years ago, revenues came exclusively from online gambling. Some 15pc are now generated by other transactions.
Extortionists, beware - the white hats are coming after you
Increasing cooperation between global hi-tech crime busters and technology companies resulted this week in a high level conference sponsored by the UK's National Hi-Tech Crime Unit.
Security specialists and law enforcement agencies discussed how to tackle the rising tide of computer crime as criminal syndicates across the world increasingly band together in informal alliances to hack into credit card databases, steal on-line banking details and extort businesses by threatening denial of service attacks.
The National Hi-Tech Crime Unit has uncovered networks of criminals using internet relay chat services to co-ordinate attacks on businesses and home banking consumers, said Mick Deats, the unit’s acting head. "It is tough to work out who is in charge and what effect you will have when you deal with them. It is much more difficult to investigate than the traditional organised crime structures," Deats said.
Investigations by the Hi-Tech Crime Unit into Russian groups responsible for denial of service attacks against online betting sites last year have shed new light on the way criminal hacking groups work, and recent high profile busts were studied at the conference. Five people have been arrested so far following collaborative investigations by the Hi-Tech Crime Unit, Russian police, the FBI and private sector security specialists.
The investigations have revealed loose collaborative criminal networks, including groups selling the network services of tens of thousands of hacked PCs, known as bot networks, to other criminal groups to launch denial of service attacks.
"We have learned a great deal from our operations in Russia. We knew there were loose networks, but we did not understand the nature of the groups and how they related," said Deats.
The Hi-Tech Crime Unit, working with overseas law enforcement groups, has infiltrated the groups by tracking their activities on the internet and tracing the movements of laundered funds.
"International cooperation has moved on in leaps and bounds. You have to work really quickly because digital evidence is volatile. You cannot use the normal mutual legal assistance channels," said Deats.
The most hardened and cynical online gambler exhibits perhaps unexpected sympathy and real kindness on the rare occasions when a problem gambler surfaces, hastening to steer him or her to sites where they can receive professional guidance such as Gamcare and Gamblers Anonymous.
It is not a common occurrence, but the relatively small percentage of online gamblers who have a problem controlling the urge to splurge (estimates seem to range between two to three percent) remains an area of genuine concern for reputable online casinos.
Regrettably, some of the operations further down the quality scale seem content to simply put a link on their sites and leave it at that - merely paying lip service to this critical area.
Several top-end groups, among them the Trident casinos King Neptune's, Vegas USA, Trident Lounge and Trident Poker go the extra mile and employ an in-house advisor to counsel on casino policies and supply professional guidance if required.
The international self-regulatory body eCOGRA is actively involved in promoting responsible gambling in the industry in general and among the 51 leading online casinos it regulates in particular.
It recently partnered with the international G4 responsible gambling organisation who's e-Gaming Code of Practice has already been successfully implemented at major online sites like PokerRoom.com, proving to be both practical and effective.
eCOGRA and G4 are in the process of introducing various new eGAP requirements which look likely to set the online industry benchmark standard for responsible gaming controls and procedures.
The ability to control admission to online gambling sites, or the alleged lack thereof has been one of the clubs with which the anti-online gaming faction has sought to beat the industry over the years, focusing particularly on claims to seek the protection of underaged or addictive gamblers.
Yet there are measures available and these are improving in an industry where a strong and growing commitment to responsible gambling definitely exists.
In a business without boundaries and little enforced regulation, there are nevertheless many responsible companies that have incorporated measures in their sites such as Verify Me or Verid. These are sites that go to extraordinary lengths to keep underage would-be gamblers out, using a variety of practical and technology-based techniques.
Showcasing their impressive URU product at EIG Barcelona last year was British Telecom, which has been signing companies up to its verification technology that uses checks across a wide range of massive everyday British databases to perform lightning fast Yes / No verifications in real time.
Many casino managements invest in specialised staff training and routinely consult with experts on patterns that flag a problem gambler, and there are those that make self-exclusionary facilities available to players who have realised that they have a problem before it goes too far.
The advent of smart cards is thought by many to be a great opportunity for the banks to play a bigger role in identifying underage persons in particular, but progress in the area has been slow and the scenario is not yet clear. In a world where surprisingly young people can obtain bank credit cards, more control would be useful.
For both moral and practical reasons, underage and problem gamblers are not good for business and responsible online casino operators are seriously committed to excluding them.
