Acrimony, cancelled negotiations and litigation break out between Empire Online and Party Gaming.

The press releases were flying this week as both Empire Online and Party Gaming abandoned their discussions on a possible acquisition (see earlier InfoPowa reports).

Empire Online lashed out first with the announcement that it had terminated negotiations with Party Gaming and has started litigation connected with Party Gaming's decision to go its own way by distancing itself from its skins. It said the termination came after "protracted due diligence and continued delays in the timetable (by Party Gaming)"

The negotiations have been in progress for some weeks and are believed to have started with an all share offer for around GBP 400 million by Party Gaming. This has since been revised downwards to 60p a share, or some GBP 175 million in total. Both offers are substantially less than a reported Sportingbet bid (subsequently withdrawn) of over GBP 750 million several weeks back.

Empire said that the second offer was "at a level that cannot be recommended." The price offered was not the only change, with payment arrangements in the proposals revised to include cash elements, too.

Party Gaming spokesmen shrugged off the threat of litigation, saying that: "To the extent that any action is forthcoming, PartyGaming is highly confident of a successful outcome." and "They're clutching at straws."

Empire Online spokesmen seemed equally confident, saying: "The directors of Empire Online have explored whether legal action might be taken ... in relation to damage caused to it by the conduct of companies within the PartyGaming group in separating the poker system used by PartyGaming players from that of its skins. Having received legal advice, the directors intend to institute and vigorously pursue legal proceedings as soon as possible."

Meanwhile, Empire's founder and CEO, Noam Lanir appears to be still receptive to takeover bids. In the wake of the Party Gaming termination, the company said that it has received several "commercial strategic approaches" over the past few months and would be commencing discussions with the unidentified parties involved.

In an apparent show of strength despite its recent warning of a 10 percent slide in profits, Empire claimed its business interests unconnected with PartyGaming, including Club Dice and Noble Poker, are on track to make profits after tax of about $37 million (GBP 21.5 million).

And Ivey takes home the big money

Just six players remained mid-week in the Prima Poker Monte Carlo Millions high value tournament final, which was held in Monte Carlo.

The final table, with a US $ 1 million prize at stake was a truly historic marriage of the old and the new, taking place amid the traditional glamour and elegance of the world famous Casino de Monte Carlo itself.

The finalists were were those left standing from 113 entrants, and the first ever poker players to fight for the big money in the Casino de Monte-Carlo, one of the world's oldest and most prestigious land casinos.

Up for grabs was the $3 million prize pool guaranteed by the Prima Network and top players hailing from the United States, United Kingdom and Sweden were ready to rock:

Around 5pm Monte Carlo time host Matt Savage introduced the final players and the seats and chips as follows:

Seat 1 Richard Herbert 908,000

Seat 2 Phil Ivey 2,317,000

Seat 3 Kenna James 310,000

Seat 4 Marc Goodwin 681,000

Seat 5 Paul Jackson 809,000

Seat 6 Bengt Sonnert 582,000

Seat 7 John Juanda 160,000

The blinds were 8k - 16k with a 2k ante as they started playing for the big one.

The first casualty was not long in coming. At 5.19pm Kenna James was out, followed 5 minutes later by Juan Juanda.

Richard Herbert left at 5.52pm in 5th place with $175 000 in prize money, followed by Bengt Sonnert at 6.21pm with $250 000 for his 4th spot.

That left Phil Ivey, Marc Goodwin and Paul Jackson, with Ivey way ahead on chips.

Goodwin took the road at 8.36pm in third place with $325 000 leaving Jackson and Ivey to decide who was champ.

The two battled on with some huge bets, and Ivey holding a massive chip advantage. Almost exactly an hour after Goodwin left the table it was all over - in a spectacular All-In Ivey knocked Jackson out at 9.35pm, claiming the top $1 million prize. Jackson left with second place and a purse of $600 000.

It's been a great year for the young poker player, with his latest win becoming his sixth major final table for the year. Ivey is a five times WSOP bracelet winner and in total has won over $2.7 million in tournaments during 2005.

FUNTech goes for US$ 195 million

FUNTech, the successful Canadian company started three years ago by Cryptologic founder Andrew Rifkin and young business entrepeneur Lorne Abony has become the focus of the latest big online gambling industry deal with the announcement that Liberty Media is to acquire a 51 percent interest for US $ 195 million.

