If you’re a fan of online gambling games but are frustrated by the fact that it’s (mostly) only for pretend money, hang tight — that might be about to change in your locale soon. But it’s not just a brewing opportunity for skilled poker players — investors can play a hand in the brewing boom of digital betting too … through stocks.
As is always the case, however, some of these stocks are better bets than others.
Merge Ahead
Just for the sake of clarity, note that two markets are served by online game publishers.
The first one is gamers who enjoy spinning a virtual roulette wheel as a way to win hypothetical money — aka “social casino gaming.” The revenue model is mostly advertising-oriented. If you’ve played the online poker game from Zynga (ZNGA), you’ve fueled this market, though from Zynga’s standpoint you might as well have played Words With Friends or FarmVille.
The second market is real-money gamblers who win and lose actual dollars by betting online. The revenue model here is the traditional casino’s model — “the house” scrapes off a tiny percentage of every dollar laid on the table.
If you’re thinking online gambling (for real money) is illegal, you’re right … for the most part. In the U.S., web-based betting is only legal in Nevada, Delaware and, most recently, New Jersey. It’s also legal pretty much everywhere else in the world; blocking U.S. residents from playing online — even though illegal in most scenarios — has proven difficult.
The revenue at stake isn’t chump change, either. Globally, gambling is a $417 billion annual industry, and about $125 billion of that is generated inside the U.S. Online gambling contributes only about $35 billion of that global figure each year, or about 8% of the entire market. That’s still better than the online portion of the U.S. gambling market though, which only makes up 3% of the domestic betting industry.
Even then, it leaves social casino gaming’s revenue in the dust. The play-money version of the global gambling market is only worth $1.7 billion per year now, and according to Morgan Stanley, will do well to grow to $2.5 billion by 2015. That’s big growth, but still a minor market.
Given those numbers and the potential revenue at stake when social betters gain access to real-money gambling games, it’s no wonder why so many social casino game publishers are looking to enter the actual betting arena … if not as the house, then as the technological backbone for brick-and-mortar casinos. And with individual states starting to ease up on web-based betting now that tax revenue is on the table, it’s becoming increasingly possible for software designers to do just that.
The question is, who’s going to lead that charge, and how?
These Companies Have Winning Hands
There’s little doubt as to the first name investors think of as the best way to play the convergence of social casinos and real poker … Zynga shares soared from $2.56 to as high as $3.73 in a little over a month after New Jersey effectively legalized online gambling in early February. After all, Zynga is “the” name in online social gaming.
Problem: Zynga is losing its “the” status in the world of social casinos.
Ellers Research reported that in the second quarter of this year, Caesars Entertainment (CZR) subsidiary Caesars Interactive Entertainment overtook Zynga as the world’s largest social casino publisher. It’s a small margin: 18% of the market for Caesars versus 15% for Zynga. Zynga is losing ground in the race, though, and with International Gaming Technology (IGT) running a close third with 14% of the market, it becomes clear that the old-school, real-world gambling names have the edge in the world of online gaming — not the newer online-gaming publishers.
Zynga and its rivals in the online game industry must preemptively strike at the brick-and-mortar casinos on their home turf if they’re to have any chance at success in this new arena. The company filed a request for a Nevada gambling license in late 2012; the approval can take anywhere from a year to 18 months, and ultimately requires Zynga to have some sort of physical presence in Nevada (most likely through an established partner). Barring what’s been dubbed a “compact” with other states who will allow it, Zynga’s Nevada gaming license is only applicable in Nevada for people who are in Nevada. Thing is, if a player is physically near a real casino, how marketable is a Nevada-only online poker game going to be?
To be fair, it’s not like Caesars, International Gaming Technology or any other actual casino won’t hit similar headwinds in the virtual world. The partnership between MGM Resorts International (MGM), Boyd Gaming (BYD) and Bwin.Party is arguably the most successful co-venture of real and virtual casinos, and even it’s facing regulatory headwinds overseas now that its key market nations have blocked bettors from playing with anyone outside of that country — a stance similar to the state-based online gambling rules in the United States. But, like Caesars, at least those physical casinos are backed by real casino revenue, and have a much better name to leverage with real-money gamblers.
As if Zynga and other game publishers weren’t facing a big enough challenge already, chew on this: Privately owned PokerStars (with its recently acquired Full Tilt Poker in tow) controls about two-thirds of the global real-money poker market. If for no other reason than PokerStars is deeply entrenched and already generating an estimated top line of at least $1 billion per year, it’s going to be tough for newcomers to make a meaningful dent in the market.
Bottom Line
These waters will remain murky as long as the regulations are being hammered out and other states mull the legalization of online gaming. But as it stands right now, there’s no publicly traded pure play worth a shot.
The best-positioned web-based betting name is Caesars Entertainment, and even if the industry expands to the p
Utopia Entertainment Inc., the company PS Resorts is paying $29,500 to find out what kind of entertainment event Palm Springs needs, has its business down to a science.
Its business is designing and producing themed entertainment and lifestyle events. But what distinguishes Utopia from producers of such long-running local events as Coachella, the Palm Springs International Film Festival and the old Bob Hope Chrysler Classic, is Utopia is paid to take the guesswork out of producing.
Goldenvoice, Sonny Bono and Desert Classic Charities launched the above-mentioned events based on essentially educated guesses of what they thought would succeed.
All three struggled initially. But all three had unique visions and major sponsors came aboard in three to six years to help them grow into events that benefited the desert year-round by the media impressions they generated.
People would see the beauty of the Santa Rosa Mountains while attending the Coachella Valley Music & Arts Festival and return even if it wasn’t to hear music. People would see our blue skies and green fairways during TV coverage of the Hope Classic and want to buy real estate. People would see all the movie people attracted to the Palm Springs film festival and try to develop a mini-industry in the desert.
Utopia doesn’t use terms like “educated guesses” to determine what kind of event Palm Springs needs. It uses terms like “deliverables,” “situation assessments” and “modular components.”
Right now, the Studio City-based company is working on its first deliverable — the situation assessment. By September, it expects to give PS Resorts a three-year plan for a project to turn-key.
In layman’s language, that means they’re asking people for their opinions, creating options and waiting to see if PS Resorts will hire them or another producer to launch it.
