Unemployed Man hits Record Jackpot Win from Online Casino.

Three weeks ago Marty from Florida was fired from his janitorial job; by October 22, 2005 he was $1,966,000 richer.

The days of sweeping floors and scrubbing toilets are over for Marty, 45, of Florida . One time janitor literally struck Gold while playing Carnival Casino's generous progressive Gold Rally Jackpot on Oct. 22, 2005 .
Marty, who is a faithful slot player at Carnival, deposited only $100.00 into the Gold Rally 8 Line, upon which he was given a $10.00 bonus. He then took a $16.00 chip and placed his bet. Seconds later, he was $1,966,000 richer.
Adding to his delight, since winning the Carnival Casino Gold Rally Jackpot, Marty had tacked on another 12K of winnings.
Marty feels like the luckiest man alive. he had been fired only three weeks ago from his janitorial position. Now thanks to the biggest amount ever awarded from an online Casino's Progressive Jackpot, Marty won't ever have to sweep another floor again in his life.
Carnival Casino's $1,966,000 is the biggest online gaming Progressive Jackpots ever distributed to a single player.

Slotland.com First to Market with New Mobile Slots

November 2, 2005 ( London , UK ) – Slotland.com, the world’s first and biggest all-slots website, is now the first to introduce their unique mobile slots. Slotland.com players around the world can now enjoy a few minutes with their favourite games anytime, anywhere using their mobile phone or PDA. The new technology means more freedom, more fun, and more time to play even short sessions.
“Most people find slot machines both relaxing and exhilarating at the same time,” said Hannah Morante of Slotland.com. “Now they can enjoy a few pulls whenever they need a quick break.”
Players can use the same login ID and password for playing on any device: mobile phone, PDA, Laptop, WebTV, Mac, or Desktop PC. Sam e account, same rules, same games and of course, same excellent customer support.
“I lost five dollars while I was standing in a line up for coffee this morning,” said one of Slotland’s mobile players. “But I won twenty bucks on the train coming home tonight.”
Slotland.com’s large progressive jackpots are famous for taking a big hit every four to six weeks. The new mobile games are connected to the same progressive jackpots giving mobile players a shot at the $100,000+ jackpots.
Slotland.com’s new mobile slot machines can be downloaded by going to this address on a mobile phone or PDA: http://wap.slotland.com. Details are also available from web browsers here: http://www.slotland.com/mobile.html (Click “Play Mobile Games” for installation instructions.)

BETFAIR DENIES FLOAT

Quick response to media speculation
 
British online betting exchange Betfair issued a fast response to media speculation that it was planning an imminent listing on the London Stock Exchange this week.  Asked by Sky TV News whether the rumours were true, a senior executive unequivocally denied that this was the case.  "We don't have any reason to go for an immediate flotation," MD Mark Davis said. "Why would we float? We have no reason to raise new money, and we don't have any shareholders who are agitating for an exit. We hired Morgan Stanley and Goldman Sachs to advise us on strategic options. They're still advising us, but we don't have any plans for an immediate flotation." The denial followed an press reports that Betfair had planned a flotation, but had decided to wait until after next year's soccer World Cup in Germany before listing in London . The company, the reports said, believes a delay will allow time for its investment in international expansion to be felt. Betfair was also named earlier this week as a possible target for a Party Gaming takeover to give the latter group more diversity.  A spokesman refuted the rumour, saying it was news to Betfair.  

BLOOD IN THE BOARDROOM?
Hill "abruptly" departs Betfair

 The Tim es and other UK business media were marking the sudden departure of Betfair CEO Stephen Hill from the betting exchange group last Friday following the companys decision to postpone its plans for a GBP 1 billion flotation. Hill, a former chief executive of the Financial Tim es Group, left "abruptly" according to the reports. His duties have been assumed by Sir Robert Horton , the former Railtrack boss, who became non-executive chairman in March last year ahead of a possible initial public offering.
 
The company said that Mr Hill had decided to leave after a board meeting at which it had been confirmed that the company had “no plans to float in the immediate future”.  The report says a source close to the betting firm revealed that Mr Hill had wanted to press ahead with an IPO in the first quarter of 2006, whereas the rest of the board had decided that there was “no good reason” to do so.  Analysts are suggesting that the reason is likely to have been the recent decline in sentiment towards online gambling stocks after PartyGaming’s warning of slowing growth prospects.  The biggest shareholders in Betfair are Andrew Black and Edward Wray , its founders, who between them have almost 30 per cent. Europeatweb , an internet-based fund controlled by Bernard Arnault , the LVMH boss, has about 10 per cent.  Betfair said that Mr Hill had left to pursue plans for a new venture that would invest in small and medium-sized companies, focusing on turnaround situations.  He is expected to get a payout equivalent to half his GBP 325,000 salary, and it is believed that he will retain the 3.13 million shares that are held in an employee benefit trust in his name.  The shares are technically owned by him already and he is expected to retain them until he can crystallise the value after an IPO. They would be worth more than GBP 20 million if Betfair were to attract a GBP 1 billion valuation as has been estimated.  A former colleague at the FT, Charles Pretzlik , the newspaper’s UK Companies Editor, said: “I think it is fair to say (Mr Hill) is not one of those people who necessarily makes friends wherever he goes.”

IS LADBROKES GOING AFTER RANK?
Or is the hunt aimed at Ladbrokes...