The purchase represents a 40 percent premium on the share price last week.

Liberty Media is a US company with a number of large cable and Internet business interests, and the news sent FUN stock on the Toronto exchange up by 12 percent. Lorne Abony as the current CEO has agreed to remain with the company for the next three years and will exchange his FUN stock for about eight per cent ownership in the new company, making him its second-biggest shareholder after Liberty Media.

Fun Technologies provides online skill games to many well-known companies such as AOL and MSN, and runs an interactive television game-show service for GSN, a U.S. cable-TV channel co-owned by Sony and Liberty Media, which also owns the QVC Inc. shopping network and other companies.

Under the multi-stage deal, Liberty, based in Englewood, Colo., will invest US$ 50 million in FUN by purchasing 10.5 million of its common shares directly from its treasury, and in the second part of the deal, Liberty will issue a tender offer to buy 23.2 million existing shares at 360 pence to take its total ownership in a recapitalised FUN to 51 per cent.

Abony said that his company currently employs 200 people in Toronto, and a further 80 at its Los Angeles offices where most of the operating activity on behalf of customers is carried out.

"We're the market leader in two of the fastest-growing sectors in online gaming, namely skill gaming and fantasy sports," Abony said in an interview.

Skill gaming involves wagering cash on any game that's not a game of chance or luck - games like chess, checkers, solitaire, spelling games. About two-thirds of the nine million registered users of FUN's skill games are women who "...profile very similar to somebody who does scratch-win lottery tickets," Abony said.

Fantasy sports teams, which have been an amateur pastime for years but only recently an online business, allows enthusiasts to pick real-life pro athletes for their dream teams and track their progress throughout a season or tournament."We provide real-time injury report on your phone and we provide real-time scoring and data," Abony said.

The alliance with Liberty Media will allow Fun to move beyond the Internet in a big way, as evidenced by its success in developing an interactive, real-time system of the TV game show Lingo for GSN, Abony said. "Lingo exploded and became our second-largest customer. It's proof that this business model really works," Abony said.

Liberty Media sees "participation TV" as an opportunity to combine its cable assets with Internet gaming.

"From my perspective, the business is just hitting its inflection point. It's just starting to boom," Abony said. "This business, I think, is in its infancy."

Want to play at your own personalised table...here's how

Proud of your university team or service in the forces, and want to stress the fact during your poker playing? Absolute Poker.com has come up with a facility that allows you to do just that.

Starting this week, players at Absolute Poker can add a touch of personality to their game with the launch of Absolute Poker "Skins" - the ability to customise their own table with new and improved graphics and a user friendly setup.

InfoPowa took a trip to http://absolutepoker.com/tableskins/ to take a look at the options available and we came away impressed.

There are tables with a Navy motif, luxurious boardroom styles, top university team logos like the Notre Dame Fightin' Irish and, for the laidback even one in denim! With dozens of options, there should be something for most players.

Absolute Poker has increased its current table designs or "Skins" to help its wide range of members enjoy playing within the comforts of their own personal table designs, says Card Room Manager Gian Perroni. "Our current Absolute Poker table is great but we found it impossible to please everyone. Many people loved it, others were asking us to make minor changes. Instead of guessing we decided to allow our players to create their very own card room," he said.

"We took the initiative and created a number of different tables players can easily install." says Mike Edwards, Business Development Manager at Absolute Poker. "We also created the ability for people to design their own tables and share their designs. We are in a position to provide our players with what they want, and they can now create their own tables."

Shades of "Grease"

Newly arrived this week is the Microgaming-powered site Road House Reels.com which we understand is a new and mainly slots oriented offering from the Grand Prive group (Lake Palace, Casino Grand Bay, BellaVegas Casino, Jupiter Club Casino)

The fun Fifties roadhouse theme is well done with hotrods, juke boxes and those great classic finned Yank Tanks of the era. Look out in particular for the exclusive Jane Blonde (geddit?) 5 reel, 9 payline slot. The site also features Mega Spin High that enables players to check out several different games at once.

With full 24/7 Support, a loyalty program and a wide range of financial choices this one has all the bells and whistles a player could need and comes with a Kahawake license. The parent group is a part of the eCOGRA "Play It Safe" seal initiative, which means that hassles are unlikely, but if there are any the Fair Gaming Advocate will step in.