They’ve started interviewing “stakeholders,” including the members of the PS Resorts public-private partnership who are paying them. Utopia CEO Norm Kahn has interviewed 13 people, including Mayor Steve Pougnet, Councilman Paul Lewin and “some key hoteliers.” He expects to interview at least 24 people, mostly suggested by Nadine Kohler, executive administrator of PS Resorts. What we also need is input from you, the readers. My feeling is, if Palm Springs tax dollars are supporting an event, it should also provide other benefits. It should offer an opportunity to enrich the spirit of event-goers. It should bond the “audience sector.” It should make people feel good.
Aiming to build business
Kahn said his primary focus is to solve a business need. Utopia has 13 years of experience designing and producing events like the four-day Laguna Beach Food and Wine Festival, the free one-day Great Park anniversary in Irvine and a Solar Decathlon in Irvine.
For Palm Springs, his directive is to “put heads in beds,” especially during the shoulder season, although Kahn says the hoteliers have different ideas about when that is. As part of his situation assessment, he’ll tally all applicable Southern California events, including food and wine festivals, film festivals, ethnic festivals and anniversary events.
“I’m going to try and get the city leadership and PS Resorts a good view of what’s being done out there,” he said.
Of course, that would give hotel and city officials about 1,000 events to examine. There are hundreds of film festivals alone. Palm Springs has a half-dozen good ones.
But Kahn isn’t limiting his research to SoCal.
“The third piece (of the assessment) is a scan of the globe,” Kahn said. “I’m scanning the entire earth for event concepts that could be done in Palm Springs or that may want to come to Palm Springs as a relocated home.”
Kahn is looking at those events for ideas for “modular components” to plug into a Palm Springs event. But he won’t suggest a component unless there’s a sponsorship opportunity to support it.
One of the great things Kahn does is make monthly trips to New York to meet corporate and charity leaders, and “PR, advertising, activation and communication agencies and potential sponsors directly.
“The idea is to familiarize and introduce sponsors to the idea, try to get sponsors to participate in the concept,” he said. “As we design the Palm Springs ideas, we will be sounding them off of potential sponsors and seeing if we can fit a modular component in order to provide that critical mass and funding.” That’s a great way to make an event less dependent upon admission fees, but it’s also risky in that it encourages safe ideas. Corporations like ideas with good track records and that doesn’t always translate into great art. Palm Springs has become cool again in part because it’s developed a brand built around its festivals showing niche films.
Kahn makes a good argument for finding sponsors as an event is being developed.
“If you said to me, ‘Norm, a stand-alone event with no sponsorship?’ I’d say, ‘Be prepared to be in the business for three years,’ ” he said. “But if you said, ‘I happen to know GE and they want to make a statement in Palm Springs...’ I just had Southern California Edison give $250,000 to the Solar Decathlon. They did it because they wanted a better relationship with the mayor. They had other communication objectives, but the basic crux was the new mayor and a relationship that maybe had been strained for sometime, trying to be repaired.”
PS Resorts needs to involve some creatives who can imagine great ideas. Then it needs to direct its event planner to sell those ideas to potential sponsors. Sponsors can’t be allowed to have too much influence in the development of an event.
Goldenvoice leader Paul Tollett once said “democracy is great for government.” But, when it comes to programming, the guy with the brilliant ideas must dictate to the money guys or you’ll never see another brilliant new idea.
Reader input
Kelly McLean, who happens to be Lewin’s girlfriend, has come up with a
QUESTION: My wife has taken to the casino slot games on the Internet — not the money games, but the free games. Are these games regulated as to wins and losses like actual slots in a casino? — John M.
ANSWER: For anyone who likes the thrill of playing slot machines, the Internet offers you the opportunity to play any type of casino game you can imagine. Unfortunately, there’s no way to know with 100% certainty whether the video slot your wife is playing on is an unbiased video representation of a slot machine. Even-handed play exists only when the website is using software that simulates a random number generator to determine the game’s outcome.
With that said, both the website and the software engineer have a stake in making sure that the online games are on the level because they have their reputations to protect in the marketplace.
Many betting portals are certified by online gaming commissions and are audited by major firms that review the fairness of their random number generators, shuffles and payouts. When a site is found to be involved in fraudulent behavior, these fly-by-night operations are typically shut down or blacklisted. Likewise, some Internet gambling sites are licensed and regulated by specific governments, and some are even publicly traded companies.
There are also online watchdog entities that offer a seal of approval for gambling websites. Seeing some form of seal awarded for a particular site might make you feel more secure. Still, when it comes to exposing your own hard-earned money to an online casino in a country you’ve never heard of, it’s a let-the-buyer-beware marketplace.
Your wife, who is playing purely for enjoyment, doesn’t have a one-armed video slot draining the piggy bank. The machines she is playing on are for fun, but the ulterior motive for most free casinos is to draw players to that particular website’s pay-for-play online casino.
Many players take advantage of free websites just to occupy their leisure time and improve their video poker and blackjack skills. One of the best ways to acquire some expertise at your chosen game without the expense of a live game is playing online. Free online play allows you to practice basic strategy at no financial risk. This will enable you to spot costly mistakes that you might be making on a cash play machine. Any knowledge obtained without a casino outlay will make you more money down the road.
IGT, a leading slot manufacturer, has placed a colossal bet that these social games are the next frontier in the gaming business. It bucked up some serious cash to acquire DoubleDown Interactive for $500 million. DoubleDown Casino is the world’s largest virtual casino, which attracts 1.4 million daily users who play their virtual slot machines with virtual money.
As online gambling goes legal at the state level (currently allowed in Nevada, authorized in New Jersey and Delaware), companies like IGT are hoping to turn these daily users into paying customers.
Are those free gambling websites on the level? | Detroit Free Press | freep-com
The old adage ‘no news is good news’ seems to be ringing true in the legal case surrounding online gambling pioneer Canadian Calvin Ayre. It was over a year ago on February 28, 2012 that the Bodog Online Gambling web site founder and self made billionaire Calvin Ayre was indicted by the US Department of Justice on all sorts of illegal gambling charges including money laundering.
There hasn’t been too much in the way of communications from Calvin who has been living the good life in the U.K. and on Antigua his island home. The re-routing of funds has always been an issue for the Department of Justice which alleges international processors, which circumvented US law prohibiting sports betting.
Mr. Ayre was seen not long after the indictment in New York City briefly presumably to hire a lawyer for his defense. The lawyer he has supposedly retained is one of top defense attorneys in the United States, Barry Slotnick is a veteran in the courts defending such tough cookies as John “Teflon Don” Gotti.
Calvin’s Bodog-com web domain was seized by the U.S. Immigration and Customs Enforcement Agency utilizing the Illegal Gambling Business Act and Maryland's criminal code to satisfy the requirement for the indictment and seizure.