 British betting giant Ladbrokes , the gambling arm of Hilton Group , is understood to be considering a bid for Rank Group , the GBP 2.5 billion owner of Mecca Bingo, Grosvenor Casinos and internet gambling interests, once its proposed demerger from Hilton’s hotel arm is completed.  However, The Tim es reports this week that there are strong speculative rumours that a number of top private equity firms were already preparing to approach Hilton about buying Ladbrokes, which is worth about GBP 3.7 billion and has 2,570 shops in the UK, the Channel Islands, the Irish Republic and Belgium. CVC Capital Partners and Charterhouse have been tipped as contenders.  The focus on the company comes after an announcement that Hilton Group, which owns the rights to the Hilton name outside the United States , is in talks to sell its hotel business to America ’s Hilton Hotels Corporation (HHC) for an estimated GBP 3.6 billion.  Existing shareholders would retain ownership of a quoted Ladbrokes in the wake of such a deal.  The continued consolidation of the gambling industry could be a possibility if Ladbrokes went after Rank. The recent acquisition of Coral Eurobet by Gala , the casino and bingo operator, has created a gambling behemoth combining betting shops, bingo clubs and casinos, and buying Rank would turn Ladbrokes into a very similar company. 
PLAYER FILES GBP 66 000 MALTA PROTEST  
Parlay Entertainment software malfunction used as excuse for disqualifying winnings  

The Malta interactive gambling licensing authorities could be facing their first big test from a player perspective this week following a judicial protest from a British national against one of its licensees. The Malta Independent Online reports that one Karl Long filed a judicial protest against an online gaming company registered in Malta , claiming that he had been swindled out of GBP 66,000.  The player filed against Euro Gaming Ltd , claiming that he used the site Bingos.co.uk and played a game called Trawling for Treasure, where he achieved winnings of GBP 66,000. However, when he attempted to cash in his good fortune, Euro Gaming said it was not going to pay out because there was a fault in the Parley Entertainment software when he was using the site. The software company, which is based in Canada , refuted the claims that the software malfunctioned. The complainant also pointed out that he had been playing the game for nine hours and the company did not say there were problems nor did it try to shut down the site. He said he reported the issue to the relevant authorities in Malta , and the company offered him GBP 500 compensation, which he is refusing to accept. The protest alleges that the gambling companys actions are clearly abusive and illegal and there should be strict surveillance of such companies to avoid abuse. He therefore appeals for the company to pay out the winnings and said he would be holding them responsible for any other damages incurred. InfoPowa will monitor this story as it evolves, and has requested a comment from the Maltese authorities.  Stop Press: As we went to press this week another complaint of non-payment - this one for GBP 30 000 -had been made against Euro Gaming Limited.  The Malta authorities confirmed that both cases were under investigation, and that in the GBP 66 000 case the player had been assisted to open a court case on the island.  

MALTA, WE HAVE A PROBLEM  
Another serious player complaint regarding Euro Gaming Limited  

There has been a sequel to our earlier InfoPowa report that a British player is currently taking legal action against a licensee of the Malta licensing jurisdiction for non-payment of a GBP 66 000 gambling obligation. Posters at http://www.jokersforum.com/showthread.php?t=3024 are currently mulling over a new allegation involving a refusal by the same company to pay out a GBP 30 000 win.   The company, Euro Gaming Limited , is licensed by the Malta regulatory authorities and operates the Bingos.co.uk website. 

Legal sources in Malta assure us that the authorities have the issues well in hand.

   TOO MANY NOUGHTS  
Is this really a $ 100 million tournament?  

Recent publicity from Noble Poker.com has raised the eyebrows of industry observers with its eyecatching claim that it can fund a reward of $100 million in an upcoming tournament. Noble was recently taken over by the recently listed Empire Online , but the consensus is that $ 100 million is still a big ask. Noble Poker announced that they will top the $1 Million dollar giveaway mark by having a $100 Million dollar Mega Tournament in April 2006 at Las Vegas , with qualifiers available online now. While the Mega Tournament in Vegas has a direct entry fee of $10,000 with a $2 Million prize pool Noble is also apparently prepared and capable to give a bonus of $100 Million to anyone who hits a Royal Flush in spades at the final table, according to the following analysis of final table bonuses: The Final table winning hands bonuses: 1. Spades Royal Flush- $100 Million
2. Any Straight Flush - $1,000,000
3. 4 of a kind Aces - $500,000
4. 4 of a kind Kings - $500,000
5. 4 of a kind Queens - $250,000
6. 4 of a kind Jacks - $250,000
7. 4 of a kind 10's - $250,000 Noble's parent, Empire Poker is respected for its innovative and effective marketing, but many in the industry are sceptical on the offer.  The qualifying tournaments are running around the clock starting at $2.50 and up to $58 buy ins. These qualifiers will get winners into the $125 000 Heat Tournaments where seats to the $100 million dollar tournament and cash will be given away. 
GERMAN POKER TOUR A SUCCESS  
German Poker Association shines  

PR Newswire reports that over 200 German poker players from throughout Germany participated during September and October in the first German Poker Tour , sponsored by Ultra Internet Media's Everest Poker.com . Everest Poker, which claims to be the first online poker room fully translated into German, sponsored 5 live tournaments across Germany featuring prizes worth over Euro 4,000. The finale was held in the Kalsruhe area last week, awarding the top 5 winners with prizes. The tournaments were organised by the founder of the GPA, Horst Koch in collaboration with Everest management.  Qualifying tournaments took place throughout September 2005 in four selected German cities: Munich , Landau ( Karlsruhe ), St. Augustin ( Cologne ), and Berlin , with 16 players qualifying for the finale, also held in Landau. The GPA was founded in 1996 and is the only poker association in Germany .  "No distance is too far for a poker final with Horst Koch and Everest Poker" comments Dr. hc. Fischer , who drove cross-country from Berlin to Landau to attend the German Poker Tour final: "It's totally worth it for an exciting game and good prizes!" Each qualifying tournament was played in "shootout" style, with the winner of each table advancing to the final table of the night. Up to 12 of these shootout rounds were played in each tournament, resulting in play throughout the night. The winners of each qualifying tournament received not only a seat in the final, but also prizes courtesy of Everest Poker.

