A Look at the News

PokerView Moves To Merge Network

Webcam online poker site, PokerView.com, has announced its move from the Everleaf Gaming Network to Merge Gaming. A statement on the site looks ahead to increased action with more players, new software, high boost connection, and over $4 million in guaranteed tournaments including a new Sunday $100,000 guaranteed event.

A note on the site read, “Due to the sensitivity of player data, we are completing our due diligence to ensure that all your player account info is transferred properly.” ♠

Everest Poker Owner Could Lose Stock Listing

GigaMedia, co-owner of Everest Poker, has been told by the Nasdaq Stock Market it has until March next year to get its share price consistently over $1 or it will face de-listing from the stock exchange.

The company, which sold 60 percent of Everest Gaming to Mangas Gaming for over $100 million in 2010, received a letter on September 29 from Nasdaq alerting it to the fact that its share price had fallen below $1 for 30 consecutive days breaking the Minimum Bid Price Rule of the Nasdaq Global Market.

The company must now get its closing bid share price up to $1 or more for a minimum of 10 consecutive days before March 26, 2012. If it fails its stock will be delisted from the market.

Earlier this year GigaMedia saw its poker revenue down 19 percent to $8.5 million in the second quarter of 2011 from $10.4 million in the first quarter of 2011. ♠

Betfair Confirms Major Security Breach

In early October Betfair.com confirmed that its site’s security was breached 18 months previously but until now it hadsnot revealed this information to its customers, nor did the company provide details of the attack when it announced its decision to list on the London Stock Exchange.

On Mar. 14, 2010, according to The Telegraph, cyber attackers, believed to be from Cambodia, stole more than 3.1 million account names with encrypted security questions, 2.28 million encrypted payment card account numbers and details, and almost 90,000 account usernames with bank account details.

Betfair has stated that it did not realise the attack had taken place until two months later when a server at its Malta data centre went down. From there, a total of nine servers in the UK and two in Malta were affected and thereafter the company reported the crime to the UK’s Serious Organised Crime Agency. It did not however inform its customers of the attack as it decided they were not at risk as the company was able to recover the data intact.

The Telegraph reported that a month before the decision was made to float, Betfair received a Forensic Investigation Report concerning the theft, which stated that “Appropriate information security governance is not in place within Betfair and as a consequence the business has been exposed to significant risks”.

In the risk factors area of its prospectus however Betfair only mentioned a limited number of security breaches in the past which had not significantly affected the company’s reputation, operations, or financial performance. The company’s security director, Sean Catlett, left the company as the news was breaking, Betfair confirmed. ♠

Poker Network Forms Management Board

The Microgaming Poker Network has announced it is ceding control of the network to the operators on the network via the formation of new management board.

The Network Management Board, which will consist of one representative from each of the operators, will control the development and operational running of the network. Industry experts will be consulted on areas such as player perspective and ecology.

The company said, “The formation of the NMB is one part of the project to change the Microgaming Poker Network to what is referred to as a Sportsbook Poker Network, in which all members contribute towards the success of each other and to the network as a whole.” The first meeting of the NMB was set to take place in early November.

Lydia Melton, head of network games at the network, said, “Poker is a difficult industry to be in, and that difficulty is heightened when operators are not in control of their own destinies. By establishing the Network Management Board, we are essentially ceding control of the Microgaming Poker Network to the primary operators on the Network.” ♠

Chiligaming Launches Free Poker Network In U.S.

French-facing online gaming operator, Chiligaming, has announced the launch of a free-play online poker network in the U.S..

The company, which currently has offices in Malta, France, and the UK says it will open offices in San Francisco, California to mark its fifth anniversary and as part of its ongoing expansion plans into the U.S. and Asia-Pacific region.

Alexandre Dreyfus, chief executive officer of the company, said, “The gaming market is evolving and Chiligaming is evolving with it by expanding its operation to become an active social gaming player in addition to an established online gaming operator.
“Chiliplay.com will be the first brand to launch on the network and we will be welcoming more partners now that all the devices for access are ready.”

The company says it is already in discussions with a number of land-based casinos in the U.S. to offer its business-to-business turnkey solution, and Dreyfus added, “We believe it will take less than one month to launch a play-for-fun poker room for any land-based casino so they can start to develop their brand and their database, to be ready for regulation.”

While Rohin Malhotra, a director of the company, said of the multi-device network, “This new platform is technically the most advanced on the market today. In pre-regulation USA where casino and other gaming brands are eager to legally enter the online arena, grow their online presence and seek to get a head start, Chiligaming’s turn-key solution is the perfect partner.” ♠

Betclic Poker Joins Everest Poker Network

Betclic Poker has left Boss Media’s International Poker Network and joined the Everest Poker network which is owned by its parent company BetclicEverest Group.

Tarquin Henderson, head of poker and casino at the group, said, “We are thrilled that BetClic Poker joins the Everest Poker network. The growing Everest Poker Network is a popular and trusted place to learn and experience the fun of playing poker online.”
Betclic also recently launched an iPhone and Android app for its sports book product and appointed a new CEO, Ignacio Martos, to replace Nicolas Beraud. Everest Poker is co-owned by Gigamedia and Mangas Gaming. ♠

5050 Poker Shares Tumble

5050 Poker, the online poker site floated on the Swedish First North Nasdaq OMX stock exchange in Stockholm in September, has seen initial euphoria over going public dissipate as shares have lost over 55 percent of their value since trading began.

The company, which recently secured a deal to provide regulated poker in Montenegro and has a turnover of SEK22 million, launched at SEK6.05 per share and hit a low of SEK1.55. The price on October 6 had rebounded a little to SEK2.6 but was still down around seven percent on the previous days’ closing price. ♠

New Online Poker Website Launched

A new online poker website launched on October 1. The site, Surebet Poker, does not accept real-money U.S. players and has already signed its first celebrity poker player, Playboy model and reality TV star, Trishelle Canatella.

Canatella was a former Ultimate Bet sponsored-player before the company dropped its stable of 11 ambassadors earlier this year in the aftermath of Black Friday.

Team Surebet Poker also features Mike Wolf, Jason Sallman (CEO of the company), Kyle Cartwright, and Mindi Taylor. The company says it is offering “lower rake than most major poker sites” but doesn’t specify what it is. ♠

Sportingbet Poker Revenue Down 18 Percent

Sportingbet Plc, the online gaming operator which owns ParadisePoker.com, saw its full year (to end July 2011) gross poker revenue drop 18.5 percent to £17.7 million from £21.7 million last year.

Net gaming poker revenue fell 23.5 percent to £13.3 million in the same period from £17.4 million.

The company said it was operating “in challenging market conditions, despite the closure late in our financial year of the US facing businesses of some of our competitors.” Poker makes up 8 percent of total group gaming revenue.

Overall, Sportingbet, which operates a sportsbook and casino products as well, saw group operating profit jump from £7.1 million to £24.4 million in the year to July 2011. ♠