The Global Gaming Expo (G2E) organisers are planning well ahead, judging by this week's announcement of the 2006 dates for this outstanding industry event.
November 14 - 16 will see thousands of gambling industry people from all over the world converge on the Las Vegas Convention Center, with G2E's Training & Development Institute being held November 13.
The event will remain in the Central Hall of the convention center in 2006, in compliance with industry demand.
"Our decision to move the 2006 event to later in the year is a function of venue availability and logistics," said Frank J. Fahrenkopf, Jr., president and CEO of the American Gaming Association (AGA). "An overwhelming majority of G2E exhibitors and attendees prefer the convention center's central hall, and these new dates allow us to once again utilize this favored space."
More than 25,000 industry professionals from around the world attend G2E, the premier event for the worldwide gaming-entertainment industry.G2E 2005 is scheduled for September 13-15, with the G2E Training & Development Institute September 12, at the Las Vegas Convention Center. For more information on G2E or to register for group or early bird discounts, visit the Web site at www.globalgamingexpo.com.
Gaming Law symposium
The Thomas M. Cooley Law School and the International Masters of Gaming Law (IMGL) will present a gaming law symposium, New Frontiers in Gaming, May 12-13, 2005, at The Dearborn Inn - Marriott, in Dearborn, Michigan. The conference covers cutting-edge legal issues of importance to the gaming industry.
The IMGL annual gathering is an opportunity for gaming attorneys and gaming regulators to share information and insight. As part of the organization's commitment to public education on gaming law issues, the IMGL has opened its day-and-a-half conference to the gaming industry.
The symposium covers such topics as the Detroit-Windsor casinos, responsible gaming, gaming developments in specific geographic areas, bingo, slot machines, Native American and First Nation gaming, and charitable gaming. Gaming attorneys will also be interested in the topic, "Gaming Attorneys: Rights and Limitations on Representing a Client."
The International Masters of Gaming Law (IMGL) is a non-profit association of attorneys, gaming regulators and gaming executives dedicated to the education, advancement of the gaming law profession and exchange of professional information concerning the local and global practice and development of all aspects of gaming law. For more information about the symposium, contact the IMGL via its website at www.gaminglawmasters.
Founded in 1972, Cooley Law School is now the largest law school in the country. Cooley has the second-largest enrollment in African-American students of any law school and the highest number of minorities overall in the United States. Cooley has three campuses across Michigan; its main campus in downtown Lansing, its downtown Grand Rapids/Western Michigan University campus in west Michigan, and its Rochester/Oakland University campus in southeast Michigan.
Integrity Casinos taken over by Casino Rewards group
Despite hopes that Casino Rewards, as the new owners of the Integrity Casinos group would prioritise the resolution of the bonus disqualifications crisis that has overtaken this group, little if any progress was evident as we went to press this week.
Meanwhile, player complaints continued to mount, and the submission of 24 such documents by a top watchdog webmaster to the Integrity contact person was merely stalled with the excuse that the *audit* would now not be completed until mid-April.
However there was tentative optimism when the casino advised "...Please note all genuine players who have played to our T&C's can rest assured they will be paid." Much turns on the still unexplained definition of the term "genuine player" of course.
Integrity Casinos comprised three established and respected online casinos - Captain Cooks, Casino Kingdom and Casino Classic, making the current management actions all the more puzzling.
Early in March the former management, led by Australian operator Tom Dick issued statements decrying the impact of so-called "smart" or "advantage" players who had been taking (legitimate) advantage of the terms and conditions relevant to casino promotions.
The statements indicated that management's intention was to weed out this (undefined) class of player in order to better spend the money they were taking on loyal players whose main playing objective was "entertainment"
Allegedly in order to achieve this, Integrity announced a rolling freeze on payouts whilst it conducted a 7 day *audit* although players were given the questionable option to abandon their winnings in favour of getting the fast return of their deposits.
Players, portalmasters and affiliates were alarmed because the *audit* ploy has so frequently been used by online casinos with serious cash flow problems in order to stall payouts, but Integrity repeatedly assured the industry that it was under no financial strain.
However, legitimately earned bonuses were being disqualified on accusations that the players concerned were "skimming" the casino. This despite the fact that the players had apparently wagered in strict compliance with the Integrity T&Cs.
A major furore broke out across the Internet as the timelines on the audits were exceeded and then extended to mid-April, and player requests for the definition of an *unwanted* player were ignored. Players prejudiced by the bonus disqualifications added their protests to the uproar as the disqualifications and delays continued, exacerbated by players' emails being ignored.