BINGO FOR MOBILES

  Scandinavian delivery of new games  

Mobile games software provider EGET , has been busy this week with the delivery of a new range of single player and multiplayer bingo games.  The games were delivered to EGET's three major customers PAF, Spero and Spordiennustus , located on the Åland Island, Finland, in Sweden and Estonia respectively.  Online bingo in the north has apparently grown in popularity, prompting EGET to respond by expanding its product portfolio with an extensive set of Bingo games including free square, quick, pattern and triple bingo games. All of these different game types have features that make the game more interesting and compelling to play.   Martin Prantner , the CEO of EGET, says that one of the highest-praised additions to EGET's Bingo portfolio has been multiplayer bingo with a chat function backed by humorous graphics and sounds. 
GOLDEN TIGER IN SPONSORSHIP DEAL WITH BRIT PREMIER LEAGUE FOOTBALL CLUB   Aston Villa to make club communication channels available  Premier League club Aston Villa has signed a sponsorship rights agreement with online gaming company, GTcasino.com , also known as Golden Tiger Casino and Poker in the Casino Rewards group. As part of its associate sponsor package, GTcasino.com have become Villa’s official casino and poker room partner, offering fans the chance to play and win through a variety of communication channels available to the club.  Management appointed the sponsorship consultancy Lighthouse Communications Ltd to undertake a strategic review of football, before negotiating and managing the GT Casino associate sponsor package with Villa. In terms of the agreement GTcasino.com can use many of the club's communication channels including perimeter boards, programmes and online offerings.

InfoPowa is attempting to obtain further details and financial comment on the deal.

NEW GAMES FROM CRYPTOLOGIC
VIP and Inter Casino roll out a new gambling suite

VIP and InterCasino have just added 14 new games including multi payline Slots and a whole new range of Scratch Card from software developer, CryptoLogic.

“The eight new 20-line Slots, three new 9-line Slots, Rapid Fire Jackpot Slot Mr. Rich, and brand new Scratch Cards is a great addition to our casino games suite and offers something fresh for all our players,” says VIP Casino’s manager, Kate Berkeley . 

The new offerings at VIP Casino include:

9 Line Slots: Barnyard Boogie, Millionaires Club, Jade Idol

20 Line Slots: Congo Bongo, Haunted House, Daily Horoscope, Emerald Isle, Masquerade Ball, Reel Renovations, Treasure of Isis, Around the World

Scratch Cards: High Fashion, Money Farm

Rapid Fire Slot: Mr Rich

The casino now has over 140 casino games including dozens of slot machines with both standard and progressive jackpots.

EBAY CASINO WAS A SHELL
Alert players expose con artist

Eagle eyed players spotted a would be eBay fraudster in quick order this week, exposing the "Playtech casino sale" he was offering as an empty affiliate shell.

The deception was elaborate in the sense that the seller put together an impressive graphics and editorial package which was more than capable of deceiving a prospective buyer on the auction site into believing that he or she was getting a fully equipped money-making concern at an extraordinarily cheap rate (an amount of $400 was involved)

When the eventual buyer realised the "casino" was a mere shell with no players or backend systems, recriminations began to fly, with an astonishingly bold and arrogant response from the seller.  That did him no good, however and the deal was cancelled with the help of eBay.

Just another scam attempt on the popular auction site, but a reminder that prospective buyers need to keep their wits about them.

THE PROFESSOR IS MOBILE
Summus - Cingular deal brings Texas Hold 'em to your cellphone

A major US wireless company and a mobile media technology specialist have joined forces with one of the top personalities in poker, Howard "The Professor" Lederer to coach mobile phone users in Texas Hold 'em.

"Secrets of Hold 'em" featuring The Professor is a project involving Cingular Wireless and Summus Inc ., and a maiden venture by the wireless provider into poker-based mobile applications.

The product is said to combine exciting action and coaching for players, enabling them to boost their Texas Hold 'em  capability, and it can be played as a stand-alone or in conjunction with an existing mobile game.  Features include expert hints, tips, and interactive strategy charts designed to improve the players' appreciation and use of the game, and an opportunity to play virtual clones of famous poker players.

Once they are confident in their ability as a result of the coaching, players can challenge several computer-simulated, top AI poker celebrities such as Annie Duke, Chris Ferguson, Phil Gordon, Matt Savage, and Greg Raymer. The game starts with $500 a player and gamblers enter a series of tournaments with buy-ins ranging from $100 to $10,000. The biggest prize of the game comes when players win the $10,000 and they get to face the professor himself in a head-to-head contest.

Lederer is impressed with the way in which Summus captured the spirit and feel of his tutorial products, integrating it into an entertaining and challenging mobile Hold 'em game. "We are excited at the prospect of imparting poker knowledge via mobile phones at any time or location," he says.

RYANAIR PLANS FOR ONLINE CASINO
Internet gambling possible by Christmas

For some time Ryanair has mooted plans to operate an online casino facility, and this week it appears that real progress is being made on revitalising this ambitious project.

The airline has revealed that it is now set to launch an online casino that will operate in tandem with a new in-flight entertainment service. The facility is designed to give a further boost to the airline's fast-growing ancillary revenues.

Plans are at an advanced stage to launch the virtual casino before Christmas on the Ryanair.com website. The website has massive traffic - chief executive Michael O'Leary recently told investors that the site had 15 million unique users per month, and that Ryanair was the fifth most recognisable company brand name on internet search engine Google.

He added that the company was seeking to leverage off the website's scale to enhance revenue streams including gambling, travel insurance, car rental, hostels, online advertising and car parking.

Ryanair, which will be partnered by an as yet unidentified technology provider in the gaming sector, is not expected to contribute any capital towards the project. Instead, it will provide distribution, steering a portion of its massive online traffic onto the site and taking a percentage of the business that is generated.