A matchplay signup bonus maxed at $100 is available, along with several other promotional offers.

Software glitches at Casino Europa

Claiming a software glitch as a justification for disqualifying winnings has surfaced twice recently in online casino operations - both apparently in Europe.

In one case the Malta authorities are investigating a licensee for some questionable conduct that allegations claim included an initial attempt to void a substantial payout by claiming a software fault; subsequent tinkering with the T&Cs to introduce a "failed software" clause; refusing to supply game logs and unilaterally placing a hopelessly inadequate *settlement* in a player's account. The player has hired a lawyer and is going after the operator.

In another case there are reports that Casino Europa has denied a substantial payout on grounds of a software malfunction, and is now ignoring the player. One major portal posted a warning to players - who it is claimed had not been warned by the casino - that the affected game had not been taken down, but it later transpired that the bug had been fixed, and the Antiguan licensing authority was presumably happy with this solution.

Claiming faulty software to disqualify winnings and unilaterally returning the player's deposit so that he or she "is not actually out of pocket" does not make these cases go away and it is not acceptable from honest casinos.

The fairness and efficiency of software is a prime demand from players, and one which online gaming operators need to take very seriously. Introducing "software glitch" clauses to the T&Cs offers the unscrupulous an opportunity to defraud legitimate players and in any case carries with it a stern obligation to handle such cases in a highly transparent and communicative manner.

It is also a short term tactic, because once the word gets out that the software is dicky, savvy players will usually avoid playing.

Tasmanian Parliament votes a convincing "yes" on betting exchange law

The contentious legislation that will allow the Tasmanian government to license betting exchange company Betfair overcame another political obstacle this week when the Parliament passed the Gaming Control Amendment (Betting Exchange) Bill 2005 with only four amendments.

The approval ends a year-long battle by Betfair and partner in the Australian venture Kerry Packer's Publishing and Broadcasting Limited (PBL) to gain an Australian licence. Members of the House debated and considered the new legislation for two days before passing it.

Amendments requiring independent socio-economic impact assessments every three years were accepted by Premier Lennon despite his opposition to this during the consultative process. However, a move by the Green Party to include a requirement for a socio-economic study before the licence was granted was shot down.

Betfair director Andrew Twaits said outside Parliament: "It's a great day for Australian punters. Punters fund the racing industry. A lot of people tend to forget that. What this does is provide competition with existing wagering operators, which can only give punters a better deal at the end of the day."

Twaits added that his company would apply for a license, which he expected would not take long. It would then move in 20 UK employees to set up the hub in Hobart with a view to having it operational by early 2006.

Answering statements that other companies would be seeking licences, too Twaits agreed that competition was inevitable. "We do expect competition from existing wagering operators and we do believe that there will be other betting exchanges licensed in Australia, possibly in Tasmania, within the next 12 months or so," he said.

Betfair has been a controversial proposal for Tasmania since Premier Lennon first entered into talks with the Betfair-PBL consortium in April.

Racing authorities warned that Tasmania could be ostracised from the national betting pool as a result of its decision, a statement that Lennon countered by seeking a commitment from the Australian Competition and Consumer Commission that it would investigate should anti-competitive retaliatory action occur.

The Premier applauded the passing of the Bill, saying: "Betfair brings with it unprecedented improvements in probity and integrity to racing, huge funding increases to the local racing industry and at least 150 new jobs for Tasmania. The Legislative Council listened to the facts and reached the only logical conclusion."

MPs received a seven-hour final briefing on the Bill 24 hours before the vote, listening to interested parties like the Australian Racing Board, Tasmania's Thoroughbred Racing Council and Betfair.

Australian Racing Board director and Racing Victoria chief executive Robert Nason, who warned MPs that Betfair's promise of between $35 million and $40 million by 2009-10 was "highly unlikely", said they had been given a good hearing.

"It's democracy at work isn't it?" he said.

But Swedish government draws the line at online casinos or betting exchanges

According to a press release from Boss Media President Peter Bertilsson this week, Svenska Spel, the Swedish state-owned gambling monopoly has been given the go-ahead by the Swedish government to start an internet poker service.