Just prior to last weekend a new element was added to the mix when Jamie Taylor's Casino Rewards group issued a press release claiming that it had bought the Integrity group and would be dealing with the issue after the holiday weekend.
And that's how things stood as we went to press, with no further statements other than that rather offhand stall on player complaints "...due to the audit."
This is disappointing, as players would have been to some extent temporarily mollified by an assurance from the new owner that the question of bonus disqualifications by the former owner would be fairly addressed as a matter of urgency.
Players have a very clear view on the question of bonuses.
This is that the casino decides on the terms and conditions of a bonus. If the player gambles in compliance with the T&Cs in force at the time of his or her wager, then the casino has an obligation to pay out the promised rewards, if any. Whether a player is a "smart" player or a "recreational" player is irrelevant - compliance with the management's T&Cs in force when gambling commenced is the deciding factor.
Sites that carry catch all lawyer-speak that purports to let the casino do whatever it likes are a sure way to lose business. And without exception, real players abhor fraudulent gamblers who open multiple accounts, make unjustified chargebacks or use false IDs.
In return, they expect fair treatment from the casino, and it appears increasingly that this has not been the case in this debacle, where hard-won reputations at the casinos are being further eroded with each passing day.
Islanders confident that decision will go their way in fight against US anti-online gambling legislation
April 7 is decision day on the US government's appeal against a WTO decision favouring Antigua and Barbuda in a David and Goliath tussle over anti-online gambling laws.
If the ruling goes as predicted by various experts, it will be the first time a small country has defeated the United States in the world's increasingly important and respected international trade court.
And if the original November 2004 WTO ruling is upheld, the United States will face compliance issues requiring the its government to address in a reasoned fashion its approach to online gaming rather than simply prohibiting it altogether. "Most important will be the validation of Antiguan businesses' right to trade with the large US internet gaming market," explained Ron Maginley, spokesman for the Antigua Offshore Gaming Association, an industry trade group.
"This form of entertainment is widely recognized and accepted in many parts of the world--especially Europe," added Maginley. "Antigua is confident in the professionalism of its operators and asks only for fair and reasonable access to the immense United States domestic gambling market."
Antiguan officials anticipate that major US companies, including Citibank, Chase Manhattan, Bank of America, Clear Channel Communication, and Bravo TV, may soon find themselves required to comply with the WTO ruling legitimising trade between Antiguan online gaming companies and the US market. In recent years, many American companies have turned away business from Antiguan gambling companies after receiving subpoenas or threats of prosecution from the US Justice Department and prosecutors such as New York Attorney General Elliot Spitzer.
Following the November 2004 announcement of Antigua's successful case before a WTO panel, the United States in January appealed the adverse ruling to the seven-member Appellate Body of the WTO. The hearing before the Appellate Body is seen by Antiguans as a "...final hurdle in a lengthy and unprecedented legal battle," according to Mark Mendel, the lead legal counsel for Antigua in the dispute.
"Despite intense scepticism from virtually every quarter, our case is extremely strong and deceptively simple," added Mendel. "We have long been optimistic that the impartial dispute resolution machinery of the WTO would function as expected, justice will be served and potential compliance issues facing various US corporations and the US Department of Justice will be resolved in a manner which is favorable to fair and responsible international commerce."
The Antiguans have argued that it is inappropriate to treat businesses conducting transactions online as unequal to or somehow worse than traditional brick-and-mortar operations, or for the US government to assume lack of industry integrity without any objective evidence.
Previous speculation in the US media suggested that even if Antigua, one of the smallest members of the WTO, wins the case, it cannot impose meaningful trade sanctions against the US. However, Antigua remains quietly confident with the knowledge that the US will adhere to the WTO ruling with the same vigor that it has demanded of other countries when it has won similar WTO rulings.
Mendel predicted that a decision to uphold the original WTO ruling will ultimately result in US companies making accommodations to Antiguan gambling operators. "At the end of the day," said Mendel, "we expect major internet search engines, including Google and Yahoo, financial institutions and credit card service providers will have to do business with Antiguan internet gaming sites on the same basis as they do with US domestic gaming interests, including hundreds of American casinos, prolific state lotteries and many others."