The low-fares airline is also expected to introduce gaming as a new onboard entertainment service. Earlier this year, Ryanair abandoned the in-flight entertainment it introduced in late 2004 after a slower than expected pick-up, but management is now more confident that gaming will be a bigger attraction than movies.

In the current year Ryanair will carry over 35 million passengers on 266 low fare routes across 21 European countries. The company has 12 European bases and a fleet of over 100 brand new Boeing 737-800 aircraft, with firm orders for a further 125, which will be delivered over the next seven years. These additional aircraft will allow Ryanair to double in size to over 70 million passengers a year by 2012.

Ryanair has not responded to a request for comment as we went to press this week.

STANLEY LEISURE'S ONLINE GAMBLING INTERESTS SOLD
GBP 1.86 million in cash, and another conditional GBP 280 000 the price

Starting the week with a bang is the news that Leisure and Gaming plc has acquired Stanley Entertainment NV , the online casino business of Stanley Leisure plc , for GBP 1.86 million in cash and a potential deferred payment of a further GBP280,000.

The purchaser will benefit from bigger UK and European revenue streams and an extended customer base for its international business.  The acquisition also complements the VIP Group business, which Leisure and Gaming acquired in June 2005.

The agreement calls for a strategic partnership which will see Leisure and Gaming becoming Stanley Leisure's chosen partner for developing their brands and assets online, leveraging Leisure and Gaming's operational and product infrastructure.

Affiliate marketers will be glad to learn that the two companies have signed an affiliate agreement for an initial 12 months in which Stanley Leisure will drive its customers to certain Leisure and Gaming sites including the Acropolis casino business.

The partnership will include a poker offering and a dedicated slots offering. Under the agreement, Leisure and Gaming has committed GBP140,000 as a pre-payment against future affiliate revenues to Stanley Leisure.

NEW ODDS ON POWERED CASINO
Fire and Ice games certified by The Wiz

Players will probably have a high level of confidence in the new Fire and Ice Casino.com just launched by the Odds On turnkey provider for the owners, Gold Star Solutions out of Costa Rica. The reason? It's 65 games are carry a certification from Mike Shackleford aka the much respected Wizard of Odds.

In a visual sense the site is competent and workmanlike, with Neteller, Firepay, Moneybookers and other instruments available and banking by the Odds On subsidiary Virtual Exchange in dollars, pounds sterling and Euros.

What we didn't like was the absence of an email or telephone number to contact the 24/7 Support - but then we've never been big fans of those blank on-site fields you're supposed to complete to get in contact with someone in charge.

Nevertheless, a casino spokesman is quoted in the blurb as saying: "'I enjoy having a close relationship with many of our players. I always listen to what our players are asking for, so that I can provide them with the best online gaming experience possible. Its great knowing that Fire And Ice has the chance to make all of their dreams come true and their goals a reality."

The casino boasts a player loyalty club and an Antiguan license logo which doesn't link to the Antiguan authorities as it is supposed to do.

ZONE 4 PLAY LAYING IPO GROUNDWORK?
Mobile gaming company issues bullish "guidance" note

For some weeks there has been speculation on when the high profile mobile technology company, Zone4Play will make its move toward a London listing, and interest intensified this week when the company issued a bullish "guidance" note highlighting its success in the marketplace and wideranging contracts.

The note showcases intense commercial activity this year, with potentially significant rewards as projects produce revenue streams in which Zone4Play gets a cut.

Among its recent achievements, Zone4Play pointed to its contracts with five mobile play for real gaming customers, among them: Coral / Eurobet (one of the largest bookmaker in the UK), Betfair (one of the largest worldwide exchange betting service provider) and Mobile777 . The Company's share in these contracts ranges from 20 percent to 45 percent of the operators' revenues resulting from the use of the company's products and services.

The Winner Channel - a fixed odds, play for real gaming channel, (currently on-air on cable TV in the UK and accessible to 2.5 million subscribers) is soon to be launched on the Internet, Mobile and Participating TV. The Company's share in these contracts is 45 percent of the operators' net revenues resulting from the company's products and services.

A play for fun SMS-TV program on The Poker Channel on the SKY platform is planned, and soon will launch on that channel together with a similar initiative with Littlewoods (one of the largest bookmakers in the UK) on one of the major channels in the UK before the end of 2005. The company's share in these contracts is 33 percent of the operators' net revenues resulting from the its products and services.

4) The upcoming launch on the Sky iTV network in the UK of the first ever interactive TV full Multi Player Texas Hold'em Poker solution on a play-for-fun basis (one of most popular Poker games in the world), with 50 percent net revenue share of the operators' revenues resulting from the use of the company's products and services.

Zone4Play says it has a number of contracts in the interactive TV gaming industry in the U.S, and is well positioned for growth in this market, too. Among these contracts are: Lodgenet , Dish Network (Echo Star, one of largest satellite service provider in the world), and Cablevision (one of the largest cable service providers in the U.S.). The company's share in these contracts ranges from 18 percent to 50 percent of the service provider's net revenues resulting from the company's products and services.

In an upbeat statement, Chief Executive Officer Shimon Citron says, "In the last 12 months Zone4Play has positioned itself as an established player in the interactive gaming industry.

"The company has contracts signed with several of the major gaming operators in the UK, particularly in the mobile, interactive TV and participating TV gaming industry as the UK is the first country which has approved full interactive casino games on interactive media and more promising business opportunities are on the horizon.

"We are positioned as one of the leading players in next generation gaming. Our long term agreements, proven technology, high margin gross profit (historically more than 90 percent) and projected market penetration gives us confidence in the company's future prospects."

A PARTNERSHIP OF GIANTS
WSOP, Harrah's and AOL to create major cyberspace poker venue

US gambling whale Harrahs Entertainment joined forces this week with AOL to build a co-branded cyberspace home for the popular World Series of Poker tournament and its associated interest groups.