The Department of Justice has made exceptionally generous stay out of jail and admit no guilt deals with many online entrepreneurs dealing with poker and gambling. It may be a safe bet to think that Calvin Ayre and his lawyer have reached some kind of financial settlement with the Dof J and Calvin has been advised to keep quiet until the dust settles.
Until we actually hear from the man himself, it will be difficult to find out just how the play hard, work hard online gambling pioneer is fairing in his legal battle. One thing is for sure until then Calvin Ayre will carry on.
It’s official. Deepika Padukone is the new Number One. Over the past one year, she has been inching her way to the top. She delivered hits like Cocktail and Race 2 (she made an impact even in Desi Boyz and Housefull). And now she had delivered a monster hit: Yeh Jawaani Hai Deewani.
In her last few films, Deepika’s performances have been appreciated. The improvement is huge. Also, her selection of films has been interesting. She has managed to act in two off-beat films (Karthik Calling Karthik and Khelein Hum Jee Jaan Sey) at the same time she was doing hardcore masala films, a fine balancing act that.
Sonam Kapoor, whose debut film released on the same day as Deepika’s, has had nine releases so far while Dips’ has had 16! Almost twice the number. While the number of films is hardly a benchmark, what is impressive is how this Bengaluru girl has managed to cross the age barrier. She is considered for a film with Salman Khan (Kick) and grabs SRK’s Chennai Express while successfully pairing with younger heroes like Ranbir Kapoor and Imran Khan. She has worked with reputed filmmakers like Imtiaz Ali, Prakash Jha, Priyadarshan and Ashutosh Gowariker etc.
But she didn’t do it all on her own. She had some help from the actresses in the ruling position. Kareena got married last year, quickly graduating out of the rat race, like Kajol. Meanwhile, Katrina’s last release (Jab Tak Hai Jaan) was a two-heroine film. She has films like Dhoom 3 and Bang Bang, which are no different from the ones she has been doing so far. She is intelligent enough to know it’s time to leave those roles to younger actresses, and is turning producer next year. Which is perfect for Ms Padukone. If you need more argument why Deepika is in an enviable position today, read on...
The replacement theory: Katrina and Kareena who have been hogging the No 1 position for the longest time are now in their 30s. Fact: Bollywood retires actresses on the wrong side of 29. Deepika, in her 20s, is a younger option.
There has been a vacancy for the next-best-thing since last year. Dippy has nudged her way there. Kat was Akshay Kumar’s lucky mascot and then Deepika did Chandni Chowk to China, Housefull 2 and Desi Boyz. Kareena may have the Khan surname but Deepika has Saif on-screen (Love Aaj Kal, Cocktail and Race 2).
The Ranbir factor: Ranbir Kapoor is the best thing to have happened to Bollywood in the last decade. Every production house and every filmmaker wants to work with RK. Fortunately for Deepika, the audiences love to see them together onscreen, so she will always be the first default choice. Ranbir is destined for big things, and Dips’ filmi destiny is tied to him. the bigger he gets, the bigger she gets. Yeh Jawaani Hai Deewani is just the first step.
Hattrick time: What a year for Deepika. Three of the films that Katrina Kaif turned down — Yeh Jawaani Hai Deewani, Chennai Express and Ram Leela — came to Dips. YJHD has the rare distinction of being the only romance film to cross the Rs100-crore mark. And now she has two more films — Chennai Express and Ram Leela — which are big on romance lined up for release in 2013.
Those still in denial about her position now, will be lining up to herald her at the new queen by the end of the year.
Experts speak
Karan Johar, filmmaker : Deepika has emerged as a solid actor. Her growth has been incredible and she is truly at the top of her game. And I am sure her career will grow from strength to strength because her choices are clever and tilting towards establishing her as a star and an actor. I am a firm non-believer of the numbering process because a true talent overrides ranking and Deepika is a tremendous talent.
Homi Adjania, filmmaker : Deepika’s dedication is inspiring. She’s highly committed to her craft, relentless in her effort and ferociously driven. She values loyalty, balances the hardships with poise and truly deserves her success. The only thing she should be celebrating right now, right here, is herself!”
Komal Nahata, trade analyst : Deepika is definitely in the No.1 bracket now. She is there along with Katrina and Kareena. Among the younger lot of actresses, Deepika has no competitor. She has reached this position because of her recent BO successes and fantastic line-up of films ahead. Though they are doing fewer films now, Katrina and Kareena are still in the number game.
Deepika is very focused, and signed her films very intelligently with some good co-stars, banners and directors. It also helps that Deepika and Ranbir make a great pair and look good together on screen! Ranbir is undoubtedly today in the superstar bracket and it will help her career more when they do more films together. They make such a wonderful couple onscreen.
Online gaming company Zynga today unveiled its online gambling apps for Facebook that use real money, a major part of the company’s revamp to expand beyond social games. The online gambling apps will be launched in the United Kingdom, where online gambling is legal. Zynga investors cheered the news, sending shares up by as much as 2% today.
The positive buzz is welcome after a rash of bad news that sent Zynga shares down this year. The company laid off more than 500 workers and closed offices in a major restructuring push. Zynga has also reported disappointing earnings amid increased competition and lackluster product development.
But its fortunes may be turning. In a surprising move earlier this month, Zynga named former Microsoft Xbox division head Don Mattrick as its new CEO. He replaced Zynga founder Mark Pincus. Zynga’s shares rallied on the news.
In terms of its new offerings, Zynga already launched poker and casino web sites using real money in the UK. There will also be mobile versions of those games, which will be launched later this year. The US, where New Jersey and Nevada recently passed laws allowing for online gambling, could also be a target for the company in the future.
It’s too early to say whether Zynga’s online gambling bet will pay off. But at least it’s given investors a glimmer of hope.
Zynga is feeling lucky with its online gambling bet – Quartz
The gambling industry in the USA has a few giant operators and one which has been developing mountains of debt is Caesars Entertainment Corporation the largest owner of casinos in the States.
Recent news that Caesars Entertainment and Caesars Acquisition are forming Caesars Growth Partners, a venture for online gambling as well as some casinos has brought renewed interest from investors. Caesars Entertainment rose 13 percent to $15.91 in New York after reaching $16.36, to mark the biggest one day advance since April 23. The Las Vegas-based resort and gambling firm’s stock has more than doubled this year. As the roll out of legal online poker is continuing in Nevada Caesar’s value rose as much as 16 percent after moving ahead with plans to offer approximately $1.18 billion USD in stock in its emerging interactive gambling venture.