Boss Media, the company that will partner Svenska Spel in the venture has been awaiting the approval for several weeks (see earlier InfoPowa reports) Boss will now move ahead with arrangements to provide the "full scale poker system" to the Svenskaspel.se site.

However, Deputy Prime Minister Bosse Ringholm said that Svenska Spel would not be allowed to run internet casinos or betting exchanges. Ringholm, who is also gaming minister, justified allowing the poker service by saying that it wanted to channel internet gambling to organisations under the control of the Swedish state.

"We are breaking new ground together with Svenska Spel. Internet poker is a very successful product, and the state operators are all very strong in their national markets," said Bertilsson.

Nielsen/Netratings presentation especially useful

Popular online publication Netimperative hosted a seminar in central London this week, looking at the current issues facing the online gaming market, and how to get the most out of the booming sector.

Internet research firm Nielsen//Netratings's presentation was especially informative, with an overview of the market at both a global and national level. Alex Burmaster, European Internet analyst, pointed out that while the US retains the biggest market share, Spain is the fastest growing market, and France has the most online gamers per head.

The UK was the strongest market in terms of advertising gaming sites, accounting for an impressive 34 percent of all UK campaigns online, with JackpotJoy the most prolific advertiser.

Lottery-style games, including bingo, were the most popular form of online gambling globally, comfortably ahead of casino and bookmaker sites. The UK’s National Lottery is currently the most visited site globally, while InterCasino and PartyPoker are the top casino sites, according to Nielsen//Netratings research.

Burmaster went on to look at the profile of the typical online gamer, which he broadly defined as male aged 35 or under using a broadband connection - contradicting previous surveys that have indicated a female dominance. After discussing the key appeal of online gaming, Burmaster noted that much of the online gaming market remains untapped.

Peter Woodfine, head of business development at LastMinute.com, concluded the seminar by offering a media-owners perspective. Woodfine admitted that the leisure retailer’s marketing department felt a degree of trepidation when entering the online gaming arena two years ago, feeling it could send customers the wrong message.

However, the firm received no complaints, and the service has attracted a strong number of customers, although Woodfine admitted it’s gamers rarely transfer onto other Lastminute services.

Woodfine emphasised the importance of regular reporting to track revenues and help optimise marketing, which he said was often overlooked when selecting a white label partner. He concluded that continued marketing drives to “give customers reasons to play” were key to keep the service fresh.

Powerpoint summaries of the presentations were made available by Netimperative.

Russian, Polish language poker sites launched

The major Swedish poker provider, Ongame has launched real-money poker websites in Poland and Russia, making it the first big operator to offer Internet venues in the native languages in these territories.

Europoker.com's Russian language site will be promoted vigorously in a multi-million dollar marketing campaign centred on Moscow, which will include TV and radio advertising and is scheduled to run until the end of this year.

Continuing after that could be problematical in view of new constraints on the advertising of i-gaming which are about to be introduced by the government.

Russian gambling is a booming market with considerable potential according to Ongame, which says that the number of land casinos in the country has grown from 30 to 58 in the past three years.

Ongame's VP new markets, Jakob Soderbaum says: “Online gambling in Russia is still very much in its infancy, but with internet penetration growing and interest in gambling on the increase, the signs are that Russia will become an important market for the industry. As there is no market leader and only a short period before advertising restrictions take effect, the next six weeks will prove critical to the long-term look of the Russian market.”

Plans for a Polish language site are also well advanced.

30 percent upside on share price possible says HSBC

Analysts at HSBC this week took a brighter view of poker giant Party Gaming, lifting the share price target to 122 p and revealing that there is a strong potential upside of 30 percent on the share price at the 94p level.

Analysts noted that although the PartyGaming share price has retreated considerable from its July high of 179p, the fall has been overdone and some adjustment can be expected.

“We expect continued growth from its current core market, benefits from the data mining project started this year and new game offerings will drive top-line growth,” wrote Richard Wainwright, analyst for HSBC.

The pessimistic comments by the Party Gaming CEO when the September interims were released are widely believed to have triggered the 30 percent fall in the share price that followed. But Wainwright noted the fears regarding the strength of the poker market have not been supported by the third-quarter key performance indicators (KPIs) from either PartyGaming, Sportingbet or 888.