Last week InfoPowa commented on a new (for us) word in the gambling lexicon - "gnomes"
Gnomes are apparently online casino accounts opened in the names of friends and relatives by greedy gamblers looking to exploit bonuses to the max. The *ring leader* player often gives the friend or relative a percentage of the bonuses to compensate for use of personal and financial details.
A gang (for want of a better word) of gnomes can involve the use of one or two *personalities* or fairly large syndicates, but it's a risky practice, because if discovered the player does not get too much sympathy or return on investment.
In response to the piece we received an email from one Jason Kirsner, disowning fraudulent gnomic activity as follows:
"I just read your newsbrief on the gnomes on our site, BonusWhores.com. I would just like to clarify for you that BonusWhores.com management does not condone or encourage such fraudulent activity. However, we do allow our members to talk about whatever they wish, short of spamming our forums. We focus purely on maximizing a player's EV through legitimate means."
We're told that the management might disapprove, but gnoming is a big topic of conversation on his site....
Top hacker arrested for manipulating 100,000 computers
The Xinghua agency reports from China that a man who hacked into 100,000 computers to launch group DDoS attacks has been arrested in Tangshan, north China's Hebei Province, according to the Ministry of Public Security.
The ministry's Public Information and Internet Security Supervision Bureau determined that many attacks came from a large group of "zombie" computers embedded with virus programs. These computers were maneuvered by one hacker via several servers both at home and abroad.
More than 60,000 of the 100,000 computers were within China, and some of them were owned by government departments and other important sectors, said an official with the bureau.
They formed a so-called "zombie network," an attack tool popular among Internet hackers, which can prevent other computers from regular Internet service or send out mass junk e-mails on the hacker's orders, the official said.
A hacker could also steal and use users' information stored in the computers, the official said, but didn't disclose the name of the arrested suspect.
The number of crimes taking advantage of network technologies is climbing in China. Online pornography, gambling and fraud are focal points in the country's extensive crackdowns.
The official pointed out that China should speed up legislation on Internet crimes, including enacting laws to standardize identification of network data, evidence collection and investigation.
Beemer bonus....
Promo of the week came from Vegas Partner Lounge with this gem:
"Fasten your seatbelts, because starting 1 April 2005 you could win 1 of 250 convertible BMWs with Vegas Partner Lounge Casinos! That's right. here's your chance to win your very own BMW Convertible. All you need to do is....etc etc etc"
Man... that's a lot of BMW's, several players thought. Is this group sufficiently funded to support 250 Beemer prizes?
All was revealed on the link - those 250 are 1:43 scale diecast models....but...players can win the real thing because the promo culminates in a Grand Final event in Miami in November 2005 where 70 finalists stand the chance to win a (real) 2005 BMW Z4 worth $35,000.
Undermining the boss....
Casino Solei, a Croatian based online casino owned by a terrestrial casino was also reported to be offering unusual bonuses...to players who gambled from their places of work. Not good for outside perceptions of the industry.
Cool poker....
The ultra cool Absolut Vodka site has added some fun money entertainment with an online poker game, but for some reason the company was reluctant to disclose the identity of the provider despite repeated requests this week.
That's a pity, because the graphics are crisp and the no-download gameplay is smooth and fast - a great advert for the developer in our view. There's only one game style available, and that's the popular Texas Hold´em poker.
The idea of featuring an indoor game on the site originates in the Absolut Vodka winter campaign and the objective to give its followers suggestions and activities for those long winter months when they are sometimes house-bound.
Embarrassing moment...and an opportunist casino
You've gotta feel for the Ontario authorities in a week when they unveiled a new responsible gambling strategy.... it seems that the Choose Change.ca site is redirecting to (gasp) an online casino!.
Canada's National Post reported that "Premier McGuinty's website -- www.choosechange.ca -- has apparently been cyber hijacked. Net surfers looking to read up on the government are being redirected to a gambling website called Zodiac Casino. The cyber glitch comes on the same day Ontario is announcing a new responsible gambling strategy…"
A Liberal spokesman said later that choosechange.ca was a campaign site and that the party no longer owns or operates the domain.
Lasseters revamp
Australian-based Lasseters online casino is celebrating its 6th birthday this (April) month and has launched a revamped website to mark the occasion. The site at Lasseters.com boasts a total makeover but will continue to showcase the unique multi-line and feature screen slots for which the casino is renowned, back-dropped by "...all the glitz and glamour of Las Vegas or Monte Carlo."