According to the recent filing Apollo Global Management LLC and TPG Global LLC, which hold about 70 percent of Caesars Entertainment, plan to exercise at least $500 million of their rights.
Caesars $21.1 billion USD of long-term debt is the reason behind the move to create a venture to finance growth investments and bolster the parent company’s bottom line. Growth Partners’ businesses include Caesars Interactive Entertainment, which would offer social and mobile games, run the World Series of Poker and control the company’s regulated online gambling operations. Three states, including Nevada and New Jersey, have legalized internet based casino games and gambling and there are more states that are planning to do the same.
The Caesars Growth Partners other concern Casino Properties and Development, is expected to include interests in the Planet Hollywood Resort & Casino in Las Vegas, a future project in Baltimore, and a share of management fees from those properties. The restructuring of the mega company and the potential for online gambling success has given the firm a new positive perspective that investors see an advantage in.
There are those in America who create legislation that are increasingly trying to advocate for online gambling legalization.
A new Bill introduced by US Congressman Peter King last month could if passed finally legalize online gambling federally. This Bill is the Gambling Regulation, Consumer Protection and Enforcement Act of 2013. Due to the World Trade Organization’s issues recently with Antigua and Barbuda many eyes are keenly watching.
The legal council for Antigua and Barbuda, Mark Mendel associated this with their cause. "This is of considerable benefit to us...it vindicates what we have said all along," Mendel said when speaking to media on the set of Sunday evening's Media Roundtable program on ABS.
Mark Mendel, an Ireland-based attorney is of note for leading this dispute for ten years. He explained that the current efforts by US legislators can’t define their nation’s previous stance of being, "…adverse to gambling."
Mendel stated, "Now that they are moving in that direction themselves…that pretty much completely takes away their formal defence at the WTO."
Mendel goes on to state that this recent creation of legislation should compel the international community. He encourages them now to rally behind Antigua and Barbuda and their call for an equitable resolutions in this matter.
According to Mendel it is evident that the WTO Dispute Settlement Body can gain support now and he stated, "Before we had no support, now we have a lot."
He added that, "Different countries (are) standing up and telling the Americans that they have to comply with the rulings and negotiate with us fairly. I think it has made a very big difference in that regard."
In a recent report by financial services, Morgan Stanley, some predict that the online gambling sector could be worth a substantial boost to the shaky economic industry, perhaps as much as USD9.3bn by 2020. These predictions go as far as to say that this could be very big, even more than the earnings of Atlantic City and Las Vegas combined.
Legal Online Gambling in USA Changes Antigua's WTO Stance
Country music stars and fans joined together to urge prayers for Randy Travis overnight as he recovered from brain surgery following a stroke at a Texas hospital.
Travis remained in critical condition after surgery Wednesday night to relieve pressure on his brain, publicist Kirt Webster said. The 54-year-old Grammy Award-winning singer had been improving while being treated for heart failure caused by a viral infection when he had the stroke.
Steady concern for Travis, a popular and pivotal figure in country music, turned to active support as stars like Hillary Scott of Lady Antebellum and Martina McBride and the Grand Ole Opry used Twitter to join Webster's call for prayers. Hundreds of users reached out using the hashtag PrayforRandy.
"We're all pulling for you Randy," Brad Paisley said via Twitter.
The setback occurred hours after doctors said Travis was showing signs of improvement since the start of treatment Sunday for congestive heart failure.
It was not clear what kind of stroke Travis suffered. The most common type of stroke is caused by a blood clot that travels to the brain. The other kind happens when a blood vessel in the head bursts or leaks. Stroke patients who get treatment quickly are usually given a drug to dissolve the clot that caused the stroke.
Drs. William Gray and Michael Mack of the Baylor Health Care System in Texas described Travis' condition and hospitalization in a video statement earlier Wednesday.
"His condition has stabilized, and he has shown signs of improvement," Mack said in the video. "On behalf of Mr. Travis' family, friends and associates, we would like to express our extreme gratitude for the overwhelming affection and support that Mr. Travis has received."
The "Three Wooden Crosses" singer was in good health until three weeks before he was hospitalized, when he contracted a viral upper respiratory infection, Gray said.
The viral illness led to a weakened heart muscle that eventually worsened into heart failure.
Travis was admitted to Baylor Medical Center McKinney near his home in Tioga, about 60 miles north of Dallas, through the emergency room Sunday. The singer underwent a procedure to have a pump inserted by catheter that helps increase blood flow before being transferred to The Heart Hospital Baylor Plano.
Travis' illness comes as he's been trying to put his life back together following a series of embarrassing public incidents involving alcohol. Travis pleaded guilty to driving while intoxicated in January following an arrest last year and received two years of probation and a $2,000 fine. He was required to spend at least 30 days at an alcohol treatment facility and complete 100 hours of community service.
He recently made several public appearances, including a spot on the Country Music Association Festival's nightly concert lineup and a poignant performance at George Jones' funeral.
Webster said from the hospital Travis' fiancee Mary Beougher was at his side and that he is surrounded by family and friends, including his brother, Dennis Traywick, and his pastor, Jeff Perry. Kenny Rogers, the Oak Ridge Boys, Chuck Norris and several others have called to check in on Travis.
The North Carolina-born Travis is a traditional country purist known for hits "Forever and Ever, Amen" and "I Told You So." His 1986 Warner Bros. debut album "Storms of Life" sold 4 million copies, and helped return country music to the sound of Hank Williams and George Jones.
"I always feel like he's part of our family, he's in our family," Keith Urban said in an interview Wednesday morning in Nashville. "And I was one of those guys in Australia that bought `Storms of Life' and became a Randy fan very quickly in late `80s, and I really feel for him right now."
The push to create uniform federal standards to control Internet gambling activity got a boost today with the introduction of legislation by Rep. Joe Barton (R-TX) to regulate the provision of online poker and guarantee consumers are protected from fraud, identity theft and money laundering.
“The prospect for congressional action has significantly improved now that we’re down to the decision over whether Internet gambling activity is going to be regulated on a state-by-state basis or by the federal government,” said Michael Waxman, spokesperson for the Safe and Secure Internet Gambling Initiative. “Given federal regulation provides the only way to create uniform standards to control Internet gambling activity and protect every American, Congress should be encouraged to seize, not cede regulation of the industry. Moreover, the Internet, online commerce, and online gambling are by nature interstate activities, demanding the attention of federal, not state, regulators.”