The new site will include free-play poker rooms, event updates and other content in an effort to widen the tournament's audience. The relationship between Harrah's and AOL will also allow 12 poker fans, age 21 or older, to win a free seat at the $10,000 buy-in No limit Texas Hold'em world championship event at either the 2006 or 2007 World Series of

"We're thrilled to pair the best brand in poker with the best brand in online games and content," said Jeffrey Pollack , vice president of sports and entertainment marketing for Harrah's Entertainment. "AOL's powerful reach will help more people than ever before experience the fun, excitement and energy of the World Series of Poker. This strategic alliance is an important foundation for our growth strategy over the next 24 months."

"The renewed interest in poker has also been reflected on AOL.com, where poker is constantly among the most popular games on our service," said Ralph Rivera , vice president and general manager, AOL Games. "Joining forces with Harrah's to create the most compelling World Series of Poker-branded poker destination online is a great way to satisfy our users' interests in all things poker."
   
The announcement seized the opportunity to publicise the World Series of Poker, which will take place next summer at the Rio All-Suite Hotel & Casino in Las Vegas.  During the 2005 World Series of Poker, more than $52 million in prize money was awarded in the Main Event alone, and every player who advanced to the final table won at least $1 million.

Industry observers were also interested in the results of a new survey released with the announcement and contradicting pessimistic reports about a fall-off in global poker interest recently.

Conducted by Schulman, Ronca, & Bucuvalas (SRBI) the AOL Games Poll was conducted by telephone April 21-May 1, 2005 among a random sample of 1,005 people throughout America.  The margin of error for the entire sample is approximately +/-3 percentage points. 

It showed that mainstream interest in poker has increased significantly over the last year.

Almost half (47 percent) of Americans surveyed play poker in some form. Among poker players, almost one in five (17 percent) say they have played poker "more than ever before," and about a quarter (26 percent) have taken up the game just in the past year.

More than one-third of the poll respondents (37 percent) watch poker events such as the World Series of Poker on television, and about one-in-10 (11 percent) have played poker online.  When asked why they play on the Web, most players said it was to learn the game or to practice before playing at offline casino events.

The AOL Games deal provides WSOP with access to millions of players using unique and exclusive high-speed and
narrowband programming features for online, PC and console gamers. AOL provides more than 150 online games to approximately 8 million game fans per month, who have an average monthly site dwelling time of over 3.5 hours.

LOWER I-GAMING TAXES FOR MALTA?
Public meeting to discuss i-gaming regulation amendments soon

Proposed tax changes for igaming operators are one of the topics which the Malta Gaming and Lotteries Authority wants to explore in a consultative process announced through Malta Today this week.

The Malta Remote Gaming Council (MRGC) is to lead the consultation process for the Authority at a public meeting on the 24 October.

The announcement devotes some space to the leading British betting exchange company Betfair which recently licensed on the island to run a specific exchange poker product, underlining the fact that under British tax regimes it pays 15 percent of gross profits. 

The proposal speculates that higher UK taxation may be in prospect and unless taxes are lowered suggests that this could result in "an exodus" of online betting companies to alternative licensing jurisdictions...like Malta.

Recently Mario Galea , chief executive of Malta's Lotteries and Gaming Authority, told The Tim es he had been "inundated" by enquiries from UK firms which are showing keen interest in relocating due to concerns that the British government is leaning towards an all-or-nothing approach whereby any firm with a presence in the UK must have all its remote gaming operations in-country.

Galea said the UK was playing a dangerous game by moving away from a pure regulatory approach and adopting a business agenda, and it is interesting to note that the proposed upgrading of igaming regulations issued this week in Malta paves the way for a new breed of business models that includes poker and skill games.

The proposals introduce a novel concession that for time critical multiplayer games such as poker the servers may be located in overseas locations.

There has also been a sustained effort to streamline the licensing costs, and the tax schedule now allows for the taxing of a class 3 model.

This model caters for operators who do not partake of the risks but act as promoters of remote gaming. This would include poker exchanges like Betfair and clubs that collect commissions from various players on organised tournaments or virtual poker rooms. The tax on such operations will now be 10 percent on income which is defined as rake less the bonuses, commissions and payment processing fees.

Malta Today says the tax base has been calculated so that the effective tax goes down to about 6.5 percent of the gross income in what seems to be an attempt to make the juridiction more attractive to prospective British tax refugee companies.

The announcement goes on to claim that UK trade associations are now clamouring for the new UK Gambling Commission to lower the UK tax rate to 2 percent on gross income, and lobbyists are hoping that the industry will successfully persuade Treasury to trim the tax on online gaming to this level for operators licensed in Great Britain. 

Britain's Chancellor of the Exchequer, Gordon Brown may consider such a low tax rate to encourage more firms to domicile in the UK. Apparently the CEO of Sportingbet, Nigel Payne has said a rate of 2 percent would encourage his company to consider relocating its gaming servers currently in offshore jurisdictions and license them in the UK.

This sort of development will clearly make for a far more competitive field as far as jurisdictions like Malta are concerned.

BAD NEWS FROM EMPIRE ONLINE
Recently listed online poker and marketing firm warns 2005 profits will be down

The latest bad news from Empire Online received wide publicity this week, including mainstream comment in leading UK newspapers and on Sky News.

Having commented last month that its poker action had been flat over the past three months, the company has now warned that net profit for 2005 will be about 10 percent below the consensus market forecast as a result of recent radical operating changes in its relationship with PartyGaming plc . 

The announcement perhaps predictably caused a dip in Empire's share price as investors adjusted their expectations for this year and beyond. The consensus forecast before the bad news was for pretax profits of GBP 34.2 million on revenues of GBP 67.7 million, according to a spokesman for the group.

Although growth in new subscribers had remained "strong" across Empire Online's gaming sites, the group warned that there had been a slowdown in poker 'rake' - or gaming revenues - since PartyGaming decided to shift all of PartyPoker.com's own players across to a new operating platform.