The site boasts 63 “Aussie style” slots and traditional table games for players to enjoy, with wager levels starting as low as a cent.
Since launching online operations on the 10th of April 1999, Lasseters has offered its distinctive games globally and has marketed on the integrity that comes with being the world’s first Government regulated online casino. Backed by a land casino, the company’s high regulatory framework has set global benchmarks in protection and advanced financial security techniques.
The casino claims that since beginning operations it has paid out in excess of US $ 1,000,000,000 in winnings to international customers.
Casino4aces.com is one to avoid - emails are bouncing and complaints have been filed concerning accusations of fraudulent conduct and glitchy software. This operation has proprietary software developed by the owners, Alpinia Limited registered in Nicosia, Cyprus.
Fast-rising Betfair P2P betting exchange is the latest focus of investment attention in the Internet gambling industry following the launch of a strategic review that has led to speculation that a flotation is planned for this year.
Major investment bank NM Rothschild has be en appointed to advise on options including a possible float, sale or refinancing. Betfair last year made pre-tax profits of GBP 13.3 million on revenues of GBP 66.7 million. Were it to be valued on a similar multiple to other gambling stocks it could expect to achieve a market value of about GBP 200 million.
However, the company's success and growth potential mean it is likely to fetch far more if it is floated. That would provide substantial windfalls for founders Andrew Black, a former City trader, and Edward Wray, a former investment banker, both of whom own about 15 percent.
The company dominates the betting exchange market and recently strengthened its board with the appointment of Yahoo! executive Fru Hazlitt as a non-executive director. No timetable has been set and Betfair has yet to decide on which of the three options is the most favourable.
Founded five years ago, Betfair acts as a middleman between gamblers, matching people who want, for example, to back a horse to win with people who are prepared to "lay" the horse to lose.
It generates revenue by charging its members a commission on their winnings. The service has enabled punters to get much better odds than using traditional bookmakers as well as allowing them to act as bookies by laying horses and the outcomes of other events.
In November the company took a significant financial hit from bailing out punters with the collapsed betting exchange Sporting Options.
During the Cheltenham National Hunt Festival Betfair announced its highest yet peak usage with 1.08 million page requests in a five-minute period and 12,714 calls taken in one day.
A Betfair spokesman said the company could not comment on "market rumours".
SEVERE CONSEQUENCES FOR INTERNET GAMBLING IF UK BILL FAILS
1 April 2005
iGGBA claims 17 000 jobs and GBP 2 billion could be lost
The Interactive Gaming, Gambling and Betting Association (iGGBA) has issued a statement claiming that the British economy could lose some GBP 2 billion of business and up to 17,000 jobs if the UK Gambling Bill fails.
Without the Gambling Bill, which will regulate online gambling for the first time, internet betting companies will stay away from Britain the association says. And as a result, the country could lose out on profits, taxes and investment worth up to GBP 2 billion.
IGGBA bases its prediction on estimates that a competitive regulated industry in the UK could bring up to 15 per cent of the GBP 6 billion global online gambling market to the country, with gambling companies relocating to Britain creating around 17,000 jobs.
Chairman Richard Flint says, "The majority of the online gaming industry wants to operate in a regulated environment that ensures that there is control over unscrupulous operators and consumers are protected from fraud. Regulation will also ensure safeguards against children and problem gamblers using online betting sites. The current law was written in the 1960s, before the internet. This Bill is needed to establish a proper basis for the industry."
The Gambling Bill, however, is running out of Parliamentary time in the run-up to the general election. There are hundreds of amendments to the Gambling Bill still to be discussed in the House of Lords, while significant areas of contention exists between the parties, particularly on casino policy. Some industry sources believe that Michael Howard, the Conservative leader, is planning to block the Bill to embarrass the Government, regardless of the benefits brought by regulating online gambling.
Mr Flint also said regulating internet gambling as quickly as possible was increasingly important while a number of companies line up to float on the London stock market. Party Gaming, behind the PartyPoker brand, could be worth as much as £3bn on listing. Cassava Enterprises, behind the 888.com brand, is also mulling a float.
CASINO AND POKER ROOM FOR AT THE RACES
1 April 2005
TV channel gets into the poker groove
Gamblers will soon be able to play poker against their favourite horse racing presenters and pundits in special tournaments featured both online and on the At The Races television channel.