“PartyGaming’s de-rating has nevertheless had a significant impact on the sector... As a result, we believe the online gaming sector is now relatively undervalued versus its growth rates,” Wainwright opined. The analyst also commented on the recent deals to acquire former skins, saying that consolidation within the i-gaming industry would probably increase.

The question on many broker and investor lips this week was whether Party Gaming will press ahead with its previously announced negotiations to acquire former skin Empire Online. The latter's share price has taken a hammering over the past few days, driving it down to a market capitalisation of only GBP 180 million. Rumours are rife that the deal may be off, inducing more uncertainty and caution among investors.

Respected gambling exec speaks on UK gambling tax

Victor Chandler has joined the many online gambling executives appealing for sensible tax concessions under the new UK Gambling Act.

The sports betting and gaming entrepreneur, head of the Victor Chandler Group, told The Times that he would consider relocating his Gibraltar-based gambling operation back to the United Kingdom if the UK government introduces a favourable tax regime.

Victor Chandler was one of the first British bookmakers to take advantage of more benign tax regimes offshore when, in 1999, the company's entire operation was moved to Gibraltar, from where it could offer tax-free betting to a growing number of international clients.

However, in the meantime, the UK has abolished tax on betting stakes, and officials are now working to agree a revamped regulatory and taxation system for online casinos and poker sites. Chandler told the newspaper that he would only be tempted back to the UK if the government introduced a more favourable tax regime than that currently offered in Gibraltar.

“For an operator like me, the only way they’d stand to get us back to the UK is through what I’ve got here, corporation tax, like any other business, and nothing else,” Chandler stated.

“It will be interesting to see what the (UK) government does because they could end up making laws to ensure the industry is properly regulated but then, if they get the tax system wrong, they’ll have virtually nobody to regulate because everyone will stay where they are," he added.

Chandler noted that there are compelling reasons for a company like his to move back to the UK, such as cheaper access to internet bandwidth and a larger pool of potential employees.

DVD features best-selling poker author Ken Warren

Sportsbook.tv have launched a free DVD-based initiative aimed at training and educating their members to play better poker.

The complimentary Ultimate Poker Company's “Winning Texas Hold'em” DVD features best selling poker author, Ken Warren, and World Poker Tour co-host, Vince Van Patten, in an extensive tutorial of poker in its purest form, Texas Hold'em. From the `Poker Scale' to `Raising to Bluff,' this DVD covers everything the amateur poker player needs to know to become an excellent Texas Hold'em player.

Record breaking new share price

The giant search engine and portal Google's stock broke through the $400 price level this week amid optimism about a surge in online advertising during the holiday season and continuing projections for rapid long-term growth.

Stock rose $5.30 to $403.45. The search engine that went public at $85 a share in August 2004 has continually exceeded Wall Street forecasts for profits.

At the new level above $400, Google's lofty stock market value of $117.7 billion makes the Silicon Valley firm worth tens of billions of dollars more than the combined value of Internet titans Amazon.com and Yahoo.

Latest survey shows both virtual gaming and cellphone usage is booming

Joining the series of intriguing consumer studies this week is the latest document from Nielsen Entertainment, which takes a look at video gaming and cellphone usage in the States. Although not gambling-specific this survey shows encouraging growth in mobile entertainment, an area running parallel with the rapid rise of m-gambling.

The two separate reports, each one surveying over 2,000 consumers engaged actively in either video games or in their use of mobile services were surveyed online in September 2005 and results were weighted and projected to the United States population through a national probability sample frame using random digital dial methodology.

Subjects such as the impact of expanding demographics, average and competitive entertainment spending amidst the total landscape of entertainment spending, awareness, attitudes and purchase interest in new consoles, platforms, and devices, service and genre preferences, influential sources of information and psychodemographic segmentation is revealed in each report.

Said Andy Wing, President and CEO of Nielsen Entertainment: "The inter-connection between video games and mobile devices is undeniable given consumer demand for flexibility. High technology adopters are more likely to use the internet, use their cell phones and play video games spending greater amounts of time and money on these media. The details revealed in these reports raise actionable items for marketers and developers alike and the result is clear: "emerging" media, they are no longer. Games and Mobile entertainment have arrived as powerful channels to consumers and influencers of our culture."