The move was an attempt by PartyGaming to cut the amount of 'rake' it passes on to Empire and other so-called 'skins' for bringing players to its site. By barring players from third-party sites like Empire from the new platform, PartyGaming hopes that these players will sign up directly with PartyPoker.

Empire said the decision to keep outside players away from PartyPoker's own customers would mainly impact the value of its existing customer base, which would not generate as much 'rake' as it did before the separation.

However, Empire said the rate of growth in new customers was still strong, and that the value of each new player on the Empire Online network was unaffected by PartyGaming's move.

"Empire Online is confident that the growth strategies it has in place across its trading platforms, such as Noble Poker and Club Dice ... will deliver substantial net profit growth in 2006 (albeit at lower levels than previously expected) and beyond," said the group in a statement.

NEW POKER ROOM SOON FROM GAMING VC
German-oriented company has big plans for Europe

The internet casino and magazine group Gaming VC plans to commercially launch its new online poker operation in the near future following a soft launch in August and Beta testing through the European holidays.

Powered by Boss Media the poker room will add to Gaming VC's already healthy Casino Club.com revenue streams from a mainly German market, although the company has ambitious plans for wider European activity, including Spain, Italy and Russia.

The company was listed on the London AIM market in December 2004, raising GBP 81 million with which it bought Casinos International NV and its dominant position in the German market, building the business ever since. It does not accept U.S. player action.

Parent Gaming VC Holdings , a Luxembourg company issued strong first-quarter figures recently reflecting gross wagering at Euro 880 million yielding net revenues of Euro 21.3 million and a pretax profit of Euro 11.1 million.

The magazines, Roulette and Casino Club have proved to be effective marketing aids boasting a circulation of 90 000 with the June issues. The companys marketing numbers are sound, with 8115 new player signups and a conversion rate of 62 percent. Client acquisition average cost is around a creditable Euro 250.

CEO Steve Barlow has the Spanish market firmly in his sights as the next target for expansion.  Research has shown that there are 4.7 million potential new players in the region, 40 percent of them energetic early adapters.

Gaming VC has said that it plans to offer online poker in various European countries and will localise its poker offerings to cater to players’ culture, language and currency, based on their region.

 “The launch of poker will enable Gaming VC to further extend its gaming product offerings within Europe," Barlow said. "By working with Boss Media to launch a Poker offering, we will attract an even broader range of customers and deliver best-of-breed gaming in a regulatory compliant manner.”

 DDoS PROTECTION
DNS Shield joins forces to frustrate take-down crooks

The risk of crippled sites as a result of extortionate denial of service attacks could be less in the future, Reuters reported this week.

A U.S. company called UltraDNS is the reason - it has introduced an Internet security shield that it claims will help thwart denial-of-service attacks against its customers.

The privately-held company said that it has partnered with major U.S. Internet service and network providers such as Yahoo, EarthLink and America Online to offer what it calls the DNS Shield .

Analysts called the shield a step forward for preventing denial-of-service attacks, where hackers harness thousands of "zombie" computers to knock Web sites or other computer systems offline. The attacks release an unrelenting data blitz that can cause huge financial losses and wreak havoc.

UltraDNS Chief Executive Ben Petro said the shield is essentially a security blanket that works by creating a private network between service providers and the key directories that identify the locations of Web sites.

The DNS Shield protects against attacks by integrating UltraDNS servers directly into the infrastructure of its Internet service providers. This creates totally protected environments where only authenticated user queries are answered. It eliminates the external data blitzes that can shut down networks and Web sites, the company said.

Steve Crocker , chairman of the security and stability advisory committee at ICANN , the group that oversees Internet domain names, called denial-of-service attacks the biggest threat to the Internet, because almost anybody can launch them from any place in the world and no easy solutions exist to stop them.

"It is a good step forward and a good thing to do, until we have a complete solution to the denial-of-service problem," he said.

Denial-of-service attacks have targeted the U.S. government and high-profile online vendors such as eBay. Over the past year, criminals have used them to extort payments from online gambling operations, banks and other businesses, or to attack competitors, experts say.

ADVANCED NEW ID MEASURES COMMISSIONED BY REDBET.COM
Digipass 260 designed to protect and verify player ID

Nasdaq-listed Vasco Data Security , an international e-commerce security products specialist has been commissioned to supply a sophisticated identification measure branded Digipass 260 to Swedish owned but UK based betting exchange Redbet.com .

This is the first use of the product in the online gambling environment, and the Swedish market has been chosen due to its high Internet penetration to premier the security measure.  Digipass 260 is a high portability, PIN protected device offering advanced one-time password and e-signature facilities.

"Security and confidentiality are crucial in our business," explained Joel Jacobson , co-founder of Redbet. "We opted for Vasco because of its experience in the financial sector. Redbet now brings banking level security to the online betting industry."

Johan Henrikson , speaking for the supplier said that   Digipass has been widely used by Swedish financial institutions since the mid-Nineties. "We believe that its strong authentication will be as successful in the online betting industry," he concluded.

Vasco has a solid track record in the security business and develops and supports patented user authentication products for the financial world, remote access, e-business and e-commerce.

Over 17 million Digipass products have been sold and delivered, establishing the product as a world-leader for strong user authentication with over 390 international financial institutions and approximately 1,800 blue-chip corporations and governments located in more than 90 countries.

Betting exchange Redbet has Swedish roots and was founded in 2002 going online operationally in 2004.  It currently runs sports, casino and poker betting activities and holds a UK bookmaker license, with offices in London. The company levies a 3 percent commission charge on the net winnings of its players.

PLAYTECH IPO PUBLICITY PERSISTS
Turnkey provider remains the subject of speculation - or is this prepping the market?