While Rep. Barton’s bill provides a needed path to protect consumers, create new jobs and grow our economy, some question the logic behind the rationale for why it prohibits credit card use.
“Credit card use is encouraged by regulators in other countries because they offer far greater consumer protections than other payment vehicles. It is completely foolish and a mistake to prohibit their use,” added Waxman. “There’s no way rules can be developed to stop people from finding a way to use funds from their credit cards to gamble online. It’ll just make the transaction and transfer of money a lot less transparent.”
Some supporters of federal regulation argue only legislation that allows online poker, rather than all forms of gambling activity beyond sports, has a chance to be passed into law.
“The top motivation for legislators to focus on this issue is to protect consumers, which is why the House Financial Services Committee overwhelmingly approved legislation years ago that allowed all forms of Internet gambling activity. There’s no logic behind the argument that it should be permissible for Americans to play poker and bet on horses online, but can’t play bingo online as well,” stated Waxman.
Another concern with Rep. Barton’s bill is that it reduces competition by freezing out the ability to secure an operator’s license if you don’t already have a U.S. land-based casino. This would exclude entry into the market for many tribes and companies like Yahoo, Zynga and Facebook.
New Internet Gambling Legislation Introduced | WebProNews
Iconic band Wolfgang is set to storm the United States and Canada this July and August. It’s been a dozen years since the dark lords of rock embarked on a North American foray, having in the last few years, concentrated on the Middle East and Asian circuit.
Wolfgang is composed of Basti Artadi on vocals, Manuel Legarda on guitar, Mon Legaspi on bass and Francis “The Beast” Aquino on drums. The band has consistently received accolades ranging from the influential NU107 Rock Awards, the Awit Awards, as well as from the world’s biggest indie awards group, Malaysia-based, AsiaVoize.
Also featured in North American schedule, billed as “Rock Summer 2013”, are Kamikazee and Kitchie Nadal.
The tour kicks off on Friday, July 19, at Broadway Studios, at 435 Broadway Avenue, San Francisco, California. (For tickets, call (408)-655-9102.) Special tickets with meet & greets are available at all locations.
Wolfgang heads to Los Angeles, California next, on Saturday, July 20, at the Beyond the Stars Palace, N. Brand Blvd, Glendale, LA, California. (For tickets, call (323)-201-1029.)
The masters of metal mayhem hit the East Coast on Saturday, July 27, at the Laboom Lounge, Northern Blvd, Woodside, New York. (For tickets, check out (551)-998-6020.)
Chicago’s Hard Rock Café is the place to be on Friday, August 2, at 63 W. Ontario Street, Chicago. (For tickets, contact (224)-545-0304.)
Shock and awe of Canada will be unleashed as follows : Toronto, on Friday, July 26, at the Phoenix Concert Theater, 412 Sherbourne Street, (for tickets, call (647)-505-7644); Winnipeg, on Saturday, August 3, at the Garrick Center, 330 Garry Street, (for tickets, call (204)-962-2903); as well as Edmonton’s River Cree Resort & Casino, Winterburn Road, Enoch, Alberta,(contact (780) 707-0824 for tickets.)
Spearheading the productions are a consortium composed of Nosaj Entertainment, Diamond Productions, and Alyas Galo Productions.
Wolfgang resumes their head-banging national tour as part of the “Tanduay First Five 2013” when they return to the Philippines in August, hitting Ormoc on August 9th; Cebu on the 10th; Ozamis on the 16th; and Dumaguete on the 23rd, all in the same month. For complete schedules of Wolfgang’s Philippine and international concerts, check out Wolfgang Philippines on Facebook.
Read more: Wolfgang to rock US, Canada | Inquirer Entertainment
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Zynga plans to bring online gambling franchises to Facebook in the U.K. Could it help clear the way for legalized online gambling in the U.S.?
Zynga, the social gaming company best known for enabling users to grow virtual bushels of wheat in "Farmville" and whack rival capos in "Mafia Wars," announced that it's taking the plunge into online gambling and plans to bring the platform to Facebook.
Online gambling is illegal in all but three U.S. states (Nevada, Delaware and New Jersey), so Zynga has partnered with a British gambling company, Bwin.party, to release two games in the United Kingdom, Venture Beat reported. If successful, the venture could pave the way for the further legalization of online gambling in the U.S.
Zynga debuted Web versions of the games "ZyngaPlusPoker" and "ZyngaPlusCasino" in April, and the company plans to release Facebook and mobile apps down the road. Facebook users in the U.K. and the U.S. can currently "gamble," but not with real money; in the Facebook version of "Zynga Poker," users can buy chips but don't get any actual payout. VentureBeat reports that in the real-money games, users will be taken to a new interface managed by Bwin, where they will have to verify their age and that they live in a location where gambling is legal.
Zynga hopes to capitalize on its existing user base, turning hordes of social gamers loyal to the company's other franchises toward these new social gambling platforms. These potential gamblers represent a demographic willing to spend extended periods of time on the games, representing a potential cash cow for Zynga, its partners, Facebook and possibly U.S. states. At Zynga, the need for innovation and new revenue streams is especially urgent. Since the company's $7 billion IPO in 2011, it has cut 18 percent of its workforce, closed offices, and seen its earnings and stock price fall to as low as $2.50 in December.
In recent months, the company has been increasingly placing more and more of its chips in online gambling, hiring a top real-money gambling executive and sealing the partnership with Bwin, an already-regulated British company that has experience running online wagering systems and dealing with regulators.
Online gambling, Zynga executives hope, will help change the company's fortunes. In the U.K., according to Deloitte, online gambling represents a $3.4 billion industry. If it gains a foothold in the U.S., where lawmakers are pushing for new oversight on the practice that allows states to make legalization decisions, it could bring access to what Morgan Stanley projects to be a $9.3 billion market by 2020.
"New Jersey will likely be the largest real-money-gaming market opportunity in the U.S. over the next two to three years and one that Zynga cannot afford to miss out on, in our opinion," Eilers research analyst Adam Krejcik told Venture Beat. Under New Jersey state law, online gambling enterprises must partner with existing casinos in the state to gain a license. Gov. Chris Christie expects online gaming tax revenues to reach $160 million in the first year, according to Venture Beat.
If online gambling expands in the U.S., Zynga will face steep competition.
"Zynga's real-money online poker prospects are not as great as one might think," Forbes columnist Nathan Vardi wrote in December. "Running real-money games is a very different type of experience than free-play games and Zynga has zero experience doing it."