Neilsens says the mobile entertainment marketplace is poised for unprecedented growth throughout the next year as media companies test and refine new business models. Highlights from the Mobile Benchmark Report include:

* Turnover Equals Opportunity: 52 percent of mobile phone users will buy a new phone within the year with 37 percent claiming additional features will figure prominently in their decision making process

* Mobile Atop Media: On average, active mobile phone consumers report spending 17 hours on their phones per week, 13 talking and 4 on data services, surpassing music, video games, movie going and home entertainment

* Mobile Girls are over TVs: Young females are on their mobile phone 23.5 hours per week on average, more time than the 20.9 hours they report watching television

* Following the Money: Topping all entertainment expenditures for share of wallet, mobile phone users spend $57.50 each month on their phone and related services

* Mass Market, Mass Medium: 85 percent or 144 million 13-54 year-olds are mobile phone users

* Cutting the Cord: One in seven mobile phone users have no home landline and 35 percent consider their mobile phone to be their primary phone

* Nickels and Dimes: Of the mobile consumers polled, 60 percent said they pay for text messaging; 48 percent for custom ring tones; and 22 percent for games

* Multiple Dominant Brands: Motorola, Nokia, Samsung and LG are cited as top hardware providers while Verizon, Cingular, Sprint Nextel and TMobile are cited as top service providers

* Gamers Agree: Women and men share the preference to play board, card and puzzle games on their mobile phones

Said Emily Della Maggiora, VP Nielsen Interactive Entertainment: "The direct-to-consumer opportunity afforded by the broad penetration of phones, and the consumer's increasing desire for mobile entertainment, sets the perfect stage for exponential growth in the mobile entertainment marketplace."

Video Game Benchmark Report

Since Nielsen Entertainment's first report on video games earlier this year, our focus has shifted to the active gamer, qualified by owning a console and spending at least one hour a week playing on it. Still, what has emerged in this first look at the active gamer, are some surprises, about how the active gamer defines "games," identifying a games category with gender parity, the rising importance of MMOs (Massively Multiplayer Online), and attitudes on the connection of games to mobile devices.

* Moving Online: 57 percent of active gamers have played online with free casual online games.

* Women are Playing: While online-enabled console, MMO and gambling gamers are disproportionately male -- 76 percent vs. 24 percent -- casual gamers who play free online games such as puzzles are just as likely to be women as men, 49 percent vs. 51 percent respectively

* Good Scores on Mobile Gaming: 18 percent of active gamers have downloaded a game to their cell phone, with nearly two-thirds (63 percent) rating their experience from good to excellent

* Jock Games Rule: Traditional sports is the most preferred game genre followed by Role Playing and First-Person Shooter

* Men of Opportunity Value: Males 25-34 and Hispanics represent the most valuable emerging market for video games with high entertainment budgets and higher potential than other segments for increased video game spending

* Dominating Leisure Time: Nearly 25 percent of a gamer's leisure time is spent playing video games, with males playing 12 hours per week on average.

The Money Gaming Corporation and Dennis Publishing sign collaborative deal

Latest team in the fast moving skill games sector is The Money Gaming Corporation (TMGC) and busy publishing house Dennis Publishing which owns the flagship magazine Maxim anda newly launched online gambling portal branded Total Gambler.

TMGC will provide co branded skill games and sites for both Dennis operations, which have a combined audience of some 600 000 members, the majority in the key gambling demographic of 28 to 40 year old males who are lifestyle motivated and enjoy income levels almost 30 percent higher than the national (British) average.

With retro classics such as Backgammon, Mahjong, Solitaire and Pool, TMGC is one of the UK's top skill game providers, a sector where gamers play against each other rather than taking on the 'house'. Games can be played in a variety of ways, allowing players to pick the games that match their strengths. Single Player, Multiplayer and Progressive Jackpots, where small stakes can result in big prizes, are all available, or visitors can take on other players around the globe in open contests and tournaments or in private rooms.

Winner Channel iTV deal brings solid rewards from 40 percent monthly growth

Technology developer Zone4Play will be pleased with its partnership with Winner Channel this week following the announcement that growth and profitability has materially surpassed all projections.

Zone 4 Play serves as the sole technology partner of the Winner Channel, UK's first cable interactive TV fixed-odds gaming service and is entitled to 45 percent of the net revenues generated by the venture.