Licensed in Alderney and powered by Wagerworks software, At The Races Casino.com offers over 56 non-download games with a matchplay sign up bonus. Members can play for real, or just for fun, and get up to GBP 250 free when they register. New games to watch out for include Sterling Downs, a horseracing instant win game, and a new 5 reel, 9 line slot game branded Baywatch.
A casino account gives members automatic access to the At The Races Poker Room.com, bringing the horseracing community to multiplayer Internet poker tables. New poker players will get a GBP 100 freeroll tournament token with opportunities to enter daily Texas Hold 'Em tournaments and Poker Points freeroll tournaments.
“Our aim is to operate a dedicated casino and poker room for true horseracing fans,” said Matthew Imi, Chief Executive of At The Races. “We’re offering thousands of pounds in cash prizes each month, loyalty points which convert to cash bonuses and special member offers which will be of real appeal to casino gamblers and, in particular, racing fans.”
The new casino will enjoy the benefits of powerful cross promotion with the popular At The Races television channel, which boats a million viewers each month, and from the At The Races.com website which is now one of the top racing and betting sites in the UK with 12 million pages served in March and traffic doubling monthly. It will also be supported with a TV sponsorship credits launch along with a banner advertising campaign online.
Wide ranging study of the industry's latest opportunity
Irish research company Research and Markets were quick off the mark this week with an in-depth study of the nascent mobile gambling sector and opportunities.
Mobile Gambling: Issues, Obstacles, and Opportunities is based on primary and secondary research conducted by industry analyst and consultant Jacques LeDisco in which he answers many important questions pertaining to on-line and/or mobile gambling including:
What are the legal issues for the gambling market in the United States?
What precedents have occurred for mobile gambling?
What has been successful and what has not?
What is gambler sociology and gambling preferences?
Throughout the publication, quotes and opinions are provided from those that have been directly involved with implementing and/or operating gambling operations with an emphasis on on-line and/or mobile gambling. Their insights and "lessons learned" are worthy of consideration.
The report will interest a wide cross section of industry companies and individuals, as it covers topis such as Wireless Internet, Online Betting Goes Mobile, WAP, 3G and Java, together with global surveys of the market and informed forecasts of its potential. Transaction and online payment processing are dealt with, as well as legal considerations, and marketing, customer relations and gambler behaviour.
BRITISH TELECOM HELPS DATACASH EXCLUDE UNDERAGE USERS
1 April 2005
Multi purpose URU identity verification service to be deployed
UK payment servicer provider DataCash has announced an agreement with British Telekom to empower its clients with access to BT’s identity verification service, URU. The service will help DataCash customers detect underage gambling, potential fraudulent activities, and also prepare for new money laundering and gambling legislation.
The service works by asking a series of questions and checking the individual’s answers against national reference databases such as mortality, electricity, telephone and financial industry records and passport and driving license details. No personal data is disclosed by the reference databases: simply a ‘match’ or ‘no match’ report is returned. The service attracted considerable interest at last years EIG conference in Barcelona.
By using URU, DataCash will be able to provide combined age, identity and fraud screening of credit cards and debit cards to all organisations using the company’s payment facilities. Gaming organisations will no longer rely solely on a customer’s debit or Solo card – some of which can be issued to children as young as 11 – as a means of proving identity and setting up an account. Because the service carries out these checks in real-time, legitimate customers will experience little in the way of inconvenience and delay.
Gavin Breeze, the Business Development Director at DataCash, said: “Identity fraud related crimes constitute the UK’s fastest growing criminal activity and look set to cost the country a staggering GBP 1.3 billion per annum. Because of the comprehensive online checks carried out via URU, this agreement will help to overcome the numerous loopholes found in current processes, which mainly rely on paper-based checks that can easily be forged.”
Paul Putland, URU product manager, BT said: “The online gaming industry has a duty to protect children and prevent them from gambling, just as a traditional casino does. They have to take all reasonable steps to ensure that if someone is underage they are unable to place bets. Linking the URU service with DataCash’s payment service makes it simple for online gaming sites to implement all the necessary checks and makes it a very straightforward process for the end user.”
The French courts could be the next battleground in the sovereignty struggle, where nations within the EU try to assert their authority to exclude companies from other EU nations who wish to carry on business within their borders.
French betting operator Pari Mutuel Urbain has threatened to take the UK's Sportingbet plc and Stanley International Betting, Austria's Bet and Win and Malta's Mr Bookmaker to court for breaking its monopoly by offering bets on French events over the Internet.