"In addition, if any form of online poker comes to America, Zynga will have to deal with big and rich competitors," he added.
Hospital officials say country music star Randy Travis remains in critical condition and has been under heavy sedation since surgery following a stroke.
The 54-year-old singer has been hospitalized since Sunday after suffering congestive heart failure due to a viral illness.
Travis suffered the stroke Wednesday night at The Heart Hospital Baylor Plano and doctors performed surgery to relieve pressure on his brain.
A hospital statement says the “Three Wooden Crosses” singer is resting comfortably and that his family continues to ask for prayers and support.
The Grammy Award-winning singer has been surrounded by family and friends while in the hospital and received a visit Thursday from George Jones’ widow, Nancy, who played music for her late husband’s longtime friend.
Read more: Singer Randy Travis sedated, remains critical | Inquirer Entertainment
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Online gambling is back before Congress, and some are betting it will move forward this time.
Congress has swung into action this year after moves by states to set up their own Internet wagering systems.
At least two bills to regulate Internet gambling have been introduced in the House of Representatives, and a Senate committee has scheduled a hearing on Wednesday on the matter.
After years of treating online gambling as criminal, the US government quietly shifted its stand in late 2011 when the Justice Department released an opinion stating that only sports betting should be prohibited under a 1961 federal law known as the Wire Act.
This opens the door to online poker, which is hugely popular on the Internet, and possibly other casino games along with state lotteries, say analysts.
Nevada opened Internet wagering earlier this year, and New Jersey and Delaware have both passed legislation to authorize it.
"The challenge we've seen is that we are already starting to have a patchwork of inconsistent rules in different states," said Michael Waxman, spokesman for the Safe and Secure Internet Gambling Initiative, a group pressing for regulation of online wagering.
Waxman said the prospects for congressional action are now better than at any time, and "we're down to the decision over whether Internet gambling activity is going to be regulated on a state-by-state basis or by the federal government."
Representative Joe Barton has introduced a measure to legalize online poker, and Representative Peter King last month proposed a broader bill to set up a federal regulatory system for online gaming.
Waxman said Barton's bill is more narrow, and he expressed concern over prohibitions that would ban credit card transactions and prohibit non-casino operators like Zynga or Yahoo! from taking bets online.
"There's no logic behind the argument that it should be permissible for Americans to play poker and bet on horses online, but can't play bingo online as well," said Waxman.
Senator Jay Rockefeller, whose subcommittee holds a hearing Wednesday on online gambling, said lawmakers need to examine the implications of the growth of online wagering.
"Internet gambling is a multi-billion dollar industry that comes with some serious risks, including the potential for money laundering used for terrorist financing. This alone demands that we take a hard look at what a growing Internet gambling industry means as more states have recent laws permitting online wagering," said Rockefeller.
"We've also got to take a hard look at consumer protections, and how we're going to fix any existing gaps that allow underage gambling or otherwise leave consumers vulnerable to fraud and abuse."
The Poker Players Alliance, which endorsed the Barton proposal, said regulation would be beneficial.
"We are all better served through licensing and regulation that implements high standards to protect consumers, thwart fraud and abuse, and guarantee the proper safeguards against underage and addictive gambling," said Alfonse D'Amato, a former senator who chairs the alliance.
The brick-and-mortar casino industry's chief lobby group has supported online poker but its members have been divided on the broader question of online gambling, which could mean less visitors to casinos.
The American Gaming Association in a statement it was "pleased that Representative Barton continues to understand and support the pressing need for a federal legislative solution that would allow for legal, regulated online poker in this country, while still providing the necessary framework for consistent consumer protection safeguards and effective tools to combat illegal Internet gambling."
But at least one major casino mogul, Sands owner Sheldon Adelson, has been opposing legalization of online gambling.
"I'm a father, grandfather... I do not want my children to have the opportunity to become addicted to gaming. And poker, in my opinion, would become one of the most addictive games," Adelson told Bloomberg television recently.
Adelson's group is funding a website stopinternetgambling-com, which urges the defeat of any online gambling legalization.
"Is it worth the societal and economic risk to produce more revenue for the government? Internet gambling advocates fail to mention the fact that Internet gambling by definition will do away with tens of thousands of casino-based jobs and will take us down a slippery path from which we will never be able to turn back," a statement on the website said.
Adelson's comments set a fire in the gaming community, with some calling him hypocritical.
"Adelson made his fortunes though gambling," said Hartley Henderson at the Offshore Gaming Association.
"So why in the world would a casino mogul be opposed to online gambling?"
Read more at: US lawmakers shuffle the deck on online gambling | Astro Awani
If you enjoy gambling and in recent years have done so then you may have noticed something odd or rather heard something odd. It is no secret that if you play slot machines whether at the casino locally or in Las Vegas or even at home online then you may not be aware but you sound like you are winning. And that is even if you are winning or not.
Marketers have known for some time that colour and smell play a large part in our buying habits. Now they are into the realm of sound. The sound that accompanies the playing of slot machines especially can be a whirr of beeps, chimes and bells.
Lately this area of marketing has caused some interest and a study has been done. It is not surprising to find that some of these noises can easily fool our brains into thinking we won even when we have actually lost not won money. A lead author in one of the studies and a behavioural neuroscientist Michael Dixon, of the University of Waterloo in Ontario states, "The way slot machines are designed, sound is a really crucial component of player feedback."
Sound effects that are happy and exciting are usually tied to wins or perhaps partial losses. These Dixon says that in order to explain the susceptibility of human condition further are, "losses disguised as wins." He says. “They act as positive reinforcement and can skew our perception of lost money. You can be rewarded with flashing animations and celebratory winning jingles made to give you a sense of accomplishment.”
He goes on to explain, “In the other extreme, when you win nothing, the machine goes into a quiet state of rest with no lights or music. It just sits there, waiting for you to play again. If you win just a portion of your wager back the machine still gives you happy noises. So even though you have actually lost money, you come away feeling like a winner.”
Of course an online gambling can turn off the sound if they choose.
NBC’s most high-profile new fall comedy is enlisting Anne Heche for a multi-episode arc. The Michael J. Fox Show has signed the actress to play Susan Rodriguez-Jones, the new anchor at NBC 4, the New York station where Fox’s character Mike is returning to work as a corespondent after taking off five years while battling Parkinson’s. She’s described as a “sharp, savvy and tough-as-nails” anchor who was Mike’s producer many years ago when they worked together in Orlando. After a suspicious incident that involved “losing” Mike in the Everglades, they’ve had a rivalry ever since. Heche previously starred in the NBC sitcom Save Me and was a regular on HBO’s Hung and ABC’s Men in Trees.