Spokesmen from the turnkey provider Playtech have been adamant that there are no immediate plans to list the company on the London stock exchange, yet the rumours persist - often on Playtech-heavy portals.

The same basic story was up at several sites this week - Playtech "may" be about list despite denials; it "could" be worth $900 million; it is causing "a buzz" or "feverish interest" in the industry; it has engaged Collins Stewart to advise it on a listing "in the near future," followed by positive remarks about the company. 

All curiously similar and almost as if originating from the same script...yet Playtech has not issued anything in a public sense to confirm it.

The sceptical might suggest that it's Playtech-inspired and designed to keep the pot boiling, or it could be genuine speculation. But who knows?

What is certain is that official Playtech spokesmen have said that there are no plans for a listing before 2006. But it only takes another press release to overturn that...

FORTUNE LOUNGE SPAM CAUSING SERIOUS WAVES
Third party contractors are infuriating players with a flood of unwanted spam

Companies with a finger on the market's pulse will usually pick up seriously bad consumer vibes pretty quickly, so given the Fortune Lounge group's reputation for marketing prowess it is surprising that they have not moved faster to assuage the anger of players by curtailing the infuriating tactics of their outsourced email marketing people.

Over the past six to eight weeks complaints from many players have been rising in volume over material that is alleged to emanate from FL outsourced contractors.  Savvy recipients have taken to publishing full traces on the material, which seeks to promote current FL marketing offers.

It is not only the volume - many players report having received numerous identical emails every day - it is the fact that in most cases the recipients have not signed up for this junkmail. 

Exacerbating an already bad situation is the apparent impossibility of "opting out" or "unsubscribing" from the relentless flow of unwanted promotional email - no matter what a target does it just keep on coming!

And some of the offers are not even relevant - sending first time offers to already registered players, for example.

Recent legislative developments on spam in North America make this sort of unethical and unprofessional behaviour criminally dangerous to boot, so the outside contractors could be placing FL itself in peril quite apart from the considerable consumer antipathy it is generating in the market.

Astonishingly, company spokesmen have posted on several fora - including one where perturbed affiliates have been complaining - that Fortune Lounge has no control over what these outside spammers are doing. 

Such statements have rightly been greeted with disbelief and not a little scorn.  Other than that, there has been little FL official communication showing concern at this growing crisis, which is seen by many as arrogance at best and contempt for players at worst.

In desperation, some players have started reporting the spam to anti-spam sites and ISP or government and licensing authorities, whilst a growing number say they simply junk anything with Fortune Lounge's name and address in it...hardly productive for the company.

Several prominent and neutral industry people have brought the issue to Fortune Lounge management's attention on a number of occasions, yet still the barrage of emails continues unabated. One can therefore only surmise that the value of business generated by this stuff outweighs the ethical concerns that surround it. 

But has management taken into account the customers it is alienating or the damage to its reputation?

It appears not.

ONLINE BRANDS "MORE POWERFUL"
But cross marketing through sportsbook interests works for terrestrial giants

Britain's land casinos have missed out on the boom in online casino gaming over the past several years, a Reuters report opined this week, but deals with sports-betting firms still offer a belated route into this multi-billion-dollar industry.

The article refers to the GBP 1.9 million takeover earlier this week of Stanley Leisure's online casino business by Internet gambling company Leisure and Gaming , which numbers the VIP sportsbook group amongst its interests. 

Online casinos and poker rooms are currently raking in hundreds of thousands of dollars every hour of the day in a market valued at up to $12 billion (GBP 6.8 billion) a year globally, the Reuters article continues, setting the scene for its contention that Britain's biggest casino operator has apparently resigned itself to taking a back seat as a result of the deal.

"If Stanley could have made it work, they wouldn't have sold," said analyst Charles Wilson at Bridgewell Securities. "This shows the online casino brands are so much more powerful than the bricks-and-mortar casino brands."

While shares in online gaming listed companies have recently declined, the companies themselves are still generating large amounts of cash. PartyGaming which declined by 30 percent for example, is still earning revenue of just over $100,000 an hour and looks set to continue to do so.

Analyst Paul Leyland at Seymour Pierce said Stanley's problems were shared by all bricks-and-mortar casino firms. "All UK terrestrial gaming operators have struggled to gain traction online," he said in a research note.

Analysts feel that part of the problem is that while individual casino names such as Crockfords and Les Ambassadeurs might ring bells, the companies behind them, Stanley and London Clubs, have little brand recognition.

Only betting shop owners such as William Hill, Ladbrokes and Coral have succeeded in leveraging strong brand names to advantage, largely through sports betting.

Confirming the trend, Gala Group CEO Neil Goulden told Reuters that his company struggled to develop its own casino Web sites, although that changed when it agreed this month to buy betting shop chain Coral Eurobet for GBP 2.18 billion.

"Leaving aside the poker guys, the models that seem to work are the Williams Hill model, the Ladbroke, the Coral Eurobet and indeed the Sportingbet model, where the entry portal for the online business is sports betting," Goulden said.

"People enter for the sports betting and they trade on into the casino," he added. "We were amazed to see how much more successful Coral Eurobet had been in developing a casino site than we'd been, simply because they had the entry point of sports betting."

Goulden said that the need for a sports-betting element raised the online casino world's barriers to entry.

"In terms of having a sports book, if you're not one of the recognised big bricks-and-mortar operators, you're going to have problems having any credibility for people to take your odds," he said.

Rank has also chosen to twin online casino with sports betting on its Blue Square site, and London Clubs says it is still evaluating its options.

Meanwhile, smaller Internet specialists are gaining ground quickly.

Greg Feehely at Altium Securities said Leisure & Gaming's acquisition of Stanley's online casino was a cheap way of gaining access to around 1 million customers.

"They've picked up access to a million customers at a very good price," he said. "We understand that over the years Stanley invested in its online casino more than four times what L&G paid for it," Feehely said.