Shimon Citron, CEO of Zone 4 Play, said: "We are delighted with the progress the Winner Channel is making in terms of subscriber numbers and gaming revenues. Over the past quarter the actual deposits have grown at a compound monthly rate of over 40 percent.

"The growth rates realised to date in the UK support the industry projection that interactive television betting will reach $3.8 billion in Western Europe in 2007."

Launched in mid 2005, the Winner Channel is available to approximately 2.5 million subscribers through the interactive services of UK's cable companies Telewest & NTL. The Channel is also affiliated with Channel 4 (the second largest commercial broadcaster in the UK) and Flextech Television (one of the largest cable and satellite broadcasters in the UK). As at the end of October 2005 the channel had 15,000 registered users and has revealed plans to launch an internet site and a java download mobile betting proposition to accompany the interactive TV service before the end of the calendar year.

21year old is youngest ever WPT champion

A 21 year old online poker player, Nick Schulman is the new World Poker Tour champion following the finals this week. He takes home over $2 million in prize money after just over three and a half hours of play in the final to enter the history books as the youngest player yet to take the title.

Runner up Tony Licastro fought hard, going all-in pre-flop no less than sixteen times, and walking away from the table $1 035 000 richer. Other contenders at the final table were Bill Gazes who finished third with a take home of $759,000, Allen Cunningham fourth at $483,000, Lyle Berman fifth at $345,000, and Lenny Cortellino in sixth place at $276,000.

Tune in to Five in the UK to see the latest technology

British poker fans can take a look at some ground-breaking new iTV technology on the UK's fifth largest land casino channel, Five, this week.

Technology developer Zone4Play has just announced the live launch of the first ever Interactive TV Multi Player Texas Hold'em Poker, which has been uniquely developed for Five by Zone4play and is the first live deployment of an iTV multi player Texas Hold'em Poker in the world.

This is just the start, it appears. With the worldwide poker-playing community now estimated at nearly 100 million people and growing, Zone4Play is leveraging its unique cross-platform gaming expertise to launch the following services for iTV, Internet and mobile over the coming months:

The first ever iTV multi-player Texas Hold'em poker is available on SKY's interactive system and accessible through "Five"'s red button service. Later this year, the game will be launched on 3 more channels. As the network operator, Zone 4 Play is forming a gaming community that is based on the considerable numbers of subscribers of all channels.

The application will be initially launched in play-for-fun mode, ultimately being replaced by a play for real money application, dependent on the implementation of the newly introduced 2005 Gambling Act in the UK.

Commenting on the launch, Idan Miller, Senior VP of Marketing and Sales at Zone4Play said: "We are delighted to be launching this service on 'Five' and providing viewers with an interactive Poker experience from the comfort of their living rooms. The potential for the deployment of our iTV product is vast. Being able to offer UK viewers a truly interactive gaming experience is a huge step for the company."

New study predicts industry revenues of $4.26 billion by 2008

The research company Visiongain has published new urvey statistics on the m-gaming sector that predict revenues of US$ 4.26 billion by the year 2008.

Playing for money on cellphones and PDAs will become a widespread leisure activity as early as next year, the survey finds leading to expansion as a mass market.

Citing the limited number of operators and relatively small number of devices suitable for m-gaming, the study says that this had been an inhibiting factor but that the market is now poised to overcome technical, regulatory, and other challenges to expand rapidly from as early as the second quarter of next year.

Report author Jean-Pierre Aubertin says, "Initial trials of mobile gambling sites have confirmed the channels as viable sources of income for gambling site operators such as William Hill and Ladbrokes."

Services are currently being developed to complement those delivered by fixed and online gambling operators and mobile gambling represents the logical extension of online gambling, he added.

Motown songsters to invest in the industry?

Press material out this week indicates that The Four Tops and The Miracles - well known Motown stars in past years - are to invest in a brand new online casino operation scheduled for launch next February to be branded Motown Legends Casino.

The operation will accept bets from 64 countries where online gambling is legal, including the United Kingdom, but only allow play for fun activity will be permitted for US gamblers due to the legal situation in that country.

Managers for the stars have partnered with Atlantis Internet Group, a gaming management and software company in Handerson, Nevada, to operate Motown Legends Casino. The company uses software originally developed by the 3WGraphics gambling software firm in Russia and has a number of online casinos on its books.