Here’s the trailer for The Michael J. Fox Show, which will debut at 9 p.m. on Sept. 26 for a one-hour launch, and then shifts into its regular 9:30 p.m. slot.
The U.S. Senate subcommittee on consumer protection has scheduled a Wednesday hearing on what Nevada Republican Dean Heller described as the “patchwork of state laws and regulations for online gambling.” He said the concern is whether those laws, now enacted in 20 states, may put consumers at risk and undermine law enforcement. The Justice Department has opened he door for individual states to authorize online gambling for intrastate wagers. Nevada lawmakers passed this state’s internet gambling law as an emergency measure in the 2013 session. “As a result, numerous states are actively pursuing the legalization of Internet gaming,” Heller said.
Following the lead of New Jersey and Nevada, Delaware has released a draft of its online gaming regulations. The Delaware online gaming regulations will be enforced by the Delaware State Lottery Office and are available for public comment through July 31st, 2013. This post will outline some of the important aspects of the proposed regulations.
Delaware Online Gaming Regulations Not Limited to Online Poker
Unlike Nevada, which has only legalized online poker, the Delaware online gaming regulations will allow a wide range of online gambling and defines Authorized Game as “any other game which is determined by the Director to be compatible with the public interest and to be suitable for use after such appropriate test or experimental period as the Director may deem appropriate.” This definition would seemingly allow the Director of the Delaware State Lottery Office to authorize any type of online gambling game, including large scale, multi-game tournaments. Delaware’s approach emulates New Jersey’s broadly constructed online gaming bill and regulations, which allow for a wide range of table/casino games.
No “Bad Actor” Clause
In addition, unlike Nevada’s regulations, the Delaware online gaming regulations do not contain a “bad actor” clause, which typically bars an entity from obtaining a license if it has been previously convicted of operating an illegal gambling business. Despite omitting a “bad actor” clause, Delaware’s draft regulations require applicants to prove that they possess “the business ability and experience necessary to satisfactorily conduct . . . Internet [gaming] operations” and automatically disqualify entities that have committed a felony or a crime of moral turpitude within the last 10 years.
Who Needs to Obtain a License Under the Regulations?
As with many newly drafted regulations, ambiguities exist, and perhaps nowhere more so than in the explanation of who must be licensed. It is clear that the entity conducting online gambling games, and all of its employees, must obtain licenses. However, determining who qualifies as an employee under the regulations leaves room for interpretation. For instance, the regulations define a Service Employee as “a person employed in the operation of an Internet lottery and determined by the Director to have employment duties and responsibilities involving direct access to player and gaming information stored on Internet lottery equipment.” All Service Employees must obtain licenses, but it is unclear whether the definition applies to affiliate marketers, who do not always have direct access to players’ and gaming information and are often retained as short-term independent contractors, not employees. The penalty for failing to secure a license as required under the regulations is a Class A misdemeanor.
Adding further ambiguity is another category of persons who must obtain a license, Technology Providers, who are defined as “any person or entity who proposes to contract with an Internet lottery agent or the agency for the provision of goods or services related to an Internet lottery.” The regulations go on to state that Technology Providers are entities that provide the hardware, software, game content or operational services required to operate the Internet gaming platform, but fail to clearly define what qualifies as “operational services” or what the Delaware State Lottery Office considers services that are necessary to operate a gaming platform.
It is important to note that Delaware has only promulgated draft regulations, not final regulations. The State is now accepting comments on the draft regulations, which can be submitted to Rebecca Goldsmith, Delaware Lottery Office, 1575 McKee Road, Suite 102, Dover, Delaware 19904 until July 31, 2013.
The development of Delaware’s online gaming regulations is a significant topic for all gaming attorneys and those interested in Internet poker and gambling in general.
Summary of the Delaware online gaming regulations - Lexology
Michael Jackson could have earned $1.1 billion or more if he had performed a worldwide concert tour and created a Las Vegas show before his death, an accounting expert familiar with the singer's earning potential told jurors Monday.
Arthur Erk, a certified public accountant who conducts royalty audits for musicians, told jurors that Jackson might have earned $1.5 billion for the shows if he had charged higher ticket prices during later shows on the "This Is It" tour.
Erk said he was using conservative estimates to figure Jackson's earning potential if he had lived for several more years, completed a worldwide tour and created a Las Vegas show based on his music. The estimates took into account endorsements and royalties that Jackson could have earned and are heavily dependent on the idea that Jackson would have performed a 37-month, 260-concert world tour.
AEG Live defense attorney Sabrina Strong questioned Erk's assumption during cross-examination because Jackson had never completed a tour that long and hadn't performed a tour in more than a decade. Strong also questioned Erk about three instances where Jackson got into legal disputes over canceled performances, but the accountant said those didn't factor into his analysis.
"He needed to work," Erk said.
His testimony was meant to show jurors the superstar's earning potential in the case brought by Jackson's mother against concert promoter AEG Live LLC.
Katherine Jackson claims AEG Live is liable for her son's death because it failed to properly investigate the doctor convicted of giving the singer an anesthetic overdose.
AEG denies it hired the doctor or bears any responsibility for Jackson's June 2009 death at age 50.
Jurors heard directly from Katherine Jackson on Monday when Strong played a portion of her deposition testimony to rebut the idea her son would have embarked on a lengthy tour.
On the video, she said she was surprised when her son announced the "This Is It" shows in London. "He would always make a joke about he don't want to be doing the Moonwalk on stage when ... he's over 50," she said. "He wanted to be doing something else."
Erk's figures also account for an estimated $134 million the singer would have likely spent before retiring from show business at age 65, Erk said. He said he did not consider the fact that Jackson was an estimated $400 million in debt when he died as a factor in his future earning potential.
Strong also questioned why Erk didn't take into account Jackson's lavish spending, which the lawyer said another witness testified in deposition consisted of $435,000 spent over two months on hotel and airfare in the early 2000s.
Jackson had signed on for only 50 shows in London, although contracts for the shows indicated a longer tour was a possibility.
Jurors will have to determine the amount of any damages in the case if they find AEG Live is liable for Jackson's death.
Erk said Jackson contemplated doing a Las Vegas show based on his music and archival footage that would have generated new royalties for the singer. He estimated the show would last 10 years.