Since 1891, the PMU has held a monopoly, and in the thirties this was used in a bid by the government to protect the betting public by controlling the industry and preventing its takeover by Mafia interests.
"These bookmakers are breaking the law of 1891. What they are doing is illegal. We are launching legal proceedings against them," claims Francoise Toussaint, a spokeswoman for PMU. "The four companies have recently launched French internet sites on which they offer odds on a range of French sporting events, including horse races and football matches."
The four companies plan to defend themselves against legal action through an appeal to the European Union's Court of Justice, which in November 2003 forced Italy to drop similar proceedings against a British bookmaker. The European court ruled that as the Italian authorities were actively promoting betting via the state monopoly - and reaping large tax returns from the industry - they could not invoke the need to protect the public in order to prevent foreign competition.
STOP PRESS:
As InfoPowa went to press this week the news was coming in that Britain's big three bookmakers have launched a campaign to smash domestic gambling monopolies in many European countries which prevent them offering bets to hundreds of millions of Internet gamblers.
The Telegraph reported that a large number of EU states are imposing "unfair and illegal trade barriers" to prevent on-line operators, including the 'Big Three' of Ladbrokes, William Hill and Coral, from accessing their markets, according to a detailed report produced by the Association of Remote Gambling Operators.
In many cases the restrictions are being applied to protect domestic gambling monopolies and tax revenues rather than for reasons of genuine public interest, the report says.
The big bookmakers have repeatedly attempted to get a foothold in the potentially lucrative European gambling market but have been rebuffed.
Gambling is a legitimate service, according to the EC Treaty, and European Court of Justice case law has confirmed the legal basis for providing cross-border gambling services.
Clive Hawkswood, general secretary of ARGO, is quoted as saying: "Those opposed to the free movement of remote gambling services in the EU hold deeply entrenched views. However, we are in this for the long haul and will continue to argue strongly that our position is supported by EU law and recent ECJ cases."
ASIA THE TARGET FOR POKER SOFTWARE PRODUCER
1 April 2005
Region is reaching critical mass says company
Asian portals are the target for new poker software developed by CYOP Systems International, according to a press release this week.
The release claims that Asia is fast reaching the critical mass and interest needed for online poker, and reveals that CYOP Systems Interna tional hopes to become the early leader in the field. With backend CrediPlay financial systems already localised into traditional and simplified Chinese language format, CYOP has begun working on the front end game translations of its poker games.
CYOP quotes from a recent report from IDC Online, which says that gaming revenues in the Asia-Pacific region will reach $1.84 billion by 2008. Overall, online gaming subscription revenues in the Asia-Pacific region (excluding Japan) are projected to more than double by 2008 to $1.84 billion from $760 million in 2003.
"Recent reports have Chinese Internet users spending an average of 12.3 hours per week online with gaming and entertainment being the second most popular online activity," said Mitch White, CEO of CYOP. "Combined with reports that China expects to have a total of 120 million Internet users by the end of 2005; a 28 percent increase from the 94 million users in 2004 this presents solid opportunities."
Should these predictions prove to be correct, China will have the second largest number of Internet users, after the US.
International online gambling group, Bet Internet.com has announced the appointment of two key members to its top management team.
Simon Nicholls moves in as chief operations officer of European Wagering Services, the pool betting subsidiary of betinternet.com plc. He was formerly mnaging director of GG.com, the Internet arm of GGMedia which holds the media rights to 10 independent UK racecourses, for five years. He has also worked for Weatherby's, the Secretariat for UK racing, in Business Development and Data Services and is experienced in media rights and the sale and exploitation of racing data pre and post race. In addition Simon has extensive experience in online betting and gaming and business development in both the B2B and B2C environment.
Tony Elder FCCA becomes Financial Controller of betinternet.com plc. He qualified with KPMG and more recently was a management consultant with Whitechapel Corporate Services, providing tax and cost-saving solutions for blue chip public companies.
Bet Internet md Paul Doona says, "I am looking forward to working with Simon to exploit the global betting opportunities that are presenting themselves to the company through the use of the Amtote Hub, based here in the Isle of Man. This is one of only a handful of hubs in the world today that can truly commingle into over 80 track pools at any one time. The appointment of Tony with his wealth of relevant financial experience will be invaluable in supporting the planned growth of the business."