"The amazing thing about Motown artists is that they are known around the world," said Donald Bailey, chairman of Atlantis. "We believe that gives us a major (marketing) advantage over the competition."

Other artists that have agreed to invest in the site include the Contours and the Dramatics as well as Freda and Scherrie Payne.

The launch party is likely to generate plenty of interest, and will take place at the Masonic Temple in Detroit, comprising a star-studded concert and several other parties in Detroit. A four-month international tour to promote the casino will be launched in April, involving a host of entertainment-related investors to help market Motown Legends Casino with concerts planned for Paris, London, Tokyo and Shanghai.

Government in a hurry to study recommendations

Spare a thought for the Vietnamese government officials charged with developing detailed online gaming regulations and licensing procedures - the Ministry of Posts and Telematics wants to consider their recommendations before the end of the year!

The central government has instructed the Ministry of Post and Telematics to get things moving, and just one of the regulatory problems is the rapid development and increasing sophistication of online gaming technologies and accompanying applications.

Because online gaming constitutes a growing and legitimate entertainment form, the government has promised that it would strengthen regulations to minimise the effect of any negative influences that online gaming may have upon social development, especially among youth.

Currently, about 8 million people use the internet in Vietnam, or about 10 percent of the population. The popularity of wide bandwidth internet has contributed to improving people’s computer skills and knowledge in using information technology.

Flotation will depend on what happens with the sale of Hilton group's hotels

The Financial Times in London was doing some informed speculative reporting this week on a possible flotation by the Ladbrokes gambling group should owner Hilton fail to sell its hotels division for GBP 3.6 billion.

The highly respected business journal reported that the chances of a hotel sales deal with US partner Hilton Hotels Corporation was seen as “50-50”, with some of the group’s directors favouring pressing ahead with a separation regardless.

A flotation would allow Ladbrokes to expand internationally and offset strong competition in the UK market by entering the lucrative US sector. Ladbrokes is said to be keen to expand into new territories.

It has held back from taking internet bets in the US because of Steve Bollenbach's presence on the Hilton board, says the Financial Times. Mr Bollenbach, an American and the co-chairman and chief executive of HHC, would risk being the target of legal action if Ladbrokes was to enter the US, because the legality of online betting there is unclear.

However, other betting companies with online operations – notably Gibraltar-based PartyGaming – have generated huge profits from the US despite having directors in the country.

No witness, now another investigation

Last week we reported on the failure of a Jamaican prosecution against Olympic Sports operator Spiros Athanas, the chief prosecution witness apparently not appearing at the trial following a long history of delays and no shows.

Reports in the island's media this week indicate that Walter Scott, chairman of the Betting Gaming and Lotteries Commission (BGLC), has ordered an immediate investigation into the circumstances which led to the dismissal of all eight indictments in its case.

The reports reveal that the Jamaican government had been threatening to shut down the Montego Bay business over an alleged "licensing discrepancy" for the past year, forcing Athanas to set up alternative businesses in other online gambling jurisdictions - most notably Panama and Antigua to ensure there were no disruptions in service.

The missing witness, Michael Surridge, former head of the Revenue Protection Division (RPD), is also eported to be "...fuming over charges that his no show as witness resulted in the case against Athanas being dismissed by the court."

The BGLC's lead lawyer, Dr Lloyd Barnett, told the court that the commission could not proceed further as Surridge had failed to show to give testimony.

Surridge, who led the investigations against Athanas, said that he was not there because he had not been warned.

"Nobody asked me to attend court. I did not know and could not know from England, that the case was even listed for hearing. Furthermore, the Financial Investigation Division has informed me that they were not asked to contact me for court," Surridge charged.

Finnish provider to work with The Poker Channel

In the latest m-gaming deal, Finnish technology provider European Game & Entertainment Technology (EGET), is to work with the UK applications company Stream Group in the development of a mobile gaming poker product for The Poker Channel. The Channel is enjoying impressive viewership numbers and claims to be the world's first television channel dedicated to poker.

The teamwork with EGET will enable Stream to become The Poker Channel's exclusive provider of mobile poker and other mobile game products.

EGET's mobile poker is the first product launched by The Poker Channel under the "Poker Heaven" brand and anticipates that the software will be available to more than 25 million European homes early in 2006.

Online Casino News courtesy of InfoPowa