Jackson also contemplated a film career, according to testimony from his nephew Taj Jackson and the singer's longtime creative collaborator, Kenny Ortega. Erk will not offer any estimates on how much Jackson may have earned if he had a successful film career.
Erk is testifying as an expert witness. The accountant also performed royalty audits on companies that released Jackson's music during the height of his popularity in the 1980s, he said.
Recently Bally Technologies, an American gaming device maker has revealed their acquisition deal of their competitor, SHFL Entertainment, previously named as Shuffle Master. Both of Board of directors of the two businesses have signed the deal. However the arrangement is on hold, waiting for any objections from regulators and shareholders and will not be complete until the end of the second quarter of 2014.
Gavin Isaacs, CEO of SHFL said of the deal that there is a, “significant premium” being offered to SHFL shareholders, while publicizing the idea that the two companies would merge into a “larger, stronger organization that we believe will best position the company for future growth.” Ramesh Srinivasan, Bally’s CEO stated his praise regarding the combination of, “two highly complementary and customer-centric gaming technology companies with a shared commitment to innovation.”
The transaction cost represents a 24% premium over SHFL’s stock value as of the end of Monday’s trading. Both companies’ shares are up sharply on today’s news.
After posting a new 52-week high of $22.84 earlier today, shares of SHFL are up 21.7% at $22.75, and shares of Bally are up 7.5% at $65.51, after posting a new 52-week high of $66.14 earlier today. The 52-week low is $41.74.
SHFL had already obtained an online gambling license in Nevada and Bally as well. They are just a handful of well-established online gambling developers to have done so. The only other state to approve online, real-money gambling is in New Jersey and neither have that license yet.
Srinivasan also explained the deal’s benefits in extending Bally’s connection into Asia and Australia, where SHFL has well-established footholds in both electronic table games (ETG) and card-shuffling products. The deal financing was provided by Wells Fargo, JP Morgan Chase, Bank of America, Goldman Sachs and Union Bank NA.
Bally To Acquire Online Gambling Licensed SHFL Entertainment
As is always the case, however, some of these stocks are better bets than others.
Merge Ahead
Just for the sake of clarity, note that two markets are served by online game publishers.
The first one is gamers who enjoy spinning a virtual roulette wheel as a way to win hypothetical money — aka “social casino gaming.” The revenue model is mostly advertising-oriented. If you’ve played the online poker game from Zynga (ZNGA), you’ve fueled this market, though from Zynga’s standpoint you might as well have played Words With Friends or FarmVille.
The second market is real-money gamblers who win and lose actual dollars by betting online. The revenue model here is the traditional casino’s model — “the house” scrapes off a tiny percentage of every dollar laid on the table.
If you’re thinking online gambling (for real money) is illegal, you’re right … for the most part. In the U.S., web-based betting is only legal in Nevada, Delaware and, most recently, New Jersey. It’s also legal pretty much everywhere else in the world; blocking U.S. residents from playing online — even though illegal in most scenarios — has proven difficult.
The revenue at stake isn’t chump change, either. Globally, gambling is a $417 billion annual industry, and about $125 billion of that is generated inside the U.S. Online gambling contributes only about $35 billion of that global figure each year, or about 8% of the entire market. That’s still better than the online portion of the U.S. gambling market though, which only makes up 3% of the domestic betting industry.
Even then, it leaves social casino gaming’s revenue in the dust. The play-money version of the global gambling market is only worth $1.7 billion per year now, and according to Morgan Stanley, will do well to grow to $2.5 billion by 2015. That’s big growth, but still a minor market.
Given those numbers and the potential revenue at stake when social betters gain access to real-money gambling games, it’s no wonder why so many social casino game publishers are looking to enter the actual betting arena … if not as the house, then as the technological backbone for brick-and-mortar casinos. And with individual states starting to ease up on web-based betting now that tax revenue is on the table, it’s becoming increasingly possible for software designers to do just that.
The question is, who’s going to lead that charge, and how?
These Companies Have Winning Hands
There’s little doubt as to the first name investors think of as the best way to play the convergence of social casinos and real poker … Zynga shares soared from $2.56 to as high as $3.73 in a little over a month after New Jersey effectively legalized online gambling in early February. After all, Zynga is “the” name in online social gaming.
Problem: Zynga is losing its “the” status in the world of social casinos.
Ellers Research reported that in the second quarter of this year, Caesars Entertainment (CZR) subsidiary Caesars Interactive Entertainment overtook Zynga as the world’s largest social casino publisher. It’s a small margin: 18% of the market for Caesars versus 15% for Zynga. Zynga is losing ground in the race, though, and with International Gaming Technology (IGT) running a close third with 14% of the market, it becomes clear that the old-school, real-world gambling names have the edge in the world of online gaming — not the newer online-gaming publishers.
Zynga and its rivals in the online game industry must preemptively strike at the brick-and-mortar casinos on their home turf if they’re to have any chance at success in this new arena. The company filed a request for a Nevada gambling license in late 2012; the approval can take anywhere from a year to 18 months, and ultimately requires Zynga to have some sort of physical presence in Nevada (most likely through an established partner). Barring what’s been dubbed a “compact” with other states who will allow it, Zynga’s Nevada gaming license is only applicable in Nevada for people who are in Nevada. Thing is, if a player is physically near a real casino, how marketable is a Nevada-only online poker game going to be?
To be fair, it’s not like Caesars, International Gaming Technology or any other actual casino won’t hit similar headwinds in the virtual world. The partnership between MGM Resorts International (MGM), Boyd Gaming (BYD) and Bwin.Party is arguably the most successful co-venture of real and virtual casinos, and even it’s facing regulatory headwinds overseas now that its key market nations have blocked bettors from playing with anyone outside of that country — a stance similar to the state-based online gambling rules in the United States. But, like Caesars, at least those physical casinos are backed by real casino revenue, and have a much better name to leverage with real-money gamblers.
As if Zynga and other game publishers weren’t facing a big enough challenge already, chew on this: Privately owned PokerStars (with its recently acquired Full Tilt Poker in tow) controls about two-thirds of the global real-money poker market. If for no other reason than PokerStars is deeply entrenched and already generating an estimated top line of at least $1 billion per year, it’s going to be tough for newcomers to make a meaningful dent in the market.
Bottom Line
These waters will remain murky as long as the regulations are being hammered out and other states mull the legalization of online gaming. But as it stands right now, there’s no publicly traded pure play worth a shot.
The best-positioned web-based betting name is Caesars Entertainment, and even if the industry expands to the p