Ingenious new online gambling idea gets the thumbs down
Someone in Wyoming has come up with an ingenious form of Internet gambling, but unfortunately it does not appear as if the state attorney general is going to allow it.
State AG Pat Crank says that the new computer sweepstakes games appears to be illegal under Wyoming law, although he has only limited information on exactly how the Extreme Insured Promotions Phone Card, Internet and Computer Time Sweepstakes (EIP) works.
The game is being offered at a new Internet cafe in the state. Players of the EIP sweepstakes pay $5 for a 100-minute phone card that can also be used to access the Internet for one hour on the Internet Cafe's computers. When players purchase the card, they are given 100 sweepstakes entries. Players can then use the sweepstakes entries to play slot-machine-style games on the Internet Cafe's computers. If a winning combination is hit on the game, the player is awarded win points that are redeemable for cash.
"There does not seem like much difference between that and putting a quarter in a slot machine and pulling the lever and having coins trickle out of the bottom," Crank said. "You are still playing a slot machine and ultimately you can win cash because you are playing that slot machine."
The fact that one can access the Internet to e-mail friends and other perfectly legal activities on the Internet Cafe's machines should not make much of a difference when it comes to their legality, the attorney general said.
"If that logic held, I guess I could put a phone receiver on the side of a slot machine and so when I put my dime in, I could either play the slot machine or I could call my grandma," Crank said. "If in fact that slot machine is being used as a slot machine, it would be illegal under Wyoming law, even though I had the ability to call my grandma as well."
Symantec reports alarming increase in bugs hunting for private information
Those "rebels without a cause" nerdos trying to show the world how clever they are through hacking attacks seem to have morphed into more sinister - and criminal - crooks who are trying to access and steal Internet users' cash.
"We've seen a definite trend toward monetary gain," says Oliver Friedrichs, senior manager at Symantec Security Response.
Since last July through to December 2004, 54 percent of the top 50 malicious programs infecting computers or intercepted by screening ware sought to steal confidential information, often financial data.
That's up from 44 percent from the previous six months.
"This is easy white-collar crime," confirms Steven Sundermeier, a vice president at security software company Central Command .
The semi-automatic weapon for online criminals are bots (short for robots) a combination of worms, which are self-propagating viruses, and trojans, malicious software secretly installed on a PC.
Hackers covertly install bots on insecure computers and through these are able to remotely control the PCs, often building large "zombie" armies that can he hired out for ciminal purporses. Though bots aren't new, they're increasingly used for criminal purposes, experts said.
Criminals scour the infected PCs for credit card numbers and banking passwords and may steal a person's identity. They can install adware - software that launches money-making ads - log keystrokes and turn on a PC's video camera.
One bot Symantec found could receive commands from the hacker via e-mail. Numerous others hijack PCs and use them to send spam. Another bot uses a seized PC to send e-mails to lure people to a replica of a Web site under the hacker's control, routing entered passwords and other sensitive information to the hacker.
Some hackers even sell bots that resist anti-virus protection for $20 to $1,000 to organized crime groups and other hackers, according to TruSecure, a security software company.
As anti-virus companies release vaccinations, hackers craftily tweak their techniques. Symantec found 6,000 new variants of the top three bots in the last half of 2004, nearly 11 times the number from the same period the previous year.
Hackers connect the bots into a network of up to hundreds of thousands of bots, which they can use to overwhelm Web sites with requests, making the sites inaccessible and demanding "protection money."
"They basically say to the online gambling sites 'If you don't pay a certain amount of money we will send our bot army against you,'" said Johannes Ullrich, chief technology officer at the SANS Institute.
It's difficult to trace the crimes to hackers because infected PCs in homes and workplaces do the dirty work, security specialists said.
"
An 80-year-old grandma who is just online innocently chatting or e-mailing grandsons or granddaughters may download and execute one of these bots," Sundermeier said. "If any trace routing is done, it comes back to her machine."
Hackers install malicious software on PCs by luring people to click on links or attachments in e-mails, enticing someone to visit a virus-laden Web site or connecting directly to an insecure PC via the Internet.
It is essential that all computer users who connect to the Internet take the following basic precautions:
Constantly run a firewall and anti-virus software. Frequently or constantly run anti-spyware software.
Don't keep your computer connected to high-speed Internet access for long when you're not using it.
Never click on links or attachments in unsolicited e-mails or instant messages. Even if you think the e-mail is from your bank, type the bank's Web site in your browser yourself.