Stanley declined to comment to the Reuters reporter.

UNIQUE RNG PATENTED
RNG technology claims built in fraud detection and mathematical proof of integrity of the process.

A new name surfaced in the industry this week when Szrek2Solutions announced that it now holds a US patent for "a method of generating unpredictable and auditable random numbers"

Quoting their US Patent number 6,934,846, the company revealed that several international patents have also been requested.

The method offers "...a unique Random Numbers Generation with verification of random results, utilizing asymmetric encryption technology (public/private key) to digitally sign game data and produce a unique random number set. The digital signature used in the process can be "decoded" at any subsequent point in time to recreate and verify both the number set and the associated game data."

Szrek2Solutions have already applied the new technology to two products: an animated electronic drawing machine, and a high performance random number server for instant games. Both products mathematically prove that the generated bet or draw outcomes are valid, not substituted, that the results were generated at the precise time, on the specific hardware and using a correct game matrix.

The products are currently operational with the Danish Lottery, Dansk Tipstjeneste , for the generation of play outcomes for their internet instant games and audit purposes to the stringent standards of the Danish Gaming Board . Fraudulent game outcomes can be detected any time after the draw, minutes or years later, even if the attacker has a full access to RNG software and hardware.

Betware , a private company based in Iceland and focused on interactive platforms for new media, collaborated with Szrek on the project.

WPT'S PROFESSIONAL POKER TOUR DATES CONFIRMED
The action on season 2 starts in May next year

World Poker Tour's second season of the Professional Poker Tour will start in May of 2006 despite delays occasioned by finding the right television channel for the event.

The popular first season of the Professional Poker Tour took place in November 2004 at Foxwoods during the World Poker Open, and was captured by John  Juanda.

Observers on the poker scene say that the Tour has considerable potential in a television sense, due in no small measure to the top poker playing personalities that it attracts.  Although the venue and the television programming for the event has yet to be announced, it is almost certain that one or more of the big channels will see it as a good bet.

EXCLUSIVE TRAINING FOR THE FANTASY POKER LEAGUE
Poker Academy to sponsor league games

Although only launched earlier this month, Poker Academy's Texas Hold 'Em 2 training software has been recognised as the exclusive training software sponsor for the Fantasy Poker League.

Complementing Poker Academy Pro, the program has a ten year history of development behind it, utilises the acclaimed Poki poker artificial intelligence and features free online play and chat, limit, no limit, ring games, and multi-table tournaments, and a tournament clock.

Fantasy Poker League arranges league-style, no-limit Texas Holdem tournaments in five states – Texas, Minnesota, Nebraska, Ohio, and North Dakota – where thousands of people play for fun in bars, clubs, and restaurants at no cost. Players compete for top prizes such as poker training software, DVD’s, poker tables, gift certificates, promotional apparel, poker chip sets, vacations, and seats in a major Las Vegas cash tournament.

As part of the sponsorship, Poker Academy and The Fantasy Poker League will engage in cross-marketing programs, including online advertising, print, and direct mail.

“Poker Academy software is a great learning tool for the novice, yet highly worthwhile for the pro,” said Alan Widman , president and founder of The Fantasy Poker League. “We’re excited to present this training tool to prize winners as a great way to practice and improve their game without taking any risk."

SPREADING THE WORD
Solid Haymarket publicity deal for Totesport

The British bookie company Totesport has clinched a major publicity deal with consumer publisher Haymarket this week, opening up exciting new access to potential customers.

In terms of the agreement, Totesport will use a variety of Haymarket publications on and offline to publicise its Internet betting and gaming services. The deal will see totesport.com provide jointly branded Internet gambling facilities to a range of Haymarket titles that includes AutoCar, What Car, F1 Racing and Stuff magazine.
 
Each online magazine site will display tailored material from the bookmaker including a range of SP betting markets and access to pool betting from the 59 UK racecourses.  Also available will be access to the gaming arm of totesport containing over 60 popular games and slots along with 40 instant casino and arcade games.
 
Totesport director Keith McDonnell says: “Our white-label partnerships with ISPs, portals and media companies will generate significant revenues and we believe this aspect of our business will grow rapidly this year.”
 
The tote provides its white-label partners with betting and gaming pages tailored to fit the design and branding of each site, with partners able to harness the tote’s comprehensive range of sportsbook and gaming product ranges to fit each brand’s target audiences.

SPEEDING UP THE ACTION AT PACIFIC POKER
New turbo games are proving popular

Introduced earlier this month, the new turbo poker tables at Pacific Poker.com are proving popular, judging by posts on several fora and general player comments.
   
The turbo tables were introduced for poker players seeking fast-paced and speedier games, and Mike Herea , promotions department manager for Pacific Poker is very excited by the new feature. "We undertook extensive surveying of our player base and the number one concern was games dragging on too long. As a result of this, we have introduced games that have a shortened time to make a decision and the levels go up quicker."

There are two types of accelerated games. The first is Turbo games, which give the player five seconds for the blinds and 10 seconds for the other rounds.  The second type is the fast games, which allow seven seconds for the blinds and 14 seconds for the other rounds.

Herea says the response to the new concept has been great, with the number of players selecting the faster action games increasing steadily, with some players using the opportunity to practice for the upcoming 888.com UK Open . This is a million dollar poker tournament that is likely to be one of the highlights of the online poker scene this year.

Qualifying takes place online with every qualifier receiving $12,500 which consists of $10,000 for the entry fee and $2,500 for travel and accommodation expenses.

The free money practice version of Pacific Poker has an even larger selection of turbo games. "We have multi tables that only grant seven seconds and levels go up every two minutes," says Herea. "There are the Nitro Sit & Go tables that give 10 seconds and the Super Fast Heads Up tables that only allow seven seconds to make